This paper reviews relevant facts and statistics about the benefits and impacts of the growing use of chemical fertilizer with a focus on soil fertility, crop productivity, and alternative sources of biofertilizers. Agriculture in Ethiopia is the main source of the economy, and it is the key contributor of the export value and provider of raw materials to processing industries. However, Ethiopian agronomical production is characterized by low output, lack of infrastructure, and low level of technology and is enormously dependent on rainfall availability. In Ethiopia, soil fertility reduction is evolving as a serious contest causing low crop yields, and research findings reported that, at the country level, nutrient balance indicated a depletion rate of 122 kg N ha−1 yr−1, 13 kg P ha−1 yr−1, and 82 kg K ha−1 yr−1. To control soil fertility depletion, primarily fertilizers are used as the source of essential plant nutrients. In Ethiopia, the use of chemical fertilizers to increase crop production was low relative to other developing countries; however, now, it is steadily increasing. Urea and diammonium phosphate are common practices for maintaining soil fertility. Chemical fertilizer consumption increased from 12 kg/ha in 1996 to 36.2 kg/ha in 2018. The main cereals’ production increased from 16.5 quintal/ha in 2009 to 23.94 quintal/ha in 2018.
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