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Factories
Kessem Sugar Factory

Kessem Sugar Factory

Kessem Sugar Factory is located at Zone Three`s  in Awash Fentale and Dullecha districts of Afar Region. It is found at a distance of 250 km from Addis Ababa and 50 km from Metahara Sugar Factory.

Earlier it has been started as an agricultural expansion project of Metahara Sugar Factory and it was later on, considering the feasibility of its distance from the factory that further studies were carried out on its sustainability as an independent sugar factory which proved advantageous.

It was constructed by the 123 million dollar loan obtained from the Chinese Development Bank. Constructor of the factory is the Chinese COMPLANT Company. The factory began trial production in the beginning of 2015 and commence regular production in mid 2015.

The constructed first phase of the factory, working in its full capacity, can crush 6,000 tons of sugarcane a day. And, with completion of its second phase it is expected to crush 10,000 tons of sugarcane a day.

The Factory with its first phase and working with its full crushing capacity is presumed to produce 153,000 tons of sugar and 12 million 500 liters ethanol owning an ethanol plant in the future. It can also generate 29 megawatts electricity of which it uses 16 Mega Watts for its own operation and sends the remaining 13 to the national power grid.

The design capacity of the factory shows that the Factory with further expansion work will be able to produce 260,000 tons of sugar and 30 million liters of ethanol a year in the future.

The Factory is supposed to have 20,000 hectares land for its sugarcane cultivation obtaining water from Kessem Dam which has the capacity of holding 500 million cubic liter. The sugarcane development is also found at Bolhamon area other than Kessem . As per an agreement which had been reached with Amibara Agricultural Development Private Company, the company had been developing sugarcane on six thousand hectares land and delivering it to the factory till the company terminated its agreement in 2021.

Irrigation Infrastructure Construction

  • 2,946 hectares land is irrigated
  • Construction of 20.5 km main canal is completed

Sugarcane Development

  • Around 2,823 hectares land of the factory is covered with sugarcane.

Housing Construction

  • 648 houses and 25 service giving blocks are completed and they are giving service.

Society`s Benefit

Ever since its inception Kessem Sugar Factory, which is benefiting the local community both socially and economically, has benefited 42,773 local youth as well as citizens via the project, contractors and  29 micro and small enterprises creating permanent, contractual and temporary job opportunities.

Moreover, 399 members organized in five sugarcane outgrowing cooperative unions have reached a business agreement with the sugar factory in an out-grower modality. This also have benefited the society around from the development activity going on in the area.

Kessem Sugar Factory is one among the five sugar factories which have become autonomous by the Council of Ministers Regulation Number 497/2022.

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