Business News of Wednesday, 7 August 2024

Source: starrfm.com.gh

MP blames NPP for Komenda Sugar Factory deterioration

Komenda Sugar Factory will be leased to investors for a period of 15 to 20 years Komenda Sugar Factory will be leased to investors for a period of 15 to 20 years

Former Deputy Trade Minister, Murtala Mohammed, has attributed the deterioration of the Komenda Sugar Factory in th Central Region to the ruling New Patriotic Party (NPP).

"The place has deteriorated, so who caused it? In 2017, under this government, the project was valued at $35 million."

This government should be held responsible for the deterioration of the Komenda Sugar Factory; it has nothing to do with the NDC government.

The deterioration started under this government," he asserted.

The Tamale Central MP explained that under former President John Mahama, the National Democratic Congress (NDC) secured a loan from the Indian Exim Bank in two tranches: $35 million for building the factory and $24 million for raw materials, specifically sugarcane.

However, the NDC was unable to access the remaining funds needed to fulfil these plans after losing the 2016 elections.

Mr. Mohammed criticised the current administration for not pursuing the funds to continue the project.

"The contractor finished the building in two and a half years. We were supposed to go for the remaining $24 million, and I led the approval of the loan. However, we lost the elections in 2016, and this government decided not to pursue the approved loan. So, we should be asking this government why they refused to access the loan," he explained.

He also warned against leasing the factory to West Africa Agro Limited, claiming it would disadvantage Ghanaian farmers.

"If they give the company to West Agro Limited, they are doing nothing. They are going to create jobs for Indian farmers at the expense of Ghanaian farmers because they will be importing the sugarcane and raw materials from India," he argued.

Mr. Mohammed assured that the next NDC government would investigate and probe the issues surrounding the factory’s funds.

"They will tell us what they used the $60 million for," he said on Accra-based Adom FM.