Business Focus Ghana Aims US$30 MLN From Sales of Factory Units in Ghana

Business Focus Ghana Ltd, an entity privately owned by prominent Malaysian tycoon Datuk Amin Shah Omar Shah, is aiming at US$30 million in three years time from the sales of its factory buildings at the BF-Tema Export Processing Zone (EPZ) in Tema.

It said the target was well within its reach due to the anticipated interest from investors and the efforts taken by Business Focus to promote the area as a favourable environment for manufacturing activities.

Since BF-Tema EPZ was officially launched in July last year, 20 units of factory worth US$6 million have already been sold, said Business Focus group executive chairman Datuk Amin Shah Omar Shah.

The investors for the facilities include companies from Australia, Hong Kong, Taiwan, Singapore as well as Malaysia, he told Malaysian journalists at the sales launch of the factory units in Tema on Thursday.

The companies with interests ranging from electronics, electrical appliances and computers to household appliances, furniture and building materials are expected to locate their businesses at the EPZ in Tema.

The BF-Tema EPZ, covering an area of 681 acres, is an integrated programme to promote processing and manufacturing of goods in Ghana. "Operating in this enclave will provide excellent opportunities for potential investors, not only to benefit from attractive incentives in terms of taxes and exemption of duties but also on project management," Amin Shah said.

"With the ready made factories, substantial amount of time and money can be saved in terms of project lead time and set up cost," he said.

Amin Shah said the development in BF-Tema EPZ would be undertaken in three phases with the construction of 1,000 units comprising detached, semi-detached and terrace factories planned under the first phase.

He said the first phase was scheduled for full completion in three years time.

Amin Shah said about US$10 million had been invested for the EPZ development, covering land acquisition cost, infrastructure facilities and the ongoing construction work.

Touching on marketing efforts for the EPZ, he said that Business Focus had conducted roadshows in Japan, Hong Kong and Taiwan to promote the area.

He said the Internet was also used to market EPZ. Apart from the existing 20 investors, Business Focus is currently in talks with several Japanese parties to sell the factories in EPZ, Amin Shah disclosed.

He said investors in EPZ would export 80-90 percent of their production to Europe, United States and other African countries while about 10 percent would be sold locally.

He said investors would find BF-Tema EPZ a strategic location given its close proximity to Europe and US.

Ghana is also backed by political stability, availability of competitive-cost labour and good supply of trained manpower, he added.

Amin Shah said although BF-Tema EPZ was a private-sector venture, the government of Ghana had been very supportive, including promoting the area during their trade missions.

He said Ghana was keen on the project as it stood to create employment among locals and bring in foreign exchange.

Generous incentives have been offered to investors operating in the EPZ including a 100 percent exemption from payment of income tax on profit for 10 years and 100 percent ownership even by foreigner investors.

Amin Shah owns 100 percent of Business Focus Ghana.