The government obtains a loan of 24.9 million dollars… for an agricultural mechanization factory

The project which also involved the construction of an assembly plant to manufacture agricultural implements would be executed by Action Construction Equipment (ACE) Limited of India which would provide the engineering, procurement and construction (EPC) contract. .

It would cost $24.9 million with a completion date set within 18 months of yesterday’s signing ceremony.

Delivering a short statement ahead of the signing, Ken Ofori-Atta, Minister of Finance, said it was very important for the project to take off as the world grapples with food insecurity due to post-COVID-19 challenges. and the Russian-Ukrainian war.

He said it was therefore important that such a project be launched, not only to mechanize agriculture to ensure food security in the country, but also to create jobs in the country.

Ofori-Atta said he hoped the project would lay the foundation for mechanized agriculture to diversify the economy for accelerated development, adding that small and marginal farmers would have access to mechanical farming equipment.

He commended the EXIM Bank and the Government of India for the many supports given to the country over the years which have materialized the bilateral relationship between the two countries.

In a speech read on his behalf by TwumasiAnkrah, the Acting Chief Director of the Ministry of Food and Agriculture, DrOwusuAfriyieAkoto, the Sector Minister said that agricultural mechanization has been identified as one of the key drivers increasing productivity and improving agriculture. years, the ministry has imported various agricultural machinery including tractors for sale to farmers.

He said that this initiative, apart from the huge burden on the government’s budget, has also been tested by frequent outages due to adverse weather conditions.

Dr Akoto said it was in this regard that MoFA viewed the establishment of an assembly plant for local assembly of tractors and agricultural machinery as a major contributing factor to the success of the Planting for Food and Jobs (PFJ) program. ).

He said the assembly plant would boost the government’s mechanization program and also reduce the importation of goods from foreign countries, which in the long term would help relieve pressure on major foreign currencies.

DrAkoto said the project would create more jobs to eradicate poverty and also make agriculture more attractive since the agricultural sector was a major contributor to the country’s export earnings, a major source of inputs for the industry as well a source of income for the majority of the population. .

Selver Kumar, the Resident Representative of EXIM Bank, said that since 2004, the bank has partnered with Ghana on many development projects helping to establish a fruitful bilateral relationship between the two countries.

He said it was hoped that the project, in addition to helping create food security, would also create many job opportunities across the value chain, adding that the project would be a game-changer to help boost food exports in the country.

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