It is found in Horo Guduru Welegga Zone of Oromiya Region in Abay Chommen District at Fincha Valley Agamsa area, 350 Kilo Meters from North West of Addis Ababa.
It was found that the valley is favorable for sugar industry. Sustainablity, topography and soil content had been studied by the British Booker`s Agricultural International Limited Company since 1977/78.
Its project construction started in January 1988 after being financed by Africain Developemnt Bank as well as Sweden, Australia and Spain Governements and local banks.
Fincha Sugar Factory`s command area including the West and East area is 67,098 hectare. Passing through Fincha Valley it generates hydro electric power. Then it divides the valley into two and travels to North and flows to Blue Nile. The western Bank of Fincha River develops 6,476.72 hectare land. Factory started trial production in 1998 and entered into regular production the following year.
Altitude of the place ranges between 1,350 to 1,600 meters. Higher temprature of it is 31 degree centigrade and the lowest is 15 degree centigrade. Its average annual rainfall is 1,300 milimeters. This natural situation makes the area where Fincha Sugar Factory is located a ‘’Green Desert’’.
The factory is playing a leading role in the country`s economy by providing ethanol to be mixed with benzine and used as fuel. It also provides ethanol for other industries.
General Expansion Project of the Factory
The expansion project of the factory started in 2005/2006. With this it is planned to expand land covered with sugar cane to 21 thousand hectares including West Bank`s 8,300 hectares as well as 7,000 hectares of East Bank and 4,670 hectares of Neshe area.
Parallel to this, by increasing the cane crushing capacity, it is planned to increase the factory`s annual sugar production to 270,000 tons from what it was 110,000 tons. It is also planned to increase annual ethanol production to 20 million litres from what it was 8 million litres.
The expansion completed in 2013/14 and the factory intered into production process having 19,000 hectares of land covered with sugarcane by then.
With the factory expansion work carried out one additional factory planned to crush 6,600 tons of sugarcane a day and there by produce 160,000 tons of refined white sugar annually is made possible lifting the total annual sugar production capacity of the factory to 270,000 tons.
In terms of power generation for residential houses and the factory ; previously the factory set up a thermal plant with 2 mega watt turbine steam each with 3.5 mega watt steam turbine. This was set up during the first phase. The factory in aggregate generates 31 megawatts power. From this 21 megawatts is spent to residential houses, the factory and other internal works of the factory. The remaining 10 megawatts is sent to the national power grid.