Business News of Tuesday, 24 January 2017
The Ghana Institute of Procurement and Supply (GIPS) wants a National Procurement Strategy (NPS) that will localise procurement at both the national and district levels, totrigger the revival of ailing industries.
President of the institute, Collins Agyemang, told the B&FT that: “If we really want to industrialise and develop to give people the kind of support or the socio-economic growth that they need, we cannot do that without effective procurement processes, with specific regards to buying local.
But getting people to buy locally is about the mindset and changing that mindset should be backed by policies and strategies.”
The GIPS boss argued thatthe success of the Akufo-Addo-led government’s “One district, one factory” initiative, for instance, hinges largely on such an intervention, given that Ghanaians have developed a high taste for foreign goods.
According to him, without such a binding policy, the factories will be working alright but the end produce from such factories will not be patronised.
He said: “The one district, one factory initiative is laudable; and in such a situation a national procurement strategy will enjoin the public, especially the MMDAs, to consciously absorb the produce from the factories.
Assuming there is a tomato processing factory in Berekum, and there is a policy that says products coming from the factory should be consumed by the community; then we will be getting somewhere.”
Appearing before the Vetting Committee of parliament yesterday, Trade and Industry Minister-designate, Alan Kyeremanten, assured that government will use public procurement as a vehicle to drive its industrialisation agenda.
“Government will deepen its various interventions that will promote the consumption of locally-made goods and services in the country.
Leveraging the local content regulations, we will ensure that as long as tax payers’ funds are used for the sourcing goods and services, preference will be given to locally-made goods, subject to specifications.”
According to the minister-designate, though it would be difficult to “force” people to buy local, government will show leadership with a cocktail of activities that will give exposure to locally-made products, citing the introduction of the ‘Friday Wear’ as an example.