Kasapreko Initiates Import Substitution Measures… acquires 40% shares in cassava plantation

KASA PIXKasapreko Company Limited, a leading producer of alcoholic beverages in the country has acquired 40 per cent shares in cassava plantation for the production of ethanol at Hodzo in the Ho municipality of the Volta Region.

The move is part of the company’s measures to source for its raw materials locally and cut down on imports.

A joint venture investment between Kasapreko and Caltech Ventures Company Limited, producers of cassava for ethanol is inspired by Kasapreko’s strategic objective to be a total beverage business by 2016.

This union was announced by the Deputy Managing Director of Kasapreko, Mr. Joseph Nunoo at a press briefing in Ho.

He noted that the project would support the company’s import substitution to reduce the use of foreign exchange in procuring raw materials and become self-sufficient in the manufacturing of beverages from ethanol distillation using locally produced cassava.

Mr. Nunoo added that “there will be procurement for high quality cassava for the food industry, starch based — adhesive and carbon dioxide to feed a corrugated carton plant being assembled in Accra”.

“Currently, Kasapreko company is in the process of acquiring a fully automated carbonated soft drink bottling plant estimated at 30 million dollars in a bid to meet huge demands for its products on the local and international market to increase production capacity,” he stressed.

Mr. Nunoo indicated that the project would commence in May 2015, with three million litters of alcohol expected to be generated from cassava yearly.

Mr. Chris Quarshie, a Director of Caltech Ventures, on his part said Caltech had procured 3000 hectares of land for cassava plantation at Hodzo to enable them to venture into cassava cultivation for the extraction of alcohol.

He disclosed that about 600 hundred megawatts of power would be generated from the cassava waste which would be used for its own operations and the rest pushed to the national network.

He commended Kasapreko company for the initiative and urged other local manufacturing companies to imitate their gesture to help grow local businesses. From Prosper Davis Ametepe, Ho

 

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