Ghana to import cotton from Benin to revive Volta Star Textile factory

President John Dramani Mahama has announced plans to source cotton from neighboring Benin as part of efforts to revive the dormant Volta Star Textile Limited in Juapong, Ghana. According to the President, arrangements are being made to sign a memorandum of understanding with the government of Benin to supply Ghana with cotton for the Volta Star Textile Limited.

The decision to import cotton from Benin is part of the government's broader strategy to restore the textile company's operations through strategic investment and reliable access to raw materials. Speaking during the sod-cutting ceremony for the Juapong Model Market in the Volta Region, President Mahama emphasized the importance of reliable access to raw materials in reviving the factory. "Arrangements are being made to sign a memorandum of understanding with the government of Benin to supply us with cotton from Benin to feed the factory in Ghana," Mahama announced.

Reviving Volta Star Textile Limited remains central to the government's industrialisation agenda and the proposed Volta Economic Corridor, which seeks to integrate agriculture, manufacturing, logistics, and export-led production. The factory's restoration is expected to create employment opportunities, stimulate economic activity in Juapong, and strengthen Ghana's textile manufacturing sector. According to the President, the government has already made significant progress in securing a strategic investor for the textile company after inviting bids from interested firms.

The evaluation process has been completed, with the government now preparing to select a preferred investor to rehabilitate and modernise the factory. The President expressed confidence in the government's ability to revive the factory, citing the proposed Volta Economic Corridor as a key driver of the country's economic growth. "Reviving Volta Star Textile Limited will be a major boost to our industrialisation agenda and will contribute significantly to the growth of the textile manufacturing sector in Ghana," Mahama said.

The government's efforts to revive the textile industry are part of a broader push to diversify Ghana's economy and reduce its dependence on a single commodity, gold. The country's textile industry has struggled in recent years due to a combination of factors, including a decline in domestic cotton production and increased competition from cheaper imports. However, with the government's support and strategic investment, the industry is expected to experience a resurgence in the coming years. The signing of the memorandum of understanding with the government of Benin is expected to be a major step towards reviving the Volta Star Textile Limited and restoring the factory to full production.

Source: JOY