• Ethio-Djibouti Railway Corporation reaffirmed commitment to expand railway infrastructure using domestic expertise.

• CEO Takele Uma made remarks during Adwa anniversary site visit.

• Leadership and staff toured the AMG–Indoode Link Railway Project.

• Project executed by corporation’s engineers, technicians and operational teams.

• Corporation stated it is delivering projects without external contractors.

• State Minister of Transport and Logistics Dhenge Boru highlighted railway expansion priority.

• Government investing in transport corridors and railway connectivity.

• Expansion aims to improve freight efficiency and reduce transport costs.

• Projects expected to enhance network integration and regional logistics role.

why it matters?
Railway expansion using domestic capacity supports freight efficiency and corridor integration. It aligns with Ethiopia’s strategy to strengthen logistics competitiveness and regional trade positioning.

• Ethiopia piloted rail transport of 120,000 litres diesel via Ethio-Djibouti Railway. 

• Pilot uses specialised wagons at Indode Railway Depot, Addis Ababa outskirts. 

• Initiative directed by Prime Minister Abiy Ahmed to reduce road haulage reliance. 

• Ethio-Djibouti Railway JSC and National Oil Company oversee fuel rail trial. 

• Trial validates safety standards, logistics procedures, regulatory framework. 

• Government plans to expand rail fuel transport to gasoline and jet fuel. 

• Project aligns with Ethiopia’s transport master plan to expand multimodal freight. 

why it matters?
Rail diesel transport trial could lower Ethiopia’s fuel supply logistics costs and reduce foreign-exchange outflows from road tanker dependency. It advances multimodal freight use along the Djibouti corridor.

• Ethio-Djibouti Railway (EDR) and National Oil Company (NOC) launched a pilot to transport 120,000 liters of diesel by rail from Indode depot on January 27, 2026. 

• Initiative follows a directive from Prime Minister Abiy Ahmed to begin petroleum transport via rail to modernize logistics. 

• EDR has 110 underutilized fuel tank wagons; missing connections to oil terminals have limited use. 

• Negotiations ongoing for a 1.5 km rail link from Horizon Djibouti Terminals fuel jetty to the train station. 

• Doraleh Multipurpose Port first-mile trucking (1.9 km) costs Ethiopia about USD 10 million annually. 

Why it matters: This pilot marks the first operational test of bulk petroleum movement by rail in Ethiopia, aiming to reduce logistics costs and enhance supply chain efficiency for strategic imports. If successful and scaled, it could set a precedent for transporting fuel and fertilizer via rail.