Business News of Wednesday, 27 February 2013

Source: myjoyonline

Aveyime rice project faces imminent collapse

Management of Prairie Volta Rice at Aveyime in the Volta region says the company will grind to a halt in two months, if government does not support it.

Joy News has learnt the company has harvested its last rice yield and once milling of that is done, there will be no more paddy rice to mill.

This is because the company in which government owns 30 per cent shares, has run out of cash and is unable to plant new seeds.

Joy News correspondent Benjamin Tetteh reported the situation is not pleasant.

He said the over 120 workers in the farm are a bit jittery with the fear of losing their only source of livelihood if the necessary funding is not made available to help the company.

The facility produces 8,000 tonnes of rice annually even though the workers claim the machines present could produce three times what is being produced currently.

The workers say the machines are being under-utilised.

The Managing Director of the Company, P Anderson said like most state institutions, the company has been underfunded.

He said even though they were promised more than a year ago by government to fund their activities, the funding never came.

He feared the company will shut down in the next two months.

The Member of Parliament for North Tongu said the situation demands urgent action.

Samuel Okudzeto promised to lobby for the necessary funding into the project.