Ressources numériques en sciences humaines et sociales OpenEdition Nos plateformes OpenEdition Books OpenEdition Journals Hypothèses Calenda Bibliothèques OpenEdition Freemium Suivez-nous

State-Led Industrialization and the Social Costs of Development: Dispossession and Labor Experiences at Bole Lemi Industrial Park in Ethiopia

State-Led Industrialization and the Social Costs of Development: Dispossession and Labor Experiences at Bole Lemi Industrial Park in Ethiopia

By : Wubayehu Tolesa Musei, Haramaya University

 

Despite decades of critical research on the social costs of top-down approaches to development (Scott,1998) Ethiopia remains committed to a modernist, state-led path of development trajectory under successive regimes(Clapham,2006). Such models of development tend to reinforce the extreme poverty and inequality that they set out to alleviate (Escobar, 1995). The case of Bole Lemi Industrial Park (BLIP) is a prime example of this process, demonstrating that contemporary industrial parks in Ethiopia are not a departure from the past, but rather a continuation of long-standing processes of land dispossession, socio-economic marginalization and cultural disruption that can affect peace either directly or indirectly (Gultong,1969)

BLIP, located in Addis Ababa, was established as a flagship of the Ethiopian developmental state, with government actors portraying it as a site for employment creation, foreign direct investment, and integration into the global economy. However, the results of field research undertaken between mid-May and September 2025, which involved 49 respondents from the displaced community, workers, business managers, and government officials, indicate a more complex situation. Although the BLIP has contributed to the overall economy of the country, it has also had significant socio-economic, cultural, and labor-related impacts on the displaced community and women workers.

The Bole lemi industrial Park emerged as part of Growth and Transformation Plan I (GTPI)  was established in 2012 on 357hectors (UNIDO,2018) with aim of transforming national economy from Agriculture led to industry led. Globally industrial park development is aimed at creating job, transfer technology and support for industrialization (Madani, 1999) As Industrial park corporation admins reported the BLIP consist 24 shades and all shades are occupied 16 companies by foreign and domestic investors engaged in producing different products. BLIP created job opportunity for approximately for 27000 workers.

Contested Development Narratives

BLIP demonstrates how the concept of development, as promoted by the government, has yielded highly divergent outcomes. The government perceives the BLIP as an example of development success as it offers opportunities for job creation, export earnings, industrialization, and integration into the global market. Thus, the BLIP as perceived by the government represents development, modernization, and opportunities for upward social mobility. However, the affected communities view the BLIP as an example of land dispossession, livelihood loss, socio-economic marginalization, and cultural decline. The 65-year-old respondent argued that “the land we inherited from our ancestors, which has been the source of our livelihood and the repository of our collective memory, has been transformed into an intergenerational poverty trap.” Furthermore, the BLIP created what Vanclay (2017) argue that large scale development projects lead the community to lose what they value even finance cannot compensate. The divergent narratives on the BLIP illustrate that development is not necessarily good for everyone and that its outcomes are socially differentiated and unequal. The BLIP demonstrates the scenario where development outcomes are achieved at the expense of the local community, raising pertinent questions about social justice and inclusiveness in the development trajectory of Ethiopia.

Property Regime Change and Land Dispossession

The areas currently occupied by BLIP, which have historically been known as Gosu and Lemi, were crucial to the agricultural livelihoods, identity, and religious practices of the Tulama Oromo. The lands were governed by customary land tenure systems for many years, which supported mixed livelihoods, extended family structures, livestock rearing, and food agriculture. Land is an immovable resource deeply rooted in culture (Li, 2014) and land dispossession, which involves removing people from their land for state or private development projects, undermines traditional property arrangements and disrupts local social and cultural systems. The government used force and deterrence to displace people to make the space free for BLIP development. This is encouraged by the 2005 expropriation proclamation which gives handful power for the government to evict people for development purpose at any cost. In these scenarios, displacement acts as a tool for accumulation by dispossession (Harvey, 2003), leaving original landholders out of the decision-making process. The development of the industrial parks led to the displacement of small-scale farming households in ultimately disrupts their social, economic, and cultural connections to the land (Robison, 2003). According to official documents, a total of 667 households were displaced in three projects, with the largest contribution being from BLIP, although community estimates place the number at over 1,000 displaced households. The evictions were accompanied by the demolition of houses, uprooting of crops, and resettling in sites that lacked basic infrastructure such as roads, electricity, schools, and health facilities. A 70-year-old respondent was clear that this was ancestral land, not for newcomers.

This illustrate as the state’s development agenda in the form of industrialization takes precedence over customary land rights, social cohesion, and well-being. The disruption of the traditional land tenure systems has contributed to heightened socio-economic vulnerability which has constrained the displaced households’ ability to construct sustainable livelihoods and socio-cultural disruption.

Compensation and Broken Promises

While Ethiopia’s 2005 Expropriation Proclamation provides that landholders should receive comparable compensation for expropriated land, its implementation has often fallen short of ensuring fairness in practice. The government assured employment and land replacement for the displaced population, especially the children of displaced households. Nevertheless, these assurances were not realized. The displaced population received small residential plots measuring between 375 and 500 square meters. The youth received even smaller plots of 105 square meters, which were not enough for farming and living with their parents and grandparents.

