Ghana is seeking for a strategic investor in a Public-Private-Partnership deal to revive the Ayensu Starch Company at Bawjiase in the Central Region.
The company is facing numerous operational and administrative challenges hence its inability to meet demands of its customers and thus incurring losses.
The company failed to produce the expected 4,000 metric tonnes of starch for Guinness Company Limited by June 2014. It is further expected to produce an additional 10,000 tonnes by June 2015 when it could not even produce a thousand metric of starch last year.
The starch factory which was established in 2004 under the erstwhile Presidential Special Initiative with many prospects, has not functioned to expectation, prompting government to look for a strategic investor to partner and make the company play its role in the socio-economic lives of people in its catchment areas.
During a tour of the facility, Deputy Minister for Trade and Industry Kweku Ricketts-Hagan disclosed the urgent need for a partner to restructure the factory and strengthen its finances to meet demand.
He added that private investors have proven over the years to be better managers of such facilities.
Mr. Ricketts Hagan was however quick to add that looking for a private partner will not result in job cut but rather expand the factory as it is currently producing way below capacity “so more hands will be required”.
Mr James Biitir, Coordinator at the factory said they have a contract with Guinness Ghana Limited to supply starch but has not been able to fulfill their side of the contract because of production challenges, noting that only half of the 1,300 acres of land allocated to them has been used.
Mr Biitir further welcomed government’s decision to look for an investor to help revive the Ayensu Starch, saying it will end all agitations by workers, enable them meet demands of their customers and put the factory on a path to success.
African Eye News.com
