Komenda Sugar Factory- A pending disaster?

The inauguration of the Komenda Sugar Factory in the central region seems to have attracted the attention of all Ghanaians at a time the unemployment rate in the country has shot beyond measure. And there are expectations that it could serve as a platform for job creation for many Ghanaians.

It is estimated that the factory has the potential to generate direct and indirect employment to over 7,000 people.

Though we share the excitement of the people, we want to caution all to be circumspect with the joy and high expectations since there are myriad of challenges confronting the project even at the initial stage. The success of the project will largely depend upon the plans the government put in place to effectively confront these challenges.

There is therefore the need for expectation management to avoid disappointment when the unexpected happens.

Ghanaians have seen the establishment of similar factories and companies by government, which have either been left to collapse or are facing serious operational challenges. Companies like the Pwalugu Tamato Factory, the Juapong Textiles and the meat factory in Bolgatanga have all had their share of mismanagement that has led to their collapse.

It will be recalled that in 2006, under the reign of former President John Agyekum Kufuor, the factories were revamped, but could not operate to full capacity due to the failure of the current government to assist the authorities with funds to retool and pay staff salaries.

As regards the Komenda Sugar Factory, we have to bear in mind that the factory is designed to produce its own electric power, but that can only happen when it is able to utilise at least 80% of its capacity.

And as it stands now, it will not be able to generate enough electricity to feed itself and therefore has to rely on the national grid, which is expensive and can cripple its finances. Besides, the cost of electric power supply in the non-production maintenance season of the factory will be a major challenge to the cost of production.

We agree with the Minority in Parliament that these are critical issues that should engage the attention of government even as we strive for self-sufficiency in sugar, other than the needless propaganda to create to create the impression that the Mahama government has done what no other government had done before in the past.

Now, all it is very worrying that all indications point to the fact that government rushed to commission the factory at a time the required arrangement had not been put in place for actual take-off of production.

More importantly, one wonders what could have informed the decision by government to commission the factory at a time no clear-cut scheme had been put in place for the supply of raw materials to feed the factory.

Could the absence of raw materials be the reason for the closure of the factory for maintenance just a few days after the commissioning? Could that also be the reason we are being made to believe that production will only take place six months in a year to allow a six-month period of maintenance, as supposedly prescribed by the manufacturers of the production machines?

There are fears in many quarters that the Komenda Sugar Factory could be an impending disaster. The government has a duty to prove the skeptics wrong.