Ethiopia: Ethio-Djibouti Railway Plans to Double Freight Rolling Stock, Expand into Logistics and Engineering

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Ethio-Djibouti Railway Share Company (EDR) says it plans to double its fleet of freight wagons and electric locomotives by the end of this year, a move intended to raise cargo-handling capacity on the cross-border corridor linking Ethiopia and Djibouti.

The company currently operates about 1,100 freight wagons and 35 electric locomotives. EDR’s planned fleet expansion comes as it reshapes its corporate structure, shifting from a single-focus rail operator into a holding company with activities spanning multimodal logistics, construction, and large-scale civil engineering.

Alongside the rolling-stock plan, EDR is advancing infrastructure projects aimed at widening rail connectivity to industrial and energy facilities. Work is underway on a three-kilometer spur line that will connect the AMG Industrial Park to Gelan station. In Djibouti, EDR is also pursuing civil works to link the Horizon Djibouti Terminals Limited (HDTL) oil terminal in Doraleh to the main railway line, a connection expected to support the integration of oil transport into rail freight operations.

Looking further ahead, EDR has expressed interest in a 47-kilometer dual-line project that would connect Bole International Airport with a planned airport city in Bishoftu.

EDR has also signed a technical consultation agreement with China Civil Engineering Construction Corporation (CCECC) to support project execution. Separately, the company recently hosted a delegation from ENOC Group led by Acting CEO Hussain Sultan Lootah, including a visit to the AMG facility to observe rail-connected operations relevant to HDTL-linked plans. EDR says it is organizing its strategy around three pillars: railway operations, global logistics, and an engineering division.

Source: Capital Ethiopia Newspaper