Yesterday, President Akufo-Addo, accompanied by the Trades and Industry Minister, Alan Kyerematen, commissioned the phase one of a steel plant of B5 Plus Limited, an iron steel manufacturing company in Ghana.
Under the government’s One-District-One-Factory (1D1F) initiative, the first phase, with an initial investment of US$80 million, has an installed production capacity of 250,000 tonnes per annum, which includes the manufacturing of iron rods, wire rods, and round bars.
The second phase would include an investment of $70 million with an installed capacity of 300,000 tonnes mixed steel goods.
In his commissioning address, President Akufo-Addo indicated that the plant was a concrete manifestation that the new paradigm of economic development, which his administration has been vigorously pursuing since 2017, was making headway.
He explained that the new paradigm of economic development insisted on value-addition industrial activities within a conducive and business-friendly environment.
“I am very happy to be here to join you for this commissioning. This plant is a concrete manifestation of a new paradigm of economic development this administration has been pursuing since 2017.”
According to the President, the commissioning of the factory was a true reflection of the 1D1F policy creating more direct and indirect jobs in the nation.
Having set about 75 companies to full flight, President Akufo-Addo and his government expect some 258,000 more Ghanaians to get permanent jobs under the 1D1F policy.
“The government took the step to roll out the 1D1F to create high paying jobs for Ghanaians. 139,000 have received permanent jobs from the 75 companies currently established under the 1D1F policy. This policy will recruit more graduates into high paying jobs, and we expect some 258,000 more Ghanaians to get permanent jobs under the policy,” he said.
Through the policy initiative, companies like B5 Plus Limited are pushing the industrial transformational agenda, and he (President Akufo-Addo) pledged the government’s support to any and all companies willing to further the 1D1F agenda.
“The government will continue to support companies operating here under the policy, and provide incentives to increase the number of companies under 1D1F. We will provide them with tax holidays, interest rate subsidies for greater productivity and efficiency.”
The President encouraged the B5 Plus Group to take advantage of the incentives and establish other enterprises across the country, and commended the group for “establishing the state-of-the-art plant capable of feeding the entire Africa.”
The Chief Executive of B5 Plus Limited, Mukesh Tharkwani, was grateful to President Akufo-Addo for the guidance and encouragement under the 1D1F.
“We are grateful to his Excellency for moving Ghana on the path of becoming a self-reliant nation. Your distinct vision to introduce the 1D1F has given us a big boost for industrialisation and job employment, which brings us closer to the made in Ghana dream.”
He stated in his speech that whichever structure on the land accommodating the steel plant was a 100% made in Ghana – from the civil to fabrication, with the fabrication plant employing 400 plus people.
“Today, the steel plant creates approximately 2,000 jobs directly and indirectly. With a first phase initial investment of $80 million with an installed production capacity of 250,000 tonnes per annum, which includes the manufacturing of iron rods, wire rods, and round bars. The second phase would include an investment of $70 million with an installed capacity of 300,000 tonnes of mixed steel goods,” Tharkwani told the gathering.
However, he outlined some challenges the company is currently facing, such as land acquisition, water supply, electricity supply, access roads, and traffic congestion on the Tema-Aflao route.
“Most importantly, we request the government to impose an across the board ban on certain finished imported goods like our African neighbours Nigeria, Gabon and Ivory Coast, have done. Else it possesses a major threat to our industry and will affect operations. We are able to produce these products locally in excess quantities and cannot only serve the Ghana market, but its neighboring countries too,” he observed.
“Currently, B5 Plus is a double A rated company and in the process of getting ISO certification. We have become a one-stop shop for iron and steel, with a huge product base like galvanised mesh, wire mesh, roofing sheets, nails, binding wire, steel plates, angle irons, U channels, Z perlins, C perlins, square pipes, round pipes, profiles and many more.”
Meanwhile, as part of its Corporate Social Responsibilities (CSRs), Tharkwani remarked that throughout the COVID-19 pandemic, B5 Plus has been contributing to a variety of government and non-government organisations by offering 10,000 food boxes to local families in the surrounding communities.
B5 Plus has also began providing free oxygen to both government and non-government hospitals since March 2020, sharing that 40,000 oxygen cylinders had been refilled for free from its oxygen plant. This would tune up to a commercial value of approximately GH¢3.6 million.
“We pledge to battle COVID-19 together till it lasts, but until then, B5 Plus shall continue to provide free oxygen,” the CEO assured.
The sector Minister for Trades and Industry, Alan Kyeremanten, indicated that the industrial transformation under the Akufo-Addo-led government hinges on a competitive and vibrant local steel industry. He described the vibrant local steel industry as a critical input for industrial take-offs.
He continued that the state-of-the-art steel manufacturing plant in Larpleku Village, Prampram, had the potential to help bridge the gap between the production and demand for steel locally.
“To ensure regular supply of power to the site, the management of B5 Plus has entered into a special arrangement with the Volta River Authority and the Ghana Grid Company, and this is timely to ensure efficient running of the facility,” the Minister remarked.
His statement responded to concerns raised by the CEO, and also reiterated by the Member of Parliament for the Ningo-Prampram Constituency, Samuel George.
The post Prez commissions $80m B5 Plus steal plant appeared first on The Chronicle Online.
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