By Elizabeth PUNSU, Kumasi
A United Kingdom-backed investment initiative is catalysing a new era in the country’s manufacturing sector, as Springs and Bolts Co. Ltd., based in Kumasi, prepares to expand the country’s first fasteners production facility and a state-of-the-art automotive components factory in Kumasi.
This feat is as a result of a massive funding and technical support secured through the Jobs and Economic Transformation (JET) Ghana programme early this year.
As a result, Spring and Bolt Co has secured US$1 million in follow-on investment earlier this year, part of a US$6 million package earmarked to establish a cutting-edge factory for large-scale production of automotive leaf springs.
Springs and Bolts, already the only local manufacturer of automotive components with a reach across West Africa, is now set to expand its footprint to new markets in the sub-region. The company’s new ventures are expected to deepen local value chains, reduce import dependence, and create at least 200 skilled manufacturing jobs as it hopes to increase production by at least 300 percent.
In an interview with the B&FT, during the official signing of the grant in Kumasi, Team Lead, JET Ghana programme, Eugene Sangmortey, highlighted that aside from the monetary support, JET’s technical support included feasibility studies and market analysis, which identified a US$600 million market opportunity across the West African sub-region.
With minimal local manufacturing competition and the advantage of the ECOWAS Trade Liberalisation Scheme, Springs and Bolts Co. is poised to become a strategic player in the sub regional industrial supply chains.
“Our goal is to drive inclusive economic transformation by creating high-quality jobs and unlocking both foreign and domestic investments in key manufacturing sectors. JET identified Springs and Bolts as a high-potential anchor company on the path to industrialization. With the right support, they could scale production by up to 300 percent to meet the surging demand both locally and across ECOWAS markets,” Mr. Sangmortey said.
The initiative aligns with the country’s broader ambition to become a competitive and integrated manufacturing hub in West Africa.
In recent years, the country’s automotive sector has seen significant growth, including the establishment of local vehicle assembly plants. The emergence of a local component manufacturing sub-sector is expected to further enhance the ecosystem.
Chief Executive Officer (CEO) Springs and Bolts Company, Eugene Asamoah Boahen, for his part expressed appreciation for UK support, noting that the JET grant has enhanced their credibility with financial partners and this investment would help in realising their growth ambitions. “JET has been introducing us to various companies that could help us expand. After the feasibility studies they believed in our company and our dream and vision to expand our operations,” Mr. Boahen added.
UK High Commissioner tour Spring and Bolt company
The developments were announced during a visit by the British High Commissioner to Ghana, Harriet Thompson, to Springs and Bolts Co. Ltd. as part of her farewell tour in the Ashanti Region. The visit underscored the UK government’s pivotal role in supporting Ghana’s industrialisation ambitions through the Jobs and Economic Transformation (JET) programme.
Speaking about her visit to Springs and Bolts, Ms. Thompson said: “This factory is a great example of how British investment is helping to grow strong local businesses, create good jobs, foster innovation, and strengthen the partnership between the UK and Ghana.”
The UK JET programme’s technical assistance played a key role in boosting Springs and Bolts’ capital-raising efforts, leading to an investment that will expand the company’s factory and production capacity. This capital raise reflects strong investor confidence and positions the company for growth, product diversification, and regional expansion.