Hannah Tetteh, Min. Trade and Industry |
The Ghana Export Development and
Agriculture Investment Fund (EDAIF), a funding agency under the Ministry of
Trade and Industry, has launched an Agricultural and Agro-processing Development
and Credit Facility and inaugurated its long awaited Northern Zonal Office in
Tamale, the Northern Regional Capital.
The
Export Development and Investment Fund established in October 2000 by Act 582 to
provide financial resources for the development and promotion of export trade was
amended in October 2011 under Act 823 to include the provision of financial
resources for the development and promotion of agriculture relating to
agro-processing and the agro-processing industry. In view of the amendment, the
Fund is now known as the Export Development and Agricultural Investment Fund
(EDAIF).
According
to Acting Chief Executive Officer (CEO) of EDAIF, Dr. Abdul Nashiru-Issahaku,
under the old mandate, the Fund operated two facilities, namely: the Export
Credit and Projects Facility and Export Development and Promotion Facility.
With
the amendment, he said a third facility known as the Agricultural and
Agro-processing Development and Credit Facility had been created, and that
would support agricultural production relating to agro-processing and the
agro-processing industry.
Dr.
Nashiru-Issahaku explained that the primary objective for creating the credit
facility was to help increase the primary raw material base for the
agro-processing industry as well as help reduce the endemic challenge of high
post-harvest losses.
The
Acting CEO of EDAIF admonished players in the agriculture and agro-processing
sector to take time to study the guidelines for accessing the facility and
subsequently make appropriate request for consideration by the Fund.
Francis Dodoo, Board Chair, EDAIF |
In
his remarks, Board Chairman of EDAIF, Professor Francis Dodoo, said between
2001, when the Fund started operations, and June 2012, 765 export oriented
projects had been supported by EDAIF to the tune of GH¢293.52 million: a total
of GH¢206.72 million had been used to fund interventions under the Export
Credit and Projects Facility, where 286 projects had been supported; and under
the Export Development and Promotion Facility, GH¢86.80 million had gone to
fund 479 projects.
He
observed that since its establishment in 2001, the Fund had undoubtedly
contributed to the development of Ghana’s Non-Traditional Export sector, saying
“data obtained from the Ghana Export Promotion Authourity (GEPA) indicate that,
non-traditional export earnings rose from US$459.60 million to US$2.43 billion
in 2011.”
Meanwhile,
the EDAIF since 2009 had been funding the establishment of mango plantations in
the Northern, Upper East, Upper West, Brong Ahafo and Northern Volta Regions.
So far, 110 companies and associations had been supported under the project.
Besides
the mango, EDAIF had also supported the production of other crops such as
groundnut, soyabeans, pineapple, chilli, pepper and cashew among others in the
Northern sector of the country.
The
decision to open the Northern Zonal Office thus, was informed by four main
reasons including; the need to improve the Fund’s accessibility to prospective
beneficiaries in the Northern Sector of the country; the high concentration of
EDAIF funded projects in the Northern Sector, especially in respect of the
ongoing mango project; the cost and risk associated with clients having to
travel to-and-fro its Secretariat in Accra; and to improve turnaround time for
applications received from the Northern Sector of the country.