Business News of Wednesday, 23 June 2010

Source: GNA

Ghana and Burkina Faso to enter into tomato joint venture

Po (Burkina Faso), June 23, GNA- The Upper East Region of Ghana and the Central Province of the Republic of Burkina Faso, have agreed to enter into a tomato joint venture enterprise.

The aim of the joint venture between the two countries is to help find a lasting solution to the problems confronting tomato farmers in both countries especially in the area of marketing. The Upper East Regional Minister, Mr. Mark Woyongo and the Governor of Central -South Province of the Republic of Burkina Faso, Mr. Raymond Edouard Ouedraogo agreed on behalf of the farmers of both two countries, to go into the tomato joint venture enterprise. The two leaders who made their commitment at a Sub- Regional integration Durbar held at Po in Burkina Faso on Wednesday, stated that it would help curb the problems associated with tomato farming in both countries.

The sub- regional durbar, under the theme, "Trade and Regional Integration -Commitment of Policy Makers to a Joint Tomato Enterprise between Ghana and Burkina Faso" was organized by the Ghana Trade and Livelihood Coalition(GTLC), a civil society group in Ghana and the Organization for Capacity Development(ORCADE) also a civil society group in Burkina Faso.

Mr. Woyongo said tomato was a major crop cultivated by a large number of farmers in both Burkina Faso and Ghana, and noted that Ghana imported a lot of tomato from Burkina Faso. He said statistics from the Customs, Excise and Preventive Service of Ghana at Paga boarder post indicated that during the 2008 to 2009 crop season, Ghana imported 6,562.43 metric tones of tomato from Burkina Faso. He said the Northern Star Tomato Factory in the Upper East Region was now operating in full capacity, but was facing the problem of inadequate supply of raw materials, and expressed the hope that with the joint venture, the factory would be able to get adequate materials to operate and that would help solve the problem of marketing of tomato in the two countries. He stressed the need for researchers to come out with various varieties of tomato suitable for the savannah climatic conditions, such that the crop could be cropped all year round.

He said plans were also far advanced by some Italian business groups with the Upper East Regional Coordinating Council to establish another tomato factory in Navrongo in the Upper East Region, which would purchase the produce from farmers of both countries. Mr. Woyongo entreated the leadership of Burkina Faso to explore the possibilities of entering into bilateral relationship with Ghana in the areas of shea butter production, and said under the Savannah Accelerated Development Authority (SADA), Ghana would focus more on sheanut production by establishing sheanut mills to add more value to it for export. Mr Ahmed Bogobire and Madame Tapsoba Lydie, tomato farmers from Ghana and Burkina Faso respectively, called on governments of both countries, to show more commitment to tomato farming, and said the major problems confronting tomato farmers was lack of marketing, credit facilities, extension services, processing facilities and improved seed especially for rainy season farming.

They also called on governments of both countries to make the free movements of goods and services more effective as required by the ECOWAS agreement and build more tomato factories for processing and production to avoid glut of the produce.

They indicated that if the sector was given the needed attention it would help improve upon the living conditions of farmers and also serve as motivation to attract more people especially the youth into tomato farming. The Coordinator of GTLC, Mr. Ibrahim Akalbila said a research conducted by the two civil societies indicated that the best way to deal with the problems confronting the tomato farmers in the two sub-regions was to enter into a joint venture enterprise. He said they had proposed that the Northern Star Tomato Factory in the Upper East Region play a central role in the venture in terms of ensuring better governance of the facility and securing resources from the Business Development Fund, managed by the ECOBANK or the Venture Capital Fund to support farmers and link up markets in both countries. He noted that GTLC through the Upper East Regional Coordinating Council would organize a stake holders meeting including government officials, researchers, private sectors and farmers to find solutions to challenges of tomato farmers. 23 June 10