Ethiopia: Massive Promises, Empty Fields - the Multi-Billion-Dollar Unsuccessful Saudi Project in Ethiopia

In Ethiopia's Gambella and Benishangul-Gumuz regions, Saudi Star Agricultural Development Plc acquired a vast 14,020 hectares of land. This acquisition, backed by Saudi billionaire Sheikh Mohammed Al-Amoudi, was part of a multi-billion-dollar initiative aimed at boosting agricultural production in the country. However, a recent investigation reveals stark contrasts between the initial promises and the current state of affairs.

Despite the initial promise of rapid national development and the creation of 1 million tons of export-grade rice annually, the project has largely failed to deliver. Environmental miscalculations, operational mismanagement, and a regulatory vacuum have left most of the conceded fields idle. The highly engineered irrigation system, designed to divert water from the Abobo reservoir dam, is largely abandoned due to engineering flaws and inconsistent maintenance.

The company's leadership has admitted to fundamental errors in their environmental and feasibility studies, which ignored the complex ecological realities of the Gambella basin. These errors led to severe seasonal challenges, including moisture shortages during the critical milking stage of rice plants and erratic rainfall patterns that disrupted harvesting schedules.

The impact of these operational failures is particularly severe for the indigenous Anuak and Nuer communities, who were systematically displaced from their ancestral lands to make way for the corporate concession. Promises of local wealth, modern infrastructure, and schools have not materialised, leaving these communities without access to their primary means of survival.

Local elders describe the permanent disruption of local ecosystems and traditional cattle-grazing pathways due to the clearance of natural forests and the construction of dry canals.

Exploitative and dangerous working conditions have also been reported within the agricultural enclave. Nearly 37% of field labourers have suffered occupational injuries, many of which were directly linked to a lack of safety oversight. Over 93% of these workers were hired as temporary day labourers, earning less than $10 per month with no long-term financial security or health coverage.