YESTERDAY, the state-owned newspaper, Daily Graphic, reported that Defence Industries Holding Company Limited (DIHOC) Footwear Division Limited (formerly Kumasi Shoe Factory), was currently in a limbo. According to the paper’s report, which was carried on its front page, the worrying development follows the refusal of state security agencies to patronise boots and shoes produced by the state-owned company.
THE security agencies, according to the newspaper report, have resorted to buying imported boots and shoes from China and India. The story lists all the services, the Ghana Armed Forces (GAF), the Ghana Police Service, the Ghana National Fire Service (GNFS), the Ghana Prisons Service and the Ghana Immigration Service, as having abandoned patronage of the products of the DIHOC Footwear Division.
THAT for two years now, the security agencies have not placed any orders with the Shoe Factory, albeit they were supposed to do so, only to import from outside is very regrettable. Are they saying that made-in-Ghana shoes and boots are inferior?
SERIOUSLY, this is an issue that all the forces and the Ministry of Trade and Industry need to jointly discuss and address with a sense of urgency. Here is a clear opportunity to promote our own and help create employment for the locals. We could even have used the patronage of our forces to attract business for others from the sub-region. But here is the case that we ourselves are rejecting what could have been a potential for the country.
INDEED, the rationale behind resuscitating the DIHOC Footwear Division Limited was that our security agencies provided a sure and ready market for their products. Unfortunately, that has not been the case. Instead, a situation has been created where their operations are negatively being affected by the lack of patronage from these same security agencies for which reason the Kumasi shoe factory was revived.
IT is obvious that there will be serious consequences if the trend continues and nothing is done about the situation. If the situation persists, there would be a likelihood of retrenchment and the eventual folding away of the factory. We cannot afford to do that.
IN view of all the investments made in the revival of the factory some two years ago, Today would like to plead with all the agencies involved to begin to sit down and see how best we can help grow the fortunes of the Footwear company. At a time when government is doing all it can to attract at least one factory in each district, we cannot afford to look on as a viable factory of the sort is allowed to disintegrate.
THE Ministry of Trade and Industry should make it a priority to gather the leadership of the Forces together and have a passionate discussion on the matter. If the factory has quality issues, surely, that could be addressed. We cannot and should not allow DIHOC Footwear Division Limited to go. The state can and should help make the products attractive to attract the ready market here in Ghana so we can begin to look outside as well.
DEFINITELY, all the Forces must have their reasons for not patronising the goods. Whatever the issues, we implore them to bring them to the fore and get them sorted out.
IN this regard the company will see an increase in patronage which will push them to produce on large scale to enable them enjoy the fruits of economies of scale. What is more, Today calls on the ruling New Patriotic Party (NPP) to take stringent measures to protect DIHOC Footwear Division Limited from the stiff competition from shoe and footwear producing companies in China and India.
IN this way, our shoe and footwear company will be encouraged to grow. All over the world, countries employ protectionist measures to protect their companies and doing same here is no crime, especially when it will help create meaningful jobs for Ghanaians.
THUS from the above we urge government to do all that is necessary to ensure that our only shoe factory does not collapse again.