The Ministry of Food and Agriculture (MoFA) has signed a strategic Memorandum of Understanding (MoU) with AAK Ghana Limited to facilitate and improve value addition, competitiveness, and sustainable growth within Ghana’s shea industry.
The Minister for Food and Agriculture, Eric Opoku, and the Vice President and Head of AAK West Africa, Lasse Skaksen, signed the agreement for their respective institutions.
Significance of MoU
The signing, which was witnessed by the Ambassador of Denmark to Ghana, Jakob Linulf, highlighted the strategic importance of the partnership to Ghana’s industrial development agenda.
The partnership formalises a $90 million investment focused on transitioning the shea sector from a raw commodity-based industry into a high-value industrial pillar.
Central to this initiative is the establishment of a world-class shea processing factory in Ghana, leveraging advanced technology to increase local value addition and create over a hundred direct jobs.
Critical pillars
Under the terms of the MoU, AAK outlined four critical priorities to support the development of Ghana’s shea industry.
namely sourcing expansion, skills development, industrial infrastructure and environmental sustainability.
They include the expansion of the Kolo Nafaso direct sourcing programme to support over 300,000 women shea collectors in northern Ghana through financing and guaranteed markets.
Additionally, the MoU will witness the establishment of the AAK Ghana Innovation Academy to strengthen SME viability and enhance youth employability within the plant-based oils and fats sector, while significant investment in logistics, warehousing, and supply chain infrastructure to boost export competitiveness under the industrial infrastructure.
For environmental sustainability, the MoU would witness a commitment to shea reforestation and parkland preservation in partnership with the Tree Crops Development Authority (TCDA).
Global reference
At the signing ceremony, Mr Skaksen said, “Ghana has the potential to become a global reference point for value-added shea processing.
“This partnership reflects our confidence in Ghana’s shea sector and our commitment to investing in local capacity and inclusive economic growth,” he added.
For his part, Mr Opoku indicated that the MoU aligned strongly with the government’s strategic priorities, including the Agriculture for Economic Transformation Agenda, the Feed Ghana Programme, through the Feed the Industry sub-programme, and national efforts to strengthen agro-processing, tree crop development, and export-led growth.
The event was attended by senior government officials, including the Deputy Minister of Food and Agriculture, John Dumelo; the Chief Director of MoFA, Paul Siameh; and the Chief Executive Officer of the Tree Crops Development Authority (TCDA), Dr Andy Osei Okrah.
Source:
www.graphic.com.gh