President John Dramani Mahama has announced that government will source cotton from neighbouring Benin to support the revival of the Volta Star Textiles Limited (VSTL), as part of efforts to restore the once-vibrant textile factory to full production.
Speaking at the sod-cutting ceremony for the construction of a 24-hour economy model market at Dufor in the North Tongu District of the Volta Region, the President said government has made significant progress in securing a strategic investor for the factory.
He disclosed that government has completed the initial procurement process and selected an investor to partner in modernising the company.
“We appointed a transactions advisor. We advertised for strategic investors to apply. They applied, they submitted bids, and we have selected one strategic investor to partner us with to revitalize the factory.”
President Mahama said the transaction advisor will soon introduce the investor to begin work on the rehabilitation of the factory.
“Very soon the transaction advisor is bringing the strategic investor to visit the factory and start the design for modernizing the factory.”
Addressing concerns about the supply of raw materials, the President revealed that government is finalising an agreement with the Republic of Benin to provide cotton for 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.”
President Mahama expressed confidence that the revival of Volta Star Textiles will create jobs, strengthen Ghana’s textile value chain and reposition the area as a major industrial hub.
“The revitalization of this factory will create sustainable jobs in the Dufor area, it will strengthen Ghana’s textile value chain, and it will reposition Dufor as a vibrant industrial hub complementing our broader investments in agriculture, commerce, and infrastructure.”
