In order to increase local production and promote economic growth in the face of continued economic challenges, the Association of Ghana Industries (AGI) has urged for greater action rather than just rhetoric.
The AGI argued that since industry is the foundation of every strong economy, deliberate incentives should be put in place to help it withstand current economic challenges and produce numerous favorable macroeconomic effects, such as boosting business activity, new ventures, and job creation. The AGI also claimed that a strong domestic manufacturing base could significantly speed up and invigorate efforts to restore economic stability by increasing exports, bringing in more money, and creating jobs.
AGI’s Chief Executive Officer, Seth Twum-Akwaboah said “discussions on the need to develop our local supply chain in a sustainable manner have taken centre-stage since the COVID-19 pandemic outbreak. However, these discussions cannot yield desirable results without government incentivising local industry to invest in the production of certain key raw materials industry needs.”
He said this at the 6th Ghana Industrial Summit and Exhibition, which the AGI organized in Accra, and bemoaned the fact that all discussions and plans to turn the nation into an industrial hub will remain merely theoretical without deliberate policies and initiatives to encourage industry and attract investments – especially in areas where the country has a comparative advantage.
Dr. Humphrey Ayim-Darke, the president of AGI, stated that while the country’s manufacturing sub sector had stalled by roughly 11%, the association had identified some locally produced goods that were in high demand due to their comparative advantage.
He stated that the association was committed to increasing its manufacturing capacity but added that this could not be done without the required government assistance.
Yeo Ziobeieton, the managing director of Fan Milk Ghana Plc, recommended producers to focus more on local sourcing because it was sustainable and would help the economy grow over time.
“I would like to call on the government, ECOWAS and AfCFTA to join hands with us to create an environment that is conducive to a sustainable and efficient supply chain. I urge us to consider policies that encourage companies that have decided to prioritise local sprucing and sustainability,” he intimated.
The 6th annual AGI summit, themed “Industrialisation through sustainable and efficient supply chains”, seeks to address challenges of industry which impede the development of sustainable supply chains and proffer solutions.
Kobina Tahir Hammond, the Minister of Trade and Industry (MoTI), promoted deeper industry participation in order to develop long-lasting solutions to the problems affecting businesses.
The minister reaffirmed his ministry’s commitment to working closely with businesses to develop vital supply chains in the industrial sector, particularly those connected to regional raw material suppliers and manufacturers.
Source: Peacefmonline.com
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