The 50 percent cocoa retention policy introduced by President Mahama has received a warm reception from cocoa processing companies.
In response, the Deputy Managing Director of West Africa Mills Company (WAMCO), Dr. Boakye Danquah, has called on the government to rehabilitate its processing plant WAMCO two at Sekondi as a means of enhancing production capacity.
WAMCO, established in 1949, holds the distinction of being the first cocoa processing company in the country. The Government of Ghana, through COCOBOD, maintains a 40 percent stake in the company.
Together, its two facilities WAMCO One and WAMCO Two, it boasts a combined production capacity of approximately 60,000 metric tons. However, operations have significantly declined in recent years.
WAMCO Two, which accounts for 30,000 metric tons of that capacity, has become redundant due to technical difficulties and a lack of raw materials.
As a result, only WAMCO One, with a capacity of 30,000 metric tons, remains functional and even then, just 30 percent of its capacity is being utilized due to insufficient supply of raw cocoa beans.
Receiving Western Regional Minister Joseph Nelson on a working visit, the Managing Director of WAMCO, Frank Bednar, welcomed the President’s decision on the 50 percent cocoa retention policy, stressing that local value addition remains the surest path to higher revenue and job creation.
“We are very encouraged by His Excellency’s directive to process 50 percent of our cocoa locally. Ghana has the capacity to achieve this, and doing so will help stabilize the economy and strengthen the cedi.
We are also part of a project led by the Cocoa Marketing Company to support two processing companies in which Ghana Cocobod has shares—CPC and WAMCO. The goal is to channel more cocoa beans to both factories so we can add more value and create more jobs. Because, as I can say plainly, the more beans we process here, the more jobs we can create. It’s as simple as that.” He said.
The Deputy Managing Director, Dr. Boakye Danquah, has appealed to the government and prospective investors for a five to seven million dollar investment to revamp WAMCO.
According to him, retooling WAMCO Two is essential for the economic revival of Sekondi-Takoradi and would secure over two hundred direct employment opportunities.
“Through the revamping and retooling of WAMCO, we are going to revive Sekondi-Takoradi economically and that is exactly what we need at the moment. With the government’s commitment to processing at least 50 percent of our cocoa locally, it means WAMCO must be revived.
To do this, we need assistance from the government and any investors ready to invest in WAMCO. In return, we can assure direct employment and other opportunities, because here we plan to increase production by an additional 30,000 metric tons. Ultimately, we can return to the days when WAMCO used to produce about 68,000 metric tons.” He stated.
Meanwhile, Western Regional Minister Joseph Nelson has assured the company of the government’s commitment to helping it get back on its feet.
“I believe that with everything this policy seeks to achieve, the issues facing WAMCO can be taken up strongly. By supporting WAMCO to get back on its feet, we should be able to make that happen. I am happy that His Excellency is committed to improving the industrial outlook of this country. Industries will be supported to grow so they can contribute to the nation’s development. “He added.
By Ebenezer Atiemo
