Northshore Apparel plans fabric mill, cotton outgrower scheme as part of expansion – CEO

Northshore Apparel Ghana Limited has revealed ambitious plans to construct a fabric mill and initiate a cotton outgrower scheme in northern Ghana and surrounding nations, as part of its industrial park expansion in Savelugu. CEO Nurideen Mohammed announced this at the official inauguration of the Northshore Apparel Industrial Park on Friday, August 28.

Mr. Mohammed unveiled a three-phase development plan aimed at boosting garment production and constructing a comprehensive textile value chain, enabling Ghana to export finished clothing rather than raw cotton. The first phase involves the establishment of the garment manufacturing facility, while the second phase expands sewing capacity to 200 lines, adds two production lines, a design facility, and 1.5 megawatts of solar power with battery storage.

Phase Three will introduce a fabric mill and a cotton outgrower program across the sub-region, ultimately leading to Ghanaian cotton being exported as finished garments instead of raw bales. The company's strategic advantage lies in Savelugu's proximity to the West African cotton belt, which includes Burkina Faso, Mali, Benin, Niger, Togo, and northern Ghana.

This location offers access to a substantial labor force and relatively lower operational expenses. The first phase of the project, which was inaugurated on Friday, encompasses 50 sewing lines on a 50-acre industrial campus, a 4,000-square-meter cutting and design facility, and two 4,000-square-meter warehouses. It also includes a 1,500-square-meter dining facility, a 500-kilowatt peak solar power system, an anaerobic biodigester, and a 600,000-litre underground water reservoir, all powered by mechanized boreholes.

Apart from these, the factory provides workers with facilities such as an on-site clinic, a crèche, and a designated place of worship. With over 2,300 trained operators, Northshore Apparel is poised to cater to both domestic and international garment markets. The company's integration of the fabric mill and outgrower scheme aims to foster local value addition, support cotton farmers, and diminish Ghana's reliance on imported production inputs.

GEXIM facilitated the factory's establishment and operation through a blended financing model incorporating the Investing for Employment facility of Germany's KfW Development Bank and equity from the project promoters. The factory presently comprises 50 sewing lines, a 4,000-square-meter cutting and design facility, and 8,000 square meters of storage space for raw materials and finished goods.

Following the completion of its first phase, the facility is expected to generate 3,000 immediate jobs, with direct employment anticipated to reach 10,000 upon full operational capacity.