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Business News of Saturday, 19 June 2021


Government grants import duty exemptions totaling GH¢435 million to 36 companies

President of Ghana, Nana Addo Dankwa Akufo-Addo President of Ghana, Nana Addo Dankwa Akufo-Addo

• Nana Akufo-Addo says his government gave some 36 companies exemptions on their import duties

• He explained that this is to make them competitive brands even beyond the shores of Ghana

• He spoke during the commissioning of a factory under the 1D1F

The president, Nana Addo Dankwa Akufo-Addo, has disclosed that a total of 36 companies in Ghana benefitted from duty import exemptions.

He explained that these companies, all who fall under the One District One Factory (1D1F) program of government, benefitted from the initiative that amounted to a total of GH¢435 million.

He said that such measures were put in place to help such businesses thrive and to expand into cross-border markets.

Nana Addo Dankwa Akufo-Addo was speaking on Thursday, June 17, 2021, during the commissioning of the new factory of Premium Foods Limited, a company operating under Government’s 1-District-1-Factory initiative.

Speaking at the site of the factory, located at Kwaso in the Ejisu Municipality of the Ashanti Region, President Akufo-Addo explained that the establishment of the factory is a concrete manifestation that the new paradigm of economic development of insisting on value-addition industrial activities within a conducive and business-friendly environment is making headway.

"Government remains committed to support private sector enterprises like Premium Foods to become globally competitive and thereby take advantage of market integration frameworks such as the African Continental Free Trade Area, whose Secretariat has been established and commissioned in Accra.

"To this end, government as at December 2020, has granted import duty exemptions to 36 companies under the 1D1F program amounting to some GHs435million. The main sections that have benefitted from the exemptions are agro processing, ceramics manufacturing, hardware manufacturing and vehicle assembling plants," he said.

Speaking at the event, Tom Gambrah, the Managing Director and Founder of the PFL, indicated that it is a humbling feeling for the company since it has exceeded its expectations since its inception.

“At our inception, we hoped to create 5,000 jobs. By 2012, we had created 25,000, direct and indirect jobs. When this new plant reaches full capacity, we would have created 100,000 sustainable jobs in the value chain,” he said.

He also explained how much of a help rural producers have contributed to their business, adding that they believe in the capabilities of the local industry to help the business thrive.

“Our business depends on rural producers who supply the raw material. Thousands of farmers depend on us to provide a market for their harvest, allowing them to pursue higher yields without fear of the uncertainties of trade,” Tom Gambrah said.

Over the years, Premium Foods has supplied blended fortified and non-fortified products, and ingredients to global organizations, including international relief organizations, and multinational food and beverage manufacturing companies across Africa, including “Feed the Future” programme, under the US Government’s Global Hunger & Food Security Initiative, the statement from the stated.