Ghana targets $1.2bn investment and 150,000 jobs under new textile policy

Ghana is seeking to attract about $1.2 billion in investment and generate 150,000 direct and indirect jobs over the next decade under a new textile and garment policy approved by Cabinet.

The policy, which is expected to be officially launched by the Ministry of Trade, Agribusiness and Industry, also aims to grow the country’s textile and garment industry from an estimated $400 million to approximately $2 billion.

Another key objective is to revive local cotton production across 50,000 hectares to improve the supply of raw materials and support the expansion of domestic textile manufacturing.

The targets were disclosed by the Trade Ministry’s Director of Research, George Amoah, at the launch of the second phase of the International Labour Organization’s (ILO) Productivity Ecosystem for Decent Work programme.

Mr Amoah described the textile and garment industry as an important avenue for employment creation, noting its potential to provide decent work and help tackle unemployment.

He cited global estimates showing that the garment industry employs about 94 million people, with women making up between 60 and 80 per cent of the workforce.

However, he stressed that achieving Ghana’s ambitions for the sector would require more than investments in factories and machinery.

“We need a skilled workforce, efficient production systems, strong management, compliance with standards and workplaces where people can perform at their best,” he said.

Speaking at the same event, ILO Programmes Manager Bismark Ghartey highlighted some of the gains made during the first phase of the Productivity Ecosystem for Decent Work programme.

He said the initiative supported the development of Ghana’s first productivity statistics, creating a national evidence base to inform discussions on productivity, employment, wages and policy.

Mr Ghartey also pointed to progress in the shea sector, where the programme helped establish the Shea Employers Association and the Ghana Shea Workers Union.

The two organisations subsequently signed what he described as the sector’s first collective bargaining agreement in 2026.

According to him, the agreement provides a platform for employers and workers to address common concerns through dialogue and cooperation.

ILO Global Programmes Manager for the Productivity Ecosystem for Decent Work, Stephan Ulrich, said the programme’s second phase would build on the earlier work by coordinating productivity improvements at the policy, labour and enterprise levels.

He emphasised the need to establish clear pathways for workers to move into more decent employment, noting that economic growth does not necessarily result in job creation.

The programme is funded by the Swiss government through the State Secretariat for Economic Affairs.

Switzerland’s Deputy Head of Mission and Head of Cooperation to Ghana, Janine Walz, called for a coordinated effort to expand employment opportunities, stressing that improving productivity and working conditions requires cooperation among businesses and institutions.

The Productivity Ecosystems for Decent Work programme takes an integrated approach to improving productivity and working conditions at the enterprise, sectoral and national levels.

It seeks to address the underlying structural challenges responsible for low productivity and high levels of informality, rather than concentrating solely on their consequences.

The proposed textile and garment policy is expected to contribute to wider efforts to attract investment, strengthen local production and create more employment opportunities across the industry.

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