Business News of Thursday, 5 September 2024

Source: Ruth Aboagye, Contributor

MoFA, ADB and GEXIM gear up to revamp agro industry under 1D1F

Dr. Bryan Acheampong, Minister for Food and Agriculture Dr. Bryan Acheampong, Minister for Food and Agriculture

The Ministry of Food and Agriculture, under the OVCF programme, and Agricultural Development Bank (ADB), one of the leading universal banks in the country, have recently partnered with Central Citrus Processing Limited with the aim of revamping the citrus industry.

Through this partnership, MoFA, ADB, and Ghana Exim Bank (providing financial guarantee) are giving financial support to Central Citrus Processing Limited to develop and cultivate the over 75 thousand hectares of abandoned citrus farms located in the Central Region-Cape Coast.

It is estimated that the company would generate an income of about GH¢600 million after four years of operations.

Over 3,000 farmers within three districts, including AAK district in the Central Region, as well as 5,000 youths and women, are excited as they enjoy partnership for crop improvement. New varieties like the pisie orange and passion fruits are being integrated to enhance their income and replacement support from Central Citrus Processing Limited (CCPL).

CCPL is the third-largest citrus processing plant in Africa and is expected to process over 15 tons of oranges into fruit juice per hour.

The factory, in partnership with Ekumfi Juices and Processing Factory, is poised to place Ghana at the forefront for natural fruits and juices.

This support is expected to create over 20,000 sustainable jobs through the value chain and the out-grower support program, and also cut down on the importation of fruit juice into the country, which currently stands at $200 million per annum.

The factory, the third largest with 15 tons per hour, and also the largest passion fruit processing plant in Africa, would be getting a direct off-take from the Ekumfi Fruits and Juices Factory to ensure their produce is used to blend the Eku tropical varieties to enhance its taste.

Ghana, per GIZ evaluation, has the two most suitable sources of oranges, which is a prudent venture that ADB has signed onto.

The enclave has over 75 thousand acres of citrus, and with the support from ADB, economic activities are expected to scale up sharply.

The average citrus farmer has abandoned the farm due to poor revenue, insect infestation, plant diseases, and unproductive work processes, which often hamper cultivation. Many of the seedlings are pest-ridden, making them useless for further planting.

This frustration usually leads farmers to switch to the cultivation of rubber and cassava.

For the past 10 years, most citrus farms have been abandoned as the importation of finished products has outweighed the processing opportunities in the country.

ADB’s financial support is aimed at improving the quality of citrus production and increasing sustainable income for all actors along the citrus value chain. Citrus fruits have long been valued as part of a nutritious and tasty diet.

The flavors provided by citrus are among the most preferred in the world, and it is increasingly evident that citrus not only tastes good but is also good for people.

It is well established that citrus and citrus products are a rich source of vitamins, minerals, and dietary fiber (non-starch polysaccharides) that are essential for normal growth and development and overall nutritional well-being.