Deputy Minister of Trade, Carlos Kinsley Ahenkorah
The Deputy Minister of Trade, Carlos Kinsley Ahenkorah, has stated that the Kumasi Shoe factory is yielding low results due to poor investor agreement.
Reports indicate that the state security agencies have refused to patronize the boots and shoes produced by the DIHOC Footwear Division Limited (formerly Kumasi Shoe Factory) which is negatively affecting the operations of the company.
The agencies — the Ghana Armed Forces (GAF), the Ghana Police Service, the Ghana National Fire Service (GNFS), the Ghana Prisons Service and the Ghana Immigration Service — are said to have resorted to the importation of boots and shoes from China and India. The factory is jointly owned by GAF and a Czech Republic-based company, Knights a.s.
Speaking to Ekourba Gyasi on Atinka AM Drive, Carlos Kinsley Ahenkorah explained that based on the agreement the investors realized that they were not getting value for money invested.
According to him, the investors were made to partner the Ministry of Defense. He added that 40 % of the revenue belonged to the government whereas the other 60% belonged to the investors.
He added that per the agreement, the security forces were supposed to patronize the boots and shoes after production. He however hinted that the state security agencies have refused to patronize the boots and shoes as greed.
The Deputy Minister however promised that the factory will be repositioned to become a profitable venture to attract more investors.
