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Business News of Friday, 7 October 2016

Source: Class FM

Komenda Sugar Factory to resume operations in November

The Komenda Sugar Factory in the Central Region will resume operations in November, Secretary to the Board of Governors of the company, Ransford Vanni-Amoah has said.

According to him, the factory, which has been shut down for the past three months, is set to be transferred to a new Chief Executive Officer and a Ghanaian management team before it resumes operations next month.

The Komenda Sugar Factory Company Limited was closed down in June this year barely a month after it was commissioned by President Mahama in the Central Region.

The Public Relations Officer of the Ministry of Trade, Nana Akrasi Sarpong said the factory was closed down for maintenance and will resume operations in October but Ransford Vanni-Amoah in an interview on the Citi Breakfast Show on Friday [October 7] said the factory is currently undergoing management transition and will reopen in November.

He however did not state the exact date. “We are done with the test run and we will continue with the other processes at the site and by the close of this month, October, the Indians [Seftech India Private Limited] will hand over the facility to the government, that is the Ministry of Trade and Industry. The Ministry is preparing for a smooth transition,” he said.

Ransford Vanni-Amoah added that, “currently the new management has been instituted by the Ministry of Trade and Industry for the country. The test run was done by the Indians… in November, are going into full operation.”

‘Factory to close down again”

He noted that “for the running of the plant next month, we are going unabated, we will run it and run it well because as we start in November, we intend to run it for the 6 months before we break.”

According to him, the factory does not need to operate between May and July due to the rainy season.

‘1250 tonnes of Sugar a day’

The factory, when it resumes full operations from November will be expected to be produce about 1,250 tonnes of sugar each day.

‘Private – Public partnership’

Government is looking to diversity its interest in the company to a private investor to partly own and run the factory.

According to Ransford Vanni-Amoah, although no private company is officially on board yet, they were in the process of the getting one to run and manage the company with government.

“We have no officially communication a private company is partnering with us but currently its being handled by the Ministry of Trade and Industry 100 per cent so we are going to run until a private partner comes in,” he said.

‘Galamsey affecting Komenda Sugar Factor operations’

Mr Vanni-Amoah said some of the company’s outgrowers in the Western Region have complained that their work was being impeded by the activities of illegal miners in the area.

According to him, the management of the company have taken note of the development and was finding ways to address it.

He added that although the factory does not depend only on outgrowers in the Western Region, it was concerned about the illegal activity because it had a potential of affecting their output.

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