In a bid to improve consumption of fertiliser product in Africa, Dangote Industries Limited and Togolese Government have concluded an agreement to develop and transform the country’s phosphate into phosphate fertilisers for the West African sub-region.
With over two billion tonnes of phosphate reserves, Togo is one of the leading phosphate producers in Africa.
By partnering the
Dangote Group, the country intends to benefit from the expertise and investment capacity of Africa’s largest industrial group, according to a joint release issued by the Dangote Group and the Communications Department of the Presidency of the Republic of Togo.
With the completion and commissioning of the Dangote Petroleum Refinery and Fertiliser complex, Ibeju-Lekki in Lagos, Dangote Group would be the largest ammonia producer on the African continent, the release noted.
Ammonia is an essential ingredient in the transformation of phosphate into fertiliser derived from phosphates. Under the agreement, Togo would provide access to phosphate resources and the Dangote Group would provide access to ammonia and to the Nigerian market.
The project, in line with second pillar of the Togo National Development Plan, should enable the production of more than one million tonnes of fertilisers derived from phosphates once completed.
The cost of the investment is estimated at about $2 billion and is expected to create several thousand direct jobs. Mining development work would start before the end of 2019, the statement added.
On this occasion, Dangote Group also announced the establishment of a cement manufacturing plant with an annual capacity of 1.5 million tonnes in Lomé. This plant would use clinker from Togo and Nigeria and would meet both local and neighbouring countries’ demand, the statement noted.
Dangote added that construction of the Lome plant is billed to start in first quarter of 2020 and its commissioning scheduled to take place before the end of 2020. The investment is estimated at $60 million and is expected to create 500 direct jobs.
Togolese President, Faure Gnassingbé, in his remarks, said: “The structural transformation of our economy is the main objective we have set ourselves in the context of the 2018-2022 NDP.
“By processing our phosphate we will not only create jobs but we will also be able to provide our farmers with good quality fertilizers at an affordable cost. Having an industrial investor like Alhaji Dangoté shows that our efforts to improve the business climate are paying off. We intend to continue in this dynamic for the well-being of Togolese men and women.”
In his contribution, President of Dangote Group, Aliko Dangote, said: ‘’This partnership is in line with our transformation agenda in creating prosperity and enhancing economic development not only in Togo but also in Affrica.
“In addition, the Dangote Group is determined in supporting the Government of Togo in its industrialisation strategy aimed at creating jobs for its citizens and making Togo an attractive investment destination.’’
The two investment agreements reinforced Togo’s industrialisation strategy adopted under the 2018-2022 National Development Plan.
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