President John Dramani Mahama has inaugurated a new pasta manufacturing facility by Olam Agri in Ghana, a major agro-processing investment aimed at boosting local food production, creating jobs and reducing the country’s dependence on imported processed foods.
The factory, located at Kpone in the Greater Accra Region, marks a significant expansion of the company’s operations in Ghana and highlights growing private-sector investment in the country’s food manufacturing sector.
The inauguration ceremony, held on Thursday, March 5, 2026, brought together government officials, industry leaders and development partners to witness the commissioning of the facility, which is expected to strengthen Ghana’s food processing capacity and enhance supply chains within the agricultural sector.
Olam Agri, part of the wider Olam Group, has operated in Ghana for more than three decades. Over the years, it has expanded from commodity trading into agro-processing and food manufacturing, with activities covering cocoa, cashew, grains, wheat milling, biscuits and tomato processing. The company currently employs more than 4,500 Ghanaians directly and indirectly.
Industrialisation and food security
Speaking at the ceremony, President Mahama underscored the importance of local manufacturing in strengthening Ghana’s economy and reducing the country’s reliance on imports.
“Facilities like this represent a shift from reliance on imports to local production, from missed opportunities to targeted industrial growth,” he said.
“They address issues that touch every Ghanaian household, the cost of food, household incomes, foreign exchange pressures, and the availability of locally produced alternatives,” he added.
The President explained that the factory forms part of a broader push by the government to stimulate industrial growth and add value to agricultural production.
He cited other recently commissioned industrial projects, including the world’s largest calcined clay cement plant in Tema, the expansion of the Shama Ceramic Tile Factory and the country’s first gas processing facility, describing them as strategic investments designed to generate employment and support sustainable development.
Strengthening agricultural value chains
President Mahama said the pasta factory would support local supply chains by creating opportunities for farmers, transporters, technicians and small businesses connected to the food processing industry.
He also highlighted efforts to advance agricultural innovation, noting that the Council for Scientific and Industrial Research Crops Research Institute had developed a wheat variety suitable for local cultivation.
According to him, the new variety can produce yields of five to six tonnes per hectare.
“We will work with Olam Agri to integrate locally grown wheat into the pasta value chain,” he said.
The President added that the project aligns with the government’s Agriculture for Economic Transformation agenda and the 24-Hour Economy Initiative, which encourages round-the-clock production and provides incentives such as duty-free importation of equipment.
He therefore urged the company to sign onto the programme to benefit from the available incentives, including tax waivers on the importation of new machinery.
Reducing imports
President Mahama noted that Ghana is among the largest consumers of pasta in Africa but has historically relied heavily on imports to meet domestic demand.
He said the new facility would help reduce that dependence while supporting the government’s efforts to tackle smuggling and strengthen domestic production.
As part of those measures, he disclosed that the government had recently banned the transit of commercial quantities of cooking oil and rice through Ghana’s land borders, directing that such consignments must enter the country through designated seaports.
He added that he would engage the Minister of Finance, Cassiel Ato Forson, to consider adding pasta to the list of restricted transit goods.
Economic impact
The Minister for Trade, Agribusiness and Industry, Elizabeth Ofosu-Agyare, described the project as a major boost for Ghana’s manufacturing sector.
She said the facility, which has an annual production capacity of about 60,000 metric tonnes, is expected to meet a significant portion of domestic demand, conserve foreign exchange and create employment opportunities for young people.
Mrs Ofosu-Agyare added that the investment aligns with the government’s commitment to industrialisation, value addition and competitive manufacturing.
Olam’s growth and expansion plans
The Co-Founder and Group Chief Executive Officer of Olam Group, Sunny Verghese, said the company had grown significantly since its founding in Nigeria 37 years ago.
Today, he noted, the multinational operates in 70 countries, employs about 90,000 people and generated roughly US$50 billion in revenue in 2025.
“This African-born multinational has grown thanks to the support of governments, partners, and local communities, and Ghana remains central to our strategy,” he said.
He explained that the new pasta facility, with an initial capacity of 40,000 metric tonnes per year, would meet a large portion of domestic demand, with plans to expand production in the near future.
Mr Verghese added that the company’s operations extend beyond manufacturing to addressing broader global challenges.
“We aim to provide sustainable solutions for food, feed, fibre, fuel and shelter, addressing global challenges in food security, water management, biodiversity, and farmer livelihoods,” he said.
He also revealed that the company plans to expand into poultry and fish feed production to meet Ghana’s growing demand for protein.
Technology and local jobs
The Chief Financial Officer of Olam Group and Chief Operating Officer of Olam Agri, Neelami Muthukumar, said the facility incorporates modern technology designed to reduce energy and water consumption while producing high-quality, affordable pasta.
Earlier, the Country Head of Olam Agri Ghana, Balbhav Biswas, said construction of the plant began in October 2024 and was completed within an ambitious timeline.
According to him, the project has already created about 300 direct jobs, with additional employment opportunities expected through the supply chain and future expansion into regional markets.
“This facility is not just a factory; it is a symbol of local production, economic growth, and regional impact,” Mr Biswas said.
“It delivers world-class pasta, made in Ghana, for Ghana and beyond.”
Source: Graphiconline.com
