Chinese state firm to support Ghanaian private sector in national industrialization program


Chinese firm China National Building Material and Equipment Import and Export Corporation (CNBM) committed here on Wednesday to support some Ghanaian private sector players in government flagship One District-One Factory (1D1F) program.

In a Memorandum of Understanding (MOU) entered into here with the partners including the Ministry of Trade and Industry (MOTI), local banks and the private sector players the Chinese state owned company agreed to link the Ghanaian companies with investment institutions in China.

It will in addition provide Turn-key projects for the supply of machinery and equipment for these Ghanaian companies.

Minister for Trade and Industry, Allan Kyeremateng who signed for government of Ghana told Xinhua later that for most of the products to be produced in the proposed factories, there were off-taker negotiations on going.

The 22 major contracts are for 22 different districts under the 1D-1F initiative with a total estimated value of 400 million US Dollars.

“Now the partner to the ministry that has been involved in negotiating the financing for this initiative is China National Building Material Import and Equipment Export Corporation (CNBM),” the trade minister told Xinhua in an interview.

Among the 22 proposed projects are cassava industrial starch projects; rice milling plants, vegetable oil processing plants; garment plants; soya milk processing plant and one diaper manufacturing plant.

“The selection of these projects particularly has been based on the off-taker agreements that are being negotiated in Chinese market. So CNBM according to the agreement is already negotiating off-taker agreements for most of the products that will be coming from these agreements, the minister stated.

Speaking through an interpreter, President of CNBM Chen Yongxin who signed the MOU on behalf of the Chinese firm told Xinhua that negotiations were underway to determine the total investment needed for the projects as the company desires to assist Ghana and Africa develop through industrialization.

“China is a friend of African interest, especially Ghana so as a state owned company from China we would like to be dedicated to the industrialization of Ghanaian economy,” he indicated.

The President said CNBM was willing to bring its technology, machinery and personnel to help the industrialization and economic growth of Ghana.

With its long years of experience in engineering and building material manufacturing back in China and also globally Chen was sure that the Chinese company was best placed to deliver real value on whatever investments go into the projects.

Yaw Adu Poku, one of the businessmen who seek to partner CNBM observed that with very fertile land Ghana was in the position to produce enough food even for export. He expressed delight at how far negotiations had gone

The 1D-1F is one of the New Patriotic Party’s major campaign promises during the 2016 election campaigns, and is doing everything possible to secure financing for this project in order to prove its critics wrong. Enditem

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