Komenda Sugar factory to begin commercial production from 2022 – Akufo-Addo

Komenda Sugar Foresnsic.jpeg The Komenda Sugar Factory has been left to rot for years

Mon, 18 Oct 2021 Source: www.ghanaweb.com

• The defunct Komenda Sugar factory will soon be revived

• The sugar-producing factory is expected to start commercial production from 2022

• The Komenda Sugar Factory was recommissioned in 2016

President Nana Addo Dankwa Akufo-Addo has hinted he expects the Komenda Sugar Factory to commence commercial production in the first quarter of 2022.

The sugar-producing factory, established in 1964, has become defunct due to technical difficulties and setbacks. The birth of the factory was based on the premise of producing sugar locally to reduce importation but that is yet to yield any results in recent times.

During an interview on Eagle FM in the central region, as part of a working visit to the area, President Akufo-Addo revealed that Park Agrotech Ghana Limited had been selected as the preferred strategic investor for the Komenda Sugar Factory, adding that their recommendation has been approved by Cabinet.

“However, negotiations between the Transaction Advisor (Price Water House) and the Strategic Investor have been unduly prolonged due to several demands made by the Strategic Investor, as well as the effects of the emergence of COVID-19 pandemic, which restricted consultations between the investor and the Transaction Advisor,” the presidency wrote on its website outlining revival plans for the factory.

“With the delays in concluding negotiations between the Transaction Advisor and the Strategic Investor, the Ministry of Trade and Industry, after given the required notice, terminated the negotiations with the Strategic Investor on 1st September 2021 for their failure to fulfil the conditions precedent to the offer made to them,” it added.

Meanwhile, President Akufo-Addo has said the services of the Technical Partner with expertise in the sugar industry has been engaged to manage the technical operations of the factory.

As part of efforts to rope in local content personnel to revive the factory, traditional authorities in Komenda and the adjoining districts have been engaged to acquire large tracts of land for sugarcane plantations.

Though the erstwhile John Mahama administration recommissioned the factory on May 30, 2016, in a bid to get it functioning once again and offer employment for the youth, the move hit a snag as the Akufo-Addo-led government took office shortly in 2017.

The recommissioned Komenda Sugar Factory was expected to create some 7,300 direct and indirect jobs at full operational capacity. The factory is said to be able to crush 1,250 tonnes of sugar cane daily.

Source: www.ghanaweb.com
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