Ethiopia’s Prime Minister Unveils Major Coffee Warehouse Expansion in Oromia

Ethiopia’s Prime Minister, Abiy Ahmed, has launched a wide-scale program to build 123 modern coffee warehouses across Jimma and several surrounding woredas in Oromia. The initiative, announced by the Ethiopian Coffee and Tea Authority (ECTA), aims to reinforce the national coffee supply chain and increase the income earned by smallholder farmers.

Three Ethiopian construction companies—Lucit Construction Contractors, Eyerusalem Temesgen General Contractors, and Solomon Befekadu and Friends Building Contractors—have been selected to deliver the project within one year. The plan is divided into three stages: 24 warehouses in the opening phase, 34 in the second, and 56 in the final rollout. The total investment surpasses 400 million birr, with the facilities expected to begin operating in the upcoming fiscal year.

According to ECTA, Director General Adugna Debela (PhD) will supervise the work, ensuring that each warehouse meets required technical and quality standards. The sites are distributed across 12 woredas in the Jimma region, including Mana, Limu Kosa, Yayu, Hurumu, Bensa, Dale, Berbere, Nensebo, Kercha, Adola Redi, Yirgacheffe, and Kochere. Each contractor has been assigned responsibility for three woredas.

ECTA states that the warehouse program forms part of a broader national effort to raise coffee quality, improve logistics, and enhance Ethiopia’s performance in international markets. The authority also notes that the project responds to production-standard concerns raised by the European Commission and is expected to help farmers secure stronger prices for their harvests.

The first and second phases of construction each carry an estimated cost of 100 million birr, while the third phase amounts to roughly 200 million birr. ECTA says all three contractors bring previous experience in building coffee-storage facilities and that the entire project will be monitored closely to maintain timelines and construction quality.

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