Arjo Diddessa Sugar Factory is located in Western Oromiya region between East Wellega, Buno Beddelle and Jimma zones at Diddessa valley. It is found at a distance of 395 km from Addis Ababa on Nekemte – Beddele way.

Altitude of the place is in average 1350 meter above sea level. Its climatic condition is known for being hot. Its annual average rainfall is 1400 millimeters. The rainy season lasts from May to October every year. It mostly has black soil and occasionally has red and brown soil which makes it suitable for sugarcane development.

Sugar Corporation bought the Sugar Factory from the Pakistani AL-Habasha Sugar Mills PLC in 2012/2013. This factory is expected to crush 8,000 tons of sugarcane per day using sugarcane to be developed over 16,000 hectares of land.

Overtaking the factory, Sugar Corporation has completed the rest of the construction of the factory in a very short time. It as well began the non-existing development activities (public organization, such as dam construction, land preparation, irrigation and sugarcane development, public organization, as well as construction of social service giving institutions and other related works) and the factory begun sugar production in 2015.

Furthermore, the factory has a higher potential to produce ethanol and generate electricity from bagasse. This will make it self-sufficient in energy supply and send the remaining power to the national power grid.

The factory was inaugurated by the former FDRE Prime Minister Haile Maryam Dessalegn on May 14, 2015. And it is now producing sugar.

Irrigation Development Infrastructure

  • The factory receives water for sugarcane development from Diddessa River
  • A dam is under construction by Oromiya Water Works Construction Enterprise on Diddessa River for the sugarcane input of the factory.
  • Additionally, irrigation infrastructures which cover 2,300 hectares land is under construction by Oromiya Water Works Construction Enterprise. 1,600 hectares land is irrigated.

Sugarcane Development

  • 3000 hectares land is covered with sugarcane

Housing construction

  • 124 residential houses and 11 service giving blocks are constructed

Society’s Benefit 

More than 20 million birr is spent for social service institutions in East Wellega and Buno Beddelle zones. Ever since the beginning of the project job opportunities have been created for 17,547 citizens. Intermediate skill trainings were given specially for the youth of the localities so as to benefit them from the development activities of the area and they commenced work. Furthermore, 71 micro and small enterprises are organized in the area and engaged in different fields of work.

On the other hand, it has spent 65.66 million birr compensation for its sugarcane field expansion, for compensation of cane cultivation field received from the farmers as well as fulfill its social responsibility.