The elderly informant, aged 79 years, narrated how he lost a lot of land for farming and 25 cattle inherited from his parents. He was forced to sell 20 of his cattle to build a house. The experience of this informant shows the irreversible effects of land dispossession on the displaced population’s economic and social well-being.

The inclusive development project of BLIP has resulted in land dispossession and economic marginalization of the displaced population, thereby perpetuating intergenerational poverty and denying the population access to the promised modern economy.

Livelihood and Socio-Cultural Transformation

Before BLIP, the means of living for households were farming and raising livestock. The land was also a place for cultural and religious practices, including Idir gatherings, Irreecha ceremonies, and religious sites like Melka Gozu. The

Displacement disrupted these. Housing allocations were not suitable for farming or large family sizes, leading to a loss of intergenerational knowledge, farming knowledge, and cultural knowledge. Households were dispersed, leading to a breakdown of social structures and community. For the Tulama Oromo, land represents heritage, identity, and emotional connection; its loss is more than material, it is also cultural and spiritual violence, disrupting ties to the past.

The BLIP case illustrates that industrialization can be multi-dimensionally harmful, extending beyond economic harm to include social disruption and the loss of intergenerational continuity. Assessing development based on GDP or employment does not account for these human and cultural costs.

Labor Experiences in the Industrial Park

Labor dynamics at BLIP reveal gendered precarity, with women bearing the brunt of low-wage, insecure employment. The Industrial Park Corporation granted access to Top New Apparel Manufacturing PLC and Vestis Garment Production PLC, while Shints ETP and Jay Jay Textile PLC refused, limiting data collection.

Top New employs 1,100 workers per shift, and Vestis employs 800. Female workers reported working 7:00am. to 5:30pm with a 20-minute lunch break. Starting salaries at Top New is 2,800 ETB, including attendance and performance incentives, with incremental increases after three months. Supervisors noted that workers often seek overtime to supplement insufficient base wages.

Women constitute the majority of the workforce, with 950 of Top New’s employees being female. While companies provide limited benefits, including lunch, transportation, and allowances for pregnant workers, wages remain insufficient to meet basic living costs, forcing continued reliance on family support even after years of employment. BLIP thus expands employment opportunities while reproducing low-wage, sustaining survival rather than facilitating economic mobility.

Conclusion

The experience of Bole Lemi Industrial Park illustrates the contradictions between national economic objectives and local experiences. For the government actors, BLIP is a success story of development, while for the displaced; it is a story of dispossession, social disintegration, and fragmentation. Industrialization has had uneven effects, achieving national economic objectives while undermining customary land ownership, intergenerational livelihoods, cultural continuity, and gender equality. This study confirms the importance of inclusive and participatory approaches to industrial development, which consider human, cultural, and socio-economic aspects. Property rights, compensation, and livelihoods are essential considerations.

Development is not only defined by investment, industrial production, or employment creation; it must also be understood in terms of justice, equity, and people’s well-being. It is only by considering these human aspects of development that Ethiopia’s industrialization strategy will be able to strike a balance between national economic objectives and development responsibility.

 

References

Clapham, C. (2006). Ethiopia: The limits of power. Cambridge University Press.

Escobar, A. (1995). Encountering development: The making and unmaking of the Third World. Princeton University Press.

Galtung, J. (1969). Violence, peace, and peace research. Journal of Peace Research, 6(3), 167–191.

Harvey, D. (2003). The new imperialism. Oxford University Press.

Li, T. M. (2014). Land’s end: Capitalist relations on an indigenous frontier. Duke University Press

Madani, D. (1999). A review of the role and impact of export processing zones. World Bank.

McDowell, C. (1996). Understanding impoverishment: The consequences of development-induced displacement. Berghahn Books.

Moreda, T. (2015). Listening to their silence? The political reaction of affected communities to large-scale land acquisitions: Insights from Ethiopia. Journal of Peasant Studies, 42(3–4), 517–539.

Robinson, W. I. (2003). Transnational conflicts: Central America, social change, and globalization. Verso.

Scott, J. C. (1998). Seeing like a state: How certain schemes to improve the human condition have failed. Yale University Press.

Sen, A. (1999). Development as freedom. Oxford University Press..

Vanclay, F. (2017). Project-induced displacement and resettlement: From impoverishment risks to an opportunity for development? Impact Assessment and Project Appraisal, 35(1), 3–21.


OpenEdition vous propose de citer ce billet de la manière suivante :
Secrétaire Scientifique (23 avril 2026). State-Led Industrialization and the Social Costs of Development: Dispossession and Labor Experiences at Bole Lemi Industrial Park in Ethiopia. UN ŒIL SUR LA CORNE / AN EYE ON THE HORN. Consulté le 15 mai 2026 à l’adresse https://doi.org/10.58079/164in


Vous aimerez aussi...

Laisser un commentaire

Votre adresse e-mail ne sera pas publiée. Les champs obligatoires sont indiqués avec *

This site uses Akismet to reduce spam. Learn how your comment data is processed.