Good evening, distinguish ladies and gentlemen.
I come to you with excitement just as we did a couple of months ago in Ekumfi where His Excellency, the President Nana Addo Dankwa Akufo-Addo launched the One District One Factory (1D1F) initiative.
We acknowledge your presence and efforts at ensuring that the ordinary Ghanaian is informed on the various activities undertaken by the 1D1F Secretariat. We do appreciate your contribution.
We have been working quietly behind the Scenes, since we launched the policy at EKUMFI.
Day in and day out press men and women pay regular visits to the office to enquire about the progress of work.
We have been encouraged by the interest you have shown and find it necessary to share with progress made so far.
I will first start with update on EKUMFI
Update on first project at Ekumfi
Earlier this year on August 25th, our first project was launched at Ekumfi in the Central Region. The project is a pineapple processing factory.
The scope of the project covers the setup of a processing plant, pack houses, warehousing, storage units, packaging units and distribution terminals.
An out-grower development scheme is also included to ensure constant supply and security of raw materials.
The project has been approved and funding arrangements made by Ghana Exim Bank.
The implementation programme has also been approved and construction for the project has taken off.
We anticipate that the construction process will take between 6 months to a year to complete and equip.
The first phase of the factory will engage one thousand five hundred (1,500) farmers and two hundred and fifty (250) people who will be employed at the factory. This project provides indirect jobs such support services such as transport, real estate, catering among others.
The 1D1F secretariat in the interim has remained very focused and determined to roll out new factories with very strong commercial viability and high levels of sustainability.
The painstaking efforts have been directed at ensuring the selection of projects with solid raw material base.
In addition to having an appropriate nucleus farm which will ensure continuous production, promoters are being encouraged to group outgrowers into associations and or cooperatives. By this way the new factories the new factories will be able to produce at full or near full capacity levels.
We have also stretched our scrutiny to cover market accessibility. In this area, priority attention is being given to the structuring of strong off taker agreements conducive for efficient survival.
The effective and efficient governance of the factories would boost sustainability. I don’t want to CREATE WHITE ELEHANTS so we will not cut Sods just to excite people.
At the appropriate time when we have exhausted all the teething problems we will line up the projects and cut sod to begin construction of the Projects.
The secretariat has so far engaged with different institutions whose activities are linked in one way or the other to the successful implementation of this policy.
At the policy level, the secretariat has engaged with key ministries like Ministry of Finance, Trade, Monitoring and Evaluation and Local Government to seek their support and approval for tax incentives tax breaks, duty exemptions and related issues conducive for the survival of infant industries in our environment.
We are also in close collaboration with Agencies like Ghana Investment Promotion Council, Food and Drugs Authority, Environmental Protection Agency, Ghana Export Promotion Authority, Ghana Standards Authority, Ghana Free Zones Board, Local Partner Banks and many others.
We are pleased to inform you of their willingness to provide services that will fast track the successful implementation of projects under this initiative.
Again Private sector institutions like AGI, Chamber of Commerce ,Private Enterprise Foundation and others have also been consulted to tap into their knowledge and experience
The secretariat has made some engagement with lead investors providing them with information necessary to put their proposed projects in shape in order to access and meet the requirement of the financing institutions.
The secretariat seeks to facilitate access to credit for the various projects. It must be emphasized that such facilities and its related liability are borne by the investors and not Government. This implies that the secretariat and the financing institutions have the responsibility of selecting viable projects that have a significant social impact in creating jobs and adding value to our local resources whilst meeting the demands of debt financiers (banks). Such institutions include These include, Ghana Exim Bank, GCB Bank, CNBM, UMB and Access Bank and some already evaluating projects just as Exim did for Ekumfi
With our discussions with the financial institutions, we are getting closer to conclude on projects that are viable and have met all the requirements necessary to access credit. These requirement include project viability, large volume Job creation foreign earnings/savings, social impact of projects, value addition, and security of supply of raw materials and community acceptability among others.
These projects cut across all the ten all regions of Ghana.
The projects include agro processing such as cassava, soya beans, shea butter, fruit and vegetable processing, rice milling, livestock processing including poultry, piggery, and aqua culture among others. Other project sectors include: manufacturing of tiles, smock production, bamboo processing), beverage production, waste recycling, etc.
I wish to repeat that it is not our aim to CREATE WHITE ELEPHANTS but commercially sustainable projects for the country.
Thank you and the good Lord bless us all.
HON. GIFTY OHENE-KONADU (MRS)
ONE DISTRICT, ONE FACTORY