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Business News of Tuesday, 26 March 2013

Source: Abdul Karim Naatogmah/Citifmonline

AVCO to invest US $500,000 into rice production

An American multinational, AVCO Agri Company Limited Ghana has initiated moves to make Ghana become the outsourcing centre for rice production in the sub-Saharan region.

The company has acquired 500 hectares of land at Dorfor Agorveme in the North Tongu district of the Volta Region to start rice cultivation.

Starting with a seed capital of US $500,000 for the next three to five years, AVCO’s objective is to make Ghana become the primary source of food security in the sub-Saharan region.

Realizing the high demand for rice consumption in Ghana, the company seeks to break through the market by reducing the importation of rice into the country estimated at about 70%.

Managing Director of AVCO Company Limited, Ajay Nalamada brought this to the fore at a colourful Durbar of Chiefs and people of Dorfor Agorveme on Monday. He said AVCO Company Limited in collaboration with Star Africa Commodities and Minerals Limited has good intentions for the rice industry in Ghana.

Mr. Nalamada disclosed that the project by extension will include aqua culture, expected to create more jobs to reduce the rural-urban drift in Dorfor Agorveme. He thus called for government’s support in the area of electricity to the project site.

As part of the company’s corporate social responsibility, the company promised to build a clinic, school block, ICT centre, provide a school bus and the construction of water delivery systems to improve their livelihood.

As the lead facilitator of the project, Managing Director of Star Africa Commodities and Minerals, Christopher S. Andoh, said AVCO was committed to explore the agriculture industry in Ghana and advised the indigenes to take advantage of the project to educate their children.

DCE for North Tongu, Hon. Bubay Dzinado thanked the investors for choosing to invest in the North Tongu District. He stressed the need for partnership between the company and the indigenes to ensure transparency and accountability.

The DCE anticipated that the investors will support the peasant farmers to adopt modern farming techniques and assured the investors of total security to enable them operate in a safe environment.

In a speech read on his behalf, Chief Executive Officer of the Ghana Irrigation Development Authority, Dr. Nyamadi, admonished the residents to give the investors their maximum support by co-existing peacefully.

He indicated his outfit’s readiness to liaise with investors who are determined to improve agriculture in Dorfor Agorveme where a similar project started 10 years ago with funding from the African Development Bank.