Business News of Saturday, 23 August 2008

Source: --

Ghana to assemble FARMTRAC tractors

Ghana will soon start assembling farm tractors imported from India with the brand name, FARMTRAC. A stone laying ceremony for the construction of the assembly line was held at the free zones enclave in Tema today. Performing the ceremony, President Kufour remarked that the decision by ESCORTS Limited of India to open an assembly line in Ghana at this time is almost like destiny meeting fortune.

This is because Ghana has since last year been privileged to access over half a billion dollars from the Millennium Challenge Account and has embarked on a vigorous programme to modernize her agriculture. This is being done through mechanization and other interventions. Access to cheaper tractors will therefore be a great boost to this programme. An enhanced access to mechanization will help the farmers to expand the area under cultivation, reduce the drudgery and fatigue inherent in their work and also make farming appealing to the youth.

So far government has imported over 3,000 tractors for sale to farmers at highly subsidized rates amount other things. The Sector Ministry is in the process of establishing mechanization service centres across the country to improve farmer’s access to tractors and other machinery.

President Kufuor said FARMTRAC tractor is not new to the country. About one thousand 281 farmtrac tractors have already been brought in at government’s own expense. He urged the company, Escorts which has chosen Ghana for its first assembly plant in Africa to ensure transfer of technology by engaging Ghanaians in positions of responsibility.

The Director of Exports for Africa and the Middle East for Escorts, R. K. Mehra said the plant will initially assemble 10 tractors a day, that is 200 tractors a month. It will employ one hundred Ghanaians. The first tractor to be produced by the end of the year will be donated to President Kufuor. The Indian High Commissioner to Ghana, Mrs. Ruchi Ghanashiyam said the establishment of the plant marks a step forward in relations between Ghana and India. She said the Indian Community has been contributing to the growth of the economy through trade.