Olam targets West African biscuit market with capacity expansion
Nutrifoods Ghana Limited on Friday opened its newly expanded biscuit production facility in Tema, Ghana, which manufactures high quality biscuits for both the domestic and export markets.
Jointly owned by Olam International (75%) and Sanyo Foods of Japan (25%), the Nutrifoods facility is currently the leading biscuit factory in Ghana. It produces an assorted brand portfolio which includes two of the most popular biscuits in the country – the King Cracker and the Perk Shortcake.
The company invested US$8.25 million in expansion work, upgrading the capacity of the facility with new state-of-the-art production equipment and technology including an additional third production line.
The expansion has strengthened Nutrifoods’ position as the number one biscuit producer in Ghana. It has a 30% market share and an unbeatable benchmark in quality, producing international standard products for local market tastes. Moreover, the expansion has increased employment opportunities offered by the company, providing an additional 150 jobs and raising the existing workforce to 600 employees, of which 99% are Ghanaians.
The completion of the expansion project is hailed by stakeholders as a major milestone not only for Nutrifoods but also for the entire food manufacturing sector in Ghana. An inauguration ceremony held at the factory was attended by the Minister of State for Trade and Industry of Singapore, Dr. Koh Poh Koon and Ghana’s Minister for Trade and Industry, Mr. Alan K. Kyeremanten.
At the event, Dr. Koh congratulated Olam on the inauguration of their new factory and expressed hope that more Singapore companies can participate actively in Ghana’s growth. He also noted that Singapore companies are not just investing in the physical infrastructure but also in building human resource capabilities for Ghana’s future, with companies such as Olam sponsoring educational programmes in Ghana.
Trade and Industry Minister, Alan Kyeremanten urged Ghanaian and foreign investors in the country to replicate the success story of Olam Ghana in their various sectors of operation.
He commended the management of Olam for positioning the company to supports government’s quest to diversify exports as well as aggressively exploit the export markets of Europe, US and Africa.
He said: “Government will continue to improve the business environment by way of tax reductions as well as improved land access and regulatory processes to reduce the cost of doing business in the country.”
Mr. Chitwan Singh, Business Head at Nutrifoods Biscuits said: “With this expansion, we have doubled our existing production capacity, developed a new capability to make more varieties of biscuits, enhanced food safety and security through automation of our production line, and increased employment in other areas of operation.”
Welcoming the dignitaries, Mr. Amit Agrawal, Country Head of Olam Ghana, highlighted that the investment underlined the company’s ongoing commitment to producing high quality goods with local talent, in a supportive operating environment.
He elaborated: “The Ghanaian government has created a conducive environment for investments and businesses to thrive, which augurs well for future investments to flow into the country. We are proud to provide Ghanaian consumers with products suited to their tastes, with many of our brands among the favourites here, such as King Cracker, Perk, Tasty Tom, Royal Aroma, Royal Feast and First Choice.”
As part of the commemoration, Olam Ghana will be donating 63,000 packs of Fortified Milky Magic Biscuits over the course of the year to the Klagon TMA Basic School. Over the year, 1,300 students will each enjoy packets a month, as a mid-day meal snack.