UK private equity firm Asset Green has teamed up with the Ethiopian government to invest $600 million in Ethiopia’s dairy and agricultural sector. The deal, signed in Addis Ababa, aims to modernize dairy farming, boost food security, and drive economic growth. The project, led by Ethiopian Investment Holdings (EIH) and Asset Green, will be executed in two phases—first focusing on dairy production over 15,000 hectares and later expanding into cotton, oilseed, and rice farming with advanced processing facilities.
UK-based private equity firm Asset Green has partnered with the Ethiopian government to invest $600 million in Ethiopia’s dairy and agricultural sector. The investment aims to modernize dairy farming, enhance local food security, and drive economic growth.
Asset Green, known for its investments in food and energy security, is spearheaded by CEO and Chairman Afshin Afsharnejad. The firm has committed substantial funding to establish a vertically integrated agribusiness that leverages advanced technology and best practices to boost productivity and efficiency.
The deal was facilitated by Ethiopian Investment Holdings (EIH) and was signed in Addis Ababa in the presence of Ethiopian Deputy Prime Minister Temesgen Tiruneh and UK Deputy Prime Minister Angela Rayner. Tiruneh emphasized that the project will play a crucial role in strengthening Ethiopia’s food security while creating jobs and supporting long-term economic development.
Phased Expansion of Dairy and Agricultural Initiatives
The project will be rolled out in two phases:
- The first phase will focus on dairy farming and feed production across 15,000 hectares to ensure a sustainable milk supply chain.
- The second phase will expand into cotton, oilseed, and rice farming, supported by state-of-the-art processing facilities to increase Ethiopia’s agricultural output.
Brook Taye, CEO of Ethiopian Investment Holdings, highlighted that the collaboration aims to transform Ethiopia’s dairy sector and enhance the country’s commercial farming capacity. Ethiopia, where agriculture contributes to over 70% of employment, sees this investment as a key step toward self-sufficiency in dairy production.
Global Climate Finance and Ethiopia’s Agricultural Growth
This major investment aligns with broader international efforts to support Ethiopian rural communities. The Climate Investment Funds (CIF) board has pledged $37 million to help Ethiopia combat climate-related shocks. Additional financial backing is expected from global institutions such as the World Bank and the African Development Bank.
With this strategic investment, Ethiopia aims to enhance its agricultural infrastructure while strengthening its position as a key player in Africa’s dairy and agribusiness sectors.
