Soil acidity and the decline in organic matter content of the soil are among the major yield-limiting factors in the northwest highlands of Ethiopia. Therefore, a 4 × 4 factorial field experiment was conducted in a randomized complete block design in two dry seasons, under irrigation at the Koga Irrigation Scheme, in northwestern Ethiopia to examine the effect of carbonized rice husk application timing (CRHT) and soil amendments (SAs) on water use efficiency, lodging, and yield of tef. Treatments were four SAs: without SA (control), compost (10 t ha−1), lime (2.5 ton ha−1), and 10 t ha−1 compost + 2.5 t ha−1 lime (CL); four CRHT: control (no application), whole rate during sowing (CRHT2), equal splitting during sowing and tillering (CRHT3), and whole rate during tillering (CRHT4), with a total of 16 treatment combinations, replicated four times. The pooled mean ANOVA results showed that the SA significantly influenced lodging index (p < 0.01), leaf area index (p < 0.001), and aboveground biomass yield (p < 0.01), but not water use efficiency, plant height, panicle length, and number of plants per square meter (p > 0.05). The CRHT only significantly (p < 0.05) influenced chlorophyll content. The effect of lime on grain, aboveground biomass, and straw yield parameters was statistically similar to the application of compost. Compost and CL showed significantly increased sensitivity of tef to lodging, which ranged from 46.2% to 65.9%, compared with lime and control treatments. In conclusion, the application of CL significantly improved tef grain, aboveground biomass, and straw yields by 12.1%, 14.5%, and 15.2%, compared with lime, 12.3%, 9.3%, and 8.4%, respectively, from the control treatment.