The Rural Agricultural Development Authority (RADA) will be taking over the operations of the Christiana Potato Growers Cooperative Association.
The Cooperative defaulted on a $70 million loan from the National People's Cooperative Bank, which foreclosed the business.
RADA will acquire its building, which housed administrative offices and a farm store, its cold storage facilities, which it had leased, and its green houses, most of which have fallen into disrepair.
The funds will be made available to the RADA by the Ministry of Finance.
Finance Minister Audley Shaow, who is also Member of Parliament for Manchester North Eastern, where the Association’s assets are mainly located, attended a meeting with the potato farmers on Wednesday.
“It’s a matter now of putting everything together in terms of a reorganization, to make sure that the facilities are there for benefit of the farmers,” Shaw told RJR News.
He added that a farm store will be re-established and run by a private company at the head office of the Association, which will now be operated under the auspices of RADA.
Shaw stressed, however, that there will still be a role for the cooperative, “because we still need the Co-op to work with the farmers, coordinate with the farmers, assist in supporting planting programmes.”