'Develop Local Content Policy To Grow Construction Sector'
Government has been asked to develop local content policy interventions to compel all foreign civil construction firms to partner local counterparts to help grow indigenous businesses in the sector. This will ensure profit retention as against capital flight by the multinational companies.
The local content will not only ensure increasing Ghanaian participation in the construction sector but will provide employment opportunities and help grow indigenous businesses in the construction sector.
The country’s construction industry is faced with numerous challenges notable among them included delayed payments for work done on government projects, lack of capacity to compete with foreign counterparts, inadequate financial capacity, shoddy work and training.
Managing Partner of Trust Consult, Mr. Charles Kwesi Mensah told a gathering of contractors at a seminar in Accra aimed at equipping skills of local contractors. The seminar was spearheaded by Helmet, which brought together representatives from over 150 local construction companies.
“Policy need to be made that every contract will have a local person backing them if they could come in as sub-contractors, but they must partner them so we can pass a law or make a policy that in the next 10-years of contraction.
“We must pass a law that will prevent foreign companies from securing any construction contract without a local partner over a period of time.
“This will help build the capacity of the local companies within the period and we can then take that protection off so that we all compete,” he said.
Mr. Mensah encouraged the contractors to ensure proper booking as it is a major aspect in business growth. “Record keeping and book keeping are reference point for any future business that you do and therefore if you don’t keep the record or book keeping records how will you price yourself properly and stay profitable”
The Chief Executive Officer of Helmet, Mr. Harold Ntorinkansah Jnr, said the need to equip managers of local construction companies with the necessary skills and training is to avoid some of the errors and disasters such as the collapse of buildings and ensure business growth and expansion.
He said Helmet had decided to roll out workshop programmes in all the regions in the country to train and develop the capacity of the local contractors to avoid such errors.
“We have brought together management consultants and engineers with high level of experience to engage them in a practical training to build their capacities,” he said.
Disclaimer: The views expressed in this news report do not necessarily reflect the views of the National Development Planning Commission(NDPC)