Inauguration of Agricultural Processing Plants in Sidama Yergalem: A Billion Birr Investment

Yirgalem, Sidama Region – February 27, 2025 – The Sidama Industrial Parks Development Corporation has officially inaugurated four new agricultural processing plants and additional projects, marking a significant investment of over 1 billion birr into the region’s economy. The ceremony took place at the Integrated Agricultural Industry Park in Yergalem, drawing attention from key government officials and stakeholders.

The newly launched facilities include two avocado processing factories, a honey processing plant, and a coffee processing factory. In addition, a state-of-the-art waste water filtration plant, capable of treating 200 cubic meters of wastewater per day, was inaugurated along with a service center and a nursery.

Mr. Hasan Mohamed, Minister of State for Infrastructure and Resource Sector of the Federal Ministry of Industry, emphasized the importance of the Yergalem Integrated Agricultural Industry Park, highlighting its substantial benefits to the national economy. He noted that these initiatives have generated job opportunities for local communities, bolstered by collaboration between government and private organizations. The recorded results in export and processed agricultural products are promising, indicating a positive trajectory for the industry.The Ethio Fruit Avocado Processing Company, one of the significant additions, is designed to process 80 tonnes of avocados per hour and produce 500 liters of avocado oil per hour. This facility will support 8,000 local farmers and has already created 60 permanent jobs, backed by a capital investment of 135 million ETB.

Another key player, Hebron Coffee, aims to strengthen the coffee industry by establishing market linkages with 40 coffee exporters. This facility has the capacity to process 800 tonnes of coffee annually and features its own farming operations under the name Guji Highland Coffee. Hebron Coffee also focuses on producing coffee capsules for both local and international markets.

During the event, Mr. Ararso, the Regional Finance Head, highlighted the growth of the agro-park over the past four years. Despite not yet reaching full operational capacity, the agro-park has celebrated the launch of four processing companies, including the Golden Avocado Processing Company, which has received 2 million kilograms of avocados and created 300 jobs, with 25% of positions filled by women.

Additionally, the Family Honey Processing Factory specializes in organic honey production, collaborating with 15 woredas and 100 commercial farmers to maintain a daily processing capacity of 8 tonnes, with plans for exportation.

The United Nations Industrial Development Organization (UNIDO) has played a vital role in supporting the development of agro parks and processors, providing training and capacity-building programs that have reached 17,000 farmers in southern Ethiopia. A total of 180,000 farmers have received training in general agronomy and post-harvest loss prevention, enhancing their ability to produce high-quality agricultural products.

These developments signify a remarkable advancement in the Sidama region’s agro-processing industry, paving the way for economic growth and sustainable development.