Fujian Sentuo Steel, a firm based in China, recently acquired a manufacturing company of ceramic tiles based in Tema which is located in the capital of Ghana. The Chinese company paid US$80 million for the acquisition of the manufacturing firm which is one of the reasons why the country in Africa is struggling less in importing ceramic tiles. There are other flooring options such as natural stone bathroom tiles but many of the locals prefer ceramic tiles because of the cheaper price.
Nana Addo Dankwa Akufo-Addo, the president of Fujian Sentuo Ceramic Tile Col., Ltd, said during the inaugural speech that the manufacturing plant is an important investment because of its contribution in the overall economy of the western African country.
The president is also happy to express his gratitude regarding the acquisition because the new facility will be able to offer an additional 1,300 employment for the people of Ghana at the start of the operation. The figure is only a start because management is expecting that the total jobs available will increase to almost 5,000. In terms of the raw materials, the factory will be partnering with local suppliers to make sure that at least 90 per cent of the plant’s raw materials is coming from Ghana.
He also pleaded with the community of Kpone, where the manufacturing plant is located, to give their full cooperation to the investors coming from China. This is to make sure that the company’s transition will be smooth and successful which will benefit many of the residents around the community.
Fujian Sentuo Steel’s managing director, Xu Ningquan, said that the main reason why they organized the project is to benefit everyone in general. There are many advantages that come from manufacturing tiles, both for wall and flooring, in a local facility. It is substantial to the economy of the country because it impact import substitution as well as value addition.
He recalled how until 2019, majority of the tiles that are sold in Ghana came from other countries such as United States, China and Europe. They are also importing natural stone bathroom tiles and that is why when the opportunity to bring back to life the ceramic manufacturing plant, the government gave their full support.