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Finchaa Sugar Factory

Finchaa Sugar Factory

It is  found in Horo Guduru Welegga Zone of Oromia Region in Abay Chommen District at Fincha Valley Agamsa area, 350 Kilometers from North West of Addis Ababa.

The valley found favorable for sugar industry, sustainability, topography and soil content had been studied by the British Booker`s Agricultural International Limited Company since 1977/78.

Its project is started in January 1988 financed by African Development Bank as well as Sweden, Australia and Spain Governments and local banks.

Fincha Sugar Factory`s command area including the West and East bank of Fincha River is 67,098 hectare. Fincha River, passing through Fincha Valley, generates hydroelectric power and travels to North and flows to Blue Nile. The western Bank of Fincha River develops 6,476.72 hectare cultivation land. Factory started trial production in 1998 and entered into regular production the following year.

Altitude of the place ranges between 1,350 to 1,600 meters. Higher temperature of it is 31 degree centigrade while the lowest is 15 degree centigrade. Its average annual rainfall is 1,300 millimeters. This natural situation where Fincha Sugar Factory is located labeled it as the ‘’Green Desert’’.

The Factory, vis-à-vis sugar production, is playing a leading role in the country`s economy providing ethanol to be mixed with benzene and used as fuel.  It also provides ethanol for other industries.

Expansion Project of the Factory

The expansion project of the factory started in 2005/2006 which enabled the factory to expand its land covered with sugar cane to 21 thousand hectares including West Bank`s 8,300 hectares as well as 7,000 hectares of East Bank and 4,670 hectares of Neshie area.

Parallel to this, by increasing the cane crushing capacity of the Factory, efforts were made to increase the factory`s annual sugar production to 270,000 tons from what it was 110,000 tons and also to increase annual ethanol production to 20 million liters from what it was 8 million liters.

The expansion completed in 2013/14 and the factory with upgraded crushing capacity entered into production process having 19,000 hectares of land covered with sugarcane by then.

With the factory expansion work carried out one additional factory planned to crush 6,600 tons of sugarcane a day and thereby produce 160,000 tons of refined white sugar annually is made possible lifting the total annual sugar production capacity of the factory up to 270,000 tons.

In terms of power generation for residential houses as well as the factory, the factory during its first phase had set up a thermal plant with 2 megawatt turbine steam each with 3.5 megawatt steam turbine. The factory in aggregate generates 31 megawatts power out of which 21 megawatts is spent to residential houses, the factory and other internal works of the factory while the remaining 10 megawatts is sent to the national power grid.

Fincha Sugar Factory is one among the five sugar factories which have become autonomous by the Council of Ministers Regulation Number 498/2022.

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