Farmers’ attitude has largely accounted for the collapse of the cotton industry in the North, Mr. Aviram Tal General Manager of Dizengoff Ghana Limited has said.
He said governments in the past have given cotton farmers several incentives and packages but because of the negative attitudes of the beneficiaries such as diversion of imputs and other materials meant for cotton production, production levels have been very low.
Mr. Tal, made this observation at a conference in Tamale on Wednesday. It was organised by the Ministry of Trade and Industry under the Cotton Support Programme under the theme, “Towards the development of a long term strategy on the cotton industry in Ghana.”
It was attended by researchers, farmers, politicians, financials institutions and business men, and aimed at bringing to the fore the challenges that have bedeviled the cotton sub-sector over the years and to find solutions to them.
According to Mr. Tal, farmers attitude including non-repayment of loans has resulted in huge sums of money lost to governments, financial institutions, among others.
“It is unfortunate that farmers go in for the loans and have at the back of their minds not to pay back resulting in high defaults,” Mr. Tal stated.
He recommended to government to ensure that banks reduced interest rates on loans for agricultural purposes since the high interests were also disincentive for farmers.
“The only crop that farmers will be willing to plant with loans whose interest rate could be as high as 35 per cent is marijuana,” the Dizengoff GM stated
The Deputy Minister of Trade, Mahama Ayariga, in his address urged the participants to be frank and sincere in their discussions.
This, he said, will help in fashioning out a comprehensive strategy that will guide the government to revamp the cotton industry.
Mr. Ayariga said the government intention of building a better Ghana can only be realized through addressing agriculture as a basis for development in the country.
He said an earlier launch of a five million cedi cotton support programme by the Vice President was a clear government’s commitment to the cotton sub sector, which it is hoped will lead to the reduction of poverty, unemployment and also create opportunities for cotton farm families.
Mr. Ayariga said the Ministry of Trade is making conscious efforts to pursue a vibrant technology drive, competitive trade and industry which will contribute significantly to the country’s economic growth.
He said governments in the past have given cotton farmers several incentives and packages but because of the negative attitudes of the beneficiaries such as diversion of imputs and other materials meant for cotton production, production levels have been very low.
Mr. Tal, made this observation at a conference in Tamale on Wednesday. It was organised by the Ministry of Trade and Industry under the Cotton Support Programme under the theme, “Towards the development of a long term strategy on the cotton industry in Ghana.”
It was attended by researchers, farmers, politicians, financials institutions and business men, and aimed at bringing to the fore the challenges that have bedeviled the cotton sub-sector over the years and to find solutions to them.
According to Mr. Tal, farmers attitude including non-repayment of loans has resulted in huge sums of money lost to governments, financial institutions, among others.
“It is unfortunate that farmers go in for the loans and have at the back of their minds not to pay back resulting in high defaults,” Mr. Tal stated.
He recommended to government to ensure that banks reduced interest rates on loans for agricultural purposes since the high interests were also disincentive for farmers.
“The only crop that farmers will be willing to plant with loans whose interest rate could be as high as 35 per cent is marijuana,” the Dizengoff GM stated
The Deputy Minister of Trade, Mahama Ayariga, in his address urged the participants to be frank and sincere in their discussions.
This, he said, will help in fashioning out a comprehensive strategy that will guide the government to revamp the cotton industry.
Mr. Ayariga said the government intention of building a better Ghana can only be realized through addressing agriculture as a basis for development in the country.
He said an earlier launch of a five million cedi cotton support programme by the Vice President was a clear government’s commitment to the cotton sub sector, which it is hoped will lead to the reduction of poverty, unemployment and also create opportunities for cotton farm families.
Mr. Ayariga said the Ministry of Trade is making conscious efforts to pursue a vibrant technology drive, competitive trade and industry which will contribute significantly to the country’s economic growth.
