Banana industry faces more troubles

Ghana’s banana industry that was dealt a devastating blow by a rainstorm a few months ago is said to be going deeper into problems.

For the past few days, workers of the plantation, Volta River Estates Limited (VREL) which exports one of the best fair trade bananas to the European market have locked their management because of inability to pay off all its workers, who were laid off after the rainstorm.

Sources close to the management indicate that confidence would be returning to the plantation and profitability would be seen if financial assistance of ?700m from the Agricultural Development Bank is received on time. The bank has already provided a loan of nearly ?300m.

The Volta River Estates needs $1.3m to return to profitability. The sources said the first batch of organic banana would be ready before the end of this year adding that this would enhance the viability of the plantation.

However, 280 workers who have been laid off are yet to be resettled. The source thanked the government for its intervention in the aftermath of the storm and appealed for a quick resolution of the financial issues to enable peace to be returned to the Asuogyaman District.

Meanwhile, the management has assured laid off workers that arrangements are being made to pay them off tomorrow (Tuesday).