Workers of Produce Buying Company petitions gov’t for a financial bailout
Workers of the Produce Buying Company (PBC) Limited have pleaded to the government for a financial bailout to enable the company service its debt and re-profile its short term maturing debt to a longer term.
According to the Workers of the Produce Buying Company, the bailout would give the company ample time to recover and retire all debt properly to ensure that it becomes a vibrant company again
The workers revealed that the current debt profile of the company amounted to GHȼ700 million, making it difficult to access funds directly from COCOBOD and other financial institutions.
“Produce Buying Company Limited currently owes almost every bank in Ghana and several service providers and suppliers. Banks are not ready to transact any business with the company. The cocoa buying industry is now dominated by foreign business entities and the company is fast losing out.
“We need a letter of comfort from the government to enable us access funds directly from Cocoa Board. This will take away the need for bank guarantees which come at high-interest rate,” the workers stated.
This was captured in a release by the Professional and Managerial Staff Union (PMSU) and Local Workers Union.
Addressing the workers at a Press Conference on Tuesday, Solomon Kotei, the General Secretary of the Industrial and Commercial Workers Union (ICU), said the union had petitioned the President and was optimistic that the grievances of the workers and for that matter the company would be resolved.
He said the status of the once vibrant company, especially in the last three years, compelled the union to take such an action.
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“Now, in the last three years it was obvious that the liquidity problem of PBC has come to a point where as I talk to you the current light crop position, PBC has not been able to participate and will not be able to participate”.
“Based upon this trend, we were compelled to make a petition to the President and our petition was given a great hearing on Friday,” he said.
