The Tana Beles sugar factory, envisioned as a solution to Ethiopia's sugar supply woes, has yet to launch operations this year due to unforeseen challenges.

According to Abebe Yehune, the factory’s General Manager, the factory struggles with several issues despite aiming for producing at full capacity. Primary among these is the damaged Gonzla hydroelectric power plant, which previously supplied electricity. This, combined with machinery problems and an inconsistent electricity supply, has severely hampered production, impacting both factory output and worker wages.

To navigate these obstacles, Abebe outlined plans to seek assistance from Ethiopian Electric Power for a reliable power supply. Additionally, the factory intends to acquire a loan from the Development Bank of Ethiopia to address machinery shortages. Despite these setbacks, the factory remains committed to its goals of boosting local economic development and job creation.

Tana Beles, which is situated in the Awwi Zone, Amhara Regional State, initiated pilot production in 2021. Originally contracted to Metals & Engineering Corporation (MetEC) for USD 235 million, the construction faced delays and was eventually terminated in 2018. China CAMC Engineering Co Ltd (CAMCE) assumed construction responsibilities thereafter. Spanning 13,000 hectares, the factory sources its sugar cane from irrigated land along the Beles River.

The factory envisions maximizing output by expanding sugarcane cultivation over the next five years. Currently employing 1,500 permanent and 1,600 temporary workers, the factory anticipates doubling its workforce once operational challenges are overcome.

Source: Addis Zemen

Additional source: Addis Fortune

Image source: fana BC