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Business News of Friday, 28 August 2020


CPC strategic to govt's industrialisation agenda - Akufo-Addo

President Nana Addo Dankwa Akufo-Addo during a visit to the CPC President Nana Addo Dankwa Akufo-Addo during a visit to the CPC

President Nana Addo Dankwa Akufo-Addo has identified the Cocoa Processing Company (CPC) as a key strategic entity to advance his government’s drive to fully maximise the benefits of cocoa production on the world market through value addition.

He argued that between Ghana and Ivory Coast, both nations produced 65% of the world’s cocoa beans, but earned a meagre US$10 billion per annum out of a global annual industry value of an estimated $142 billion.

The situation, he said, has preoccupied his government’s industrialisation agenda and to strike the needed partnerships to turn the situation around.

He said the success story of the company over the past few years under the current management fits into government’s push for a value-added industrialisation of the country, and would be given the necessary assistance to boost Ghana's economic landscape.

The President, during a familiarisation tour to the CPC at Tema Light Industrial Area, said his government has taken keen interest in addressing the challenges of many strategic companies to survive post-COVID-19 for effective national development.

He said his visit to the company was to reinforce the fact that there was the need to support the country's strategic economic institutions whose performance would be a major indicator of how well Ghana would fare in future.

Noting the debilitating effect of COVID-19 on the global economy, the President said there was the need to systematically open up the economy again.

"Within the meantime, a lot has happened and it is important that we draw a balance sheet of what is happening so that we can position ourselves to look as to what we need to do for the future," he stressed.

President Akufo-Addo said his administration was committed to transforming Ghana's economy from one reliant on its raw materials to one driven by value-added exports.

This, he said, would accelerate the country's industrialisation agenda, enhance agro-productivity, place Ghana at the high-end of the global market place and create jobs for Ghanaians.

With cocoa being a mainstay of Ghana's economy for over a century and a principal source of funds for its development, there was the need to promote the activities of the CPC to contribute effectively to the agenda of a value-added export-driven economy.

He said the operations of the CPC reinforced his conviction that the company was cutting edge of Ghana's industrialisation success, because of its strategic importance in the economic landscape of the nation.

"So, to have this company whose aim it is to add value to our cocoa industry makes you a very strategic company in our economic landscape," he said.

The President spoke about how the company, like many such state-run entities, had not been well managed, leading to "formidable challenges and indebtedness running in to over a $100 million".

He said he was encouraged that the new management appointed by his administration, was putting in the needed efforts and initiatives to "confront the past and build a successful and viable future for the company."

"The CPC story is one that should be told widely as a source of inspiration for many people in the private sector," he said.

The President further indicated that the increase in the subscription to Ghanaian confectionary and chocolates was a major boost for cocoa production and processing for Ghana.

The managing director of the company, Nana Agyenim Boateng, also indicated that the CPC is on the path of strong recover, which would require government’s assistance to foster a more strategic partnership with COCOBOD, to ensure constant supply of cocoa beans to CPC on a 60-day revolving credit basis.

He further said that the President’s vision in initiating the provision of cocoa drink to senior high school students as part of the School Feeding Programme is commendable and will go a long way in supporting the growth agenda of the CPC.