
President John Dramani Mahama has disclosed that the government is currently engaged in advanced negotiations with a prospective investor aimed at reviving the dormant Komenda Sugar Factory. These discussions, which the President noted began even before the current administration took office, represent a significant effort to operationalize the multi-million dollar facility. Speaking during a recent visit to the Central Region, Mahama emphasized that the revival is part of a strategic plan to enhance local sugar production and reduce the nation's heavy reliance on foreign imports.
A key component of the negotiations involves a proposal by the prospective investor to implement a ban on imported refined sugar. This measure is intended to protect the local industry and ensure a ready market for the factory's output. However, the President clarified that the government is conducting a rigorous evaluation of the investor's capacity before committing to such a policy. The administration is determined to ensure that the factory can fully meet domestic demand to avoid potential market shortages or price spikes that could result from a premature ban on imports.
To facilitate a smooth transition, the government is considering a phased approach to gradually reduce sugar imports as local production scales up. This strategy aims to balance the needs of the investor with the stability of the national sugar supply. Beyond the immediate economic benefits of import substitution, the revival of the Komenda Sugar Factory is expected to play a crucial role in Ghana’s industrialization agenda, creating thousands of direct and indirect jobs while providing a vital market for local sugarcane farmers. The successful restart of the facility is seen as a key step toward stabilizing the domestic economy and achieving long-term food security.
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