The effect of imported textiles on the demand for locally manufactured textiles

Thumbnail Image
Journal Title
Journal ISSN
Volume Title
Ghana Textile Printing Company is situated at Tema industrial area, and was established in 1962. It was formed as the result of a joint venture, with Ghana Government as a majority shareholder with 51% shares and the remaining 49% shared between United African Company Group (U.A.C.), Texoprint (Holland) and English Calico Limited.1 The purpose of the venture was dual in nature. First, the English and Dutch were to train their Ghanaian counterparts in the production of “imitation wax prints’. Secondly, the venture was to supply the Ghanaian market with Imitation Prints, which are equal in quality, design and in every respect similar to those imported into Ghana from Holland and England. The company suffered much losses in business, in the period 1983 to 1993, when the management and the running of the business was taken over by the workers in collaboration with the Peoples’ Defence Committee (PDC) with allegations of misappropriation of funds by top management. This period was characterized by capacity under utilization and inefficient management strategies to combat the competitive market created by the trade liberalization. Ghana Textile Printing Company was on the verge of collapse when it was finally reverted to its owners. The current shareholders of G.T.P. are the Ghana Government as a majority shareholder, United African Company, Gamma Holding of Britain and Vlisco of Holland. About ninety nine percent (99%) of the entire workforce are Ghanaian. Under the present ownership, G.T.P. has adequate financial and human resources to effectively perform in the current competitive environment.2 Ghana Textile Printing Company (hereinafter, referred to as GTP) has regained its position as market leader in the textile industry in Ghana. It is reputed to be a manufacturer of beautiful designs and quality Wax Prints, Fancy Prints and Java Prints. GTP has a production capacity of 24 million yards per annum and undertakes only cotton printing, using gray cloth produced and supplied by Juapong Textiles Ltd. The company’s main objective is to produce quality prints for the Ghanaian market without considering any for export. Under the auspices of UAC Textiles division, G.T.P. has a comprehensive distribution channel for getting its produce to consumers throughout the entire country. UAC Textile network is concentrated in the regional capitals, and the GTP through its sales team, manages to sell direct to consumers or retailers in some areas where the UAC textile network is not available.
A thesis submitted to the Board of Postgraduate Studies, Kwame Nkrumah University of Science and Technology, Kumasi, in partial fulfilment of the requirement for the award of Postgraduate Diploma in Industrial Management, 1996