Cadres Worry About Closure Of Cocoa Processing Company

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The Tema Regional Secretariat of the United Cadres Front of Ghana (UCF-GHANA), has expressed dismay at the partial closure of the Cocoa Processing Company (CPC) for maintenance works on two of its production lines.

According to the group sympathetic to the governing National Democratic Congress (NDC), it is unfortunate that the management of CPC, for whatever reason have preferred presenting a different picture instead of what the real situation was.

The cadres expressed this worry in a statement signed by Mr. Edward Mba, the convener of the group in the Greater Accra Region.

The group said, it has learnt that the company was distressfully becoming a ‘non-performing assert’ due to past mismanagement which has led to it becoming financially bankrupt.

The statement questioned why the installation of the modern production machinery a few years in 2002, should be rendered obsolete few years down the line.

“Thereafter, the company went in for syndicated bank Loans which enabled it to procure the current state-of-the-art processing equipment”.

The statement added that the company has not been able to pay the loans which stands at about 26 million Euros.
In addition to some other loans that were sourced from thegovernment which has equally not been paid for.

Thestatement alerted that what have caused the distressed condition of the company was due to the total retention of dividends that accrued from the Stock Exchange floatation by the then government of the NPP, which starved CPC of much of the needed funds to operate.

As it stands now, CPC must be consideredas an entity that requires serious financialreconstruction to enable it re-activates its production lines.
The group is however, appealing to COCOBOD and the government to seriously consider the absorbing of CPC’s debtsas well resourcing it.

According to the statement, this must be done with some strict financial management arrangement.

‘Government should also consider getting people with the requisite management acumen to constitute CPC’s Board of Directors whose chairman must be an outstanding business-minded personality to turn the fortunes of the company.

The statement cautioned the government not to allow CPC to go the way of WAMCO Cocoa Processing Company which was declared a non -profit entity as stated anddivestiture report.

The current closure has nothing to do with non-availability of cocoa beans in the country as alleged by the Minority.

The difficult truth is that, CPC has no money to purchase the raw beans for processing.

We, therefore, urge the government to go to the rescue of CPC and save the jobs of the ordinary workers.

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