President John Dramani Mahama has unveiled a significant expansion of government investment in the Pwalugu Tomato Factory in the Upper East Region, aiming to bolster tomato production and bolster agro-processing within the area. The initiative, a cornerstone of the New Economy program, represents a substantial $2.5 billion annual investment over the next four years across several key sectors. Speaking during a citizens’ engagement in Navrongo on August 14, 2026, President Mahama emphasized the critical importance of agriculture and agro-processing for national economic growth and food security. He detailed a multi-faceted strategy focused on seven key sectors, with the government committing to allocate $10 billion annually to these areas. Specifically, the plan centers on a 50% allocation to agriculture and agro-processing, with the Upper East Region slated to receive a substantial 50% of this investment. The project’s scope extends beyond simply expanding tomato cultivation; the government is planning to establish 2,500 acres of new land for tomato production, with the Pwalugu factory serving as the primary processing facility. The revitalisation project, initiated in the region, has already commenced, focusing on improving irrigation infrastructure to support year-round farming. Furthermore, the government has announced the completion of the Tamne irrigation dam, designed to support dry-season farming in four districts within the Bawku area, with the projected creation of increased onion production. President Mahama stressed that this investment will significantly reduce reliance on imported onions, aiming to achieve self-sufficiency in onion production. The government also intends to expand local onion production to reduce dependence on foreign imports, and the $5 billion investment is expected to create jobs, strengthen food security, and increase agricultural contributions to Ghana’s overall economy. The combined investment will support economic diversification and create opportunities across various sectors. In addition to these strategic investments, the government is also implementing measures to improve agricultural productivity through initiatives like the tomato revitalization project, which is expected to result in increased vegetable production for the region. The President noted that the Tamne irrigation dam project will create opportunities for increased economic activity and a significant contribution to the regional economy. The initiative underscores the government’s commitment to bolstering agricultural output and ensuring a sustainable food supply for the nation, with a projected impact of $2.5 billion annually across the seven key sectors.
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Source: Adom Online
