BY GRACE ZIGAH
President John Dramani Mahama has announced plans to rehabilitate the Pwalugu Tomato Factory in the Upper East Region as part of a broader government strategy to expand agricultural production, promote agro-processing and reduce Ghana’s dependence on imported food.
The President said the rehabilitation of the factory would be closely linked to an expansion of tomato cultivation in the region, with the facility expected to serve as a major processing centre for tomatoes produced locally.
President Mahama announced on Friday, August 14, 2026, during a citizens’ engagement in Navrongo, where he outlined aspects of the government’s proposed New Economy programme and its planned investment in agriculture and agro-processing.
According to him, the New Economy programme identifies seven key sectors of the Ghanaian economy for targeted investment over the next four years. Government intends to invest $2.5 billion annually, resulting in a total planned investment of $10 billion across the seven priority areas.
Mahama said agriculture and agro-processing would receive the largest share of the investment, accounting for half of the proposed $10 billion allocation.
“The biggest is agriculture and agro-processing. And that’s where the Upper East comes in. Agriculture and agro-processing are going to take 50% of that $10 billion investment. So $5 billion is going to go into agriculture and agro-processing,” he said.
The President assured residents of the Upper East Region that the area would receive a fair share of the proposed $5 billion agriculture and agro-processing investment, with irrigation development identified as one of the major areas of intervention.
He explained that expanding irrigation infrastructure would allow farmers, particularly young people, to cultivate crops throughout the year rather than depending largely on rainfall.
Mahama said the government had already begun efforts to revitalise tomato production in the region through a tomato revitalisation project, stressing that the administration was not waiting for the full implementation of the New Economy programme before taking action.
He said the Upper East had significant potential to produce vegetables for the Ghanaian market but required the necessary irrigation, production and processing infrastructure to unlock that potential.
As part of the tomato initiative, the President said about 2,500 acres of land could be brought under tomato cultivation, creating a large production base for the Pwalugu factory.
“The Pwalugu tomato factory is going to be the epicenter of it. We’re going to rehabilitate the Pwalugu tomato factory so that we can process the tomatoes that Upper East is producing to feed the rest of the country,” he said.
The proposed rehabilitation is expected to strengthen the link between agricultural production and local processing, allowing farmers to have a ready market for their produce while supporting the government’s broader objective of promoting agro-processing.
Beyond tomatoes, President Mahama also announced plans to complete the Tamne irrigation dam, which he said would support dry-season farming in four districts in the Bawku area.
The project, according to the President, would be particularly important for expanding onion production, as the Bawku area has a comparative advantage in the cultivation of the crop.
