AMG Industrial Park Connected to Ethio-Djibouti Railway in New Logistics Expansion

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Construction has begun on a new 3 kilometer railway line linking the AMG Industrial Park to the Endode Railway Station.

The project, launched under the Ethio-Djibouti Railway initiative, aims to facilitate faster transport of goods between Ethiopia and Djibouti’s Free Economic Zone. According to Minister of Transport and Logistics Alemu Sime (PhD), the new link is part of a broader plan to connect industrial parks, agro-processing zones, and logistics hubs directly to the main railway network.

Alemu (PhD) emphasized that over 90 percent of Ethiopia’s trade passes through the eastern corridor, making improved rail logistics essential to reducing costs and boosting export competitiveness. The new connection will enable efficient door to door transport of products such as metals and coffee from AMG’s facilities to international markets via Djibouti Port.

Takele Uma, CEO of the Ethio-Djibouti Railway, stated that the project, built entirely by Ethiopian engineers, demonstrates growing local capacity in railway construction. He noted that the company is expanding its role beyond operations to include engineering, maintenance, and high-speed rail development.

AMG Holdings, the developer of the industrial park, operates across steel manufacturing, coffee export, energy, and real estate sectors. Headquartered in Sheger City’s Gelan Sub-City, the company runs two major industrial parks - Adama (440,000 m²) and Sheger (770,000 m²). The new railway is expected to enhance AMG’s logistics efficiency and support Ethiopia’s broader industrial growth strategy.

Source: Sheger FM 102.1