The Kumasi Shoe Factory, formally known as DIHOC Footwear Division Limited, has intensified calls for the Ghanaian government to implement a compulsory school footwear directive to create a dependable market for locally manufactured shoes. Management says the policy would not only revitalise the factory’s operations but also generate thousands of jobs and support Ghana’s broader industrialisation agenda.
The appeal from the Kumasi Shoe Factory comes at a time when its production lines are far below capacity and foreign imports continue to dominate the footwear market, including in sectors where state institutions are expected to lead by example. Factory officials and industry advocates argue that a firm government policy requiring public schools and security agencies to procure locally made footwear is essential to unlock the factory’s full potential and rejuvenate Ghana’s shoe manufacturing sector.
Massive production capacity left largely untapped
The Kumasi Shoe Factory has recently invested in new machinery and infrastructure upgrades capable of significantly scaling up production. According to the company’s board chair, Dr. Karl Laryea, the facility is installing modern assembly lines capable of producing between 10 million and 15 million pairs of school sandals annually, as well as more than 700,000 pairs of assorted security boots and shoes each year.
Despite this substantial production capacity, the factory is currently operating at approximately 8% of its installed capability. The workforce once as large as 1,800 in the 1960s has dwindled to just 41 workers, and production remains sluggish due to a lack of sustained market demand. Dr. Laryea says that with the right policy support, the factory could quickly expand its workforce and employ about 1,500 additional workers within months.
The factory’s revival carries historical significance. Originally established in 1960 as part of Ghana’s industrial strategy, the facility was dormant for many years before being resuscitated under a partnership between the Defence Industries Holding Company Limited (DIHOC) and Czech Republic-based Knights a.s., operating through its local subsidiary, Knight Ghana Limited.
Government directives ignored by state institutions
Despite multiple government directives over the years, state institutions and security agencies have reportedly continued to import footwear, undermining the factory’s growth. In 2014, then-President John Dramani Mahama issued a policy directive requiring state agencies to procure footwear locally from the factory. However, this directive was never enforced. More recently, the Minister for the Interior, Muntaka Mohammed Mubarak, issued another order to the relevant agencies to halt imports and buy locally, yet compliance remains low or nonexistent.
The list of agencies that have reportedly ignored these directives includes the Ghana Police Service, Ghana National Fire Service, Ghana Prisons Service, Ghana Immigration Service, National Disaster Management Organisation (NADMO) and the National Service Secretariat all major potential buyers of locally manufactured boots and shoes.
Dr. Laryea has expressed frustration at the agencies’ reluctance, highlighting that they have refused to provide critical size specifications (“size rolls”) necessary for efficient production planning. Instead, the agencies have reportedly asked the factory to produce footwear without confirmed sizing and promised future purchases a practice Dr. Laryea says is effectively delaying procurement and encouraging continued importation.
Call for compulsory school footwear policy
At the core of the factory’s advocacy is a compulsory school footwear directive a policy that would require all public school pupils to wear locally made sandals. Proponents argue this approach would create a guaranteed market for domestic producers, increase local value addition, reduce foreign exchange outflows, and stimulate the national economy.
Dr. Laryea has pointed to successful examples from countries such as South Africa and India, where enforceable procurement policies for local products have helped build robust domestic industries through government and public sector demand. By creating steady, predictable markets for locally produced footwear, Ghana could significantly reduce dependence on imports and strengthen its manufacturing base.
Industry experts note that local production could also lower costs for students and parents, particularly if duty exemptions on raw materials for footwear production are maintained or expanded. These exemptions help reduce production costs, which the factory says can make locally manufactured school sandals more affordable than imported alternatives.
Economic and social impacts of policy inaction
The impact of policy inaction extends beyond the factory’s immediate operational struggles. Dr. Laryea has drawn attention to social costs, including the reality that many children in deprived districts still attend school barefooted, even as imported footwear dominates procurement for state institutions. He argues that reversing this trend through government policy would deliver social as well as economic benefits.
The factory’s advocates contend that enforcing directives must go beyond issuing orders; there must be accountability mechanisms for heads of departments and agencies that fail to comply. Without consequences, they say, procurement practices that favour imports will continue, undermining local industry development.
Ready to support government’s 24-Hour economy agenda
Supporters of the compulsory footwear directive also link the policy to the broader 24-Hour Economy programme, arguing that sustained demand for locally produced footwear would help integrate the factory into continuous production cycles, support job creation and enhance economic activity. The factory’s readiness to participate in the 24-Hour Economy underscores its potential role in national development if market demand is secured.
In summary, the Kumasi Shoe Factory’s push for a compulsory school footwear directive highlights larger issues of industrial policy implementation, local content enforcement, and strategic market creation for Ghana’s manufacturing sector. As the country pursues economic transformation, concrete government action in policy enforcement could determine whether longstanding industrial assets like the Kumasi Shoe Factory become engines of growth or fade into obscurity.