The Village would have model crop and aquatic farms as well as small scale industries for training purposes.
The Rector, Professor Nicholas Nana Nsowah-Nuamah, said the facility would help build the entrepreneurial skills of students and adequately prepare them to set up their own businesses.
The Village would accommodate all industries established by the polytechnic or in partnership with entrepreneurs for the production of various goods for the local and international markets.
Prof Nsowah-Nuamah who was addressing the seventh congregation of the polytechnic in Kumasi said the polytechnic is in partnership with a business concern to assemble computers, television and radio sets, cellular phones, air-conditioners and DVD players.
A total of 12,416 graduated at the ceremony, made up of 2009, 2010 and 2011 year groups.
He spoke of plans for the school to open a technical training centre at Suame Magazine in the Kumasi Metropolis to expose artisans and craftsmen to new technologies and best business practices.
The Rector said as a tertiary institution, the polytechnic would do everything possible to lead the search for solutions to the problems facing the nation.
In line with this, the school had funded a solar dryer project with the goal of building the capacity to disseminate large-scale solar dryers to assist tackle agricultural post-harvest losses.
Added to this, is the building of a six-storey modern hotel to serve as a hospitality facility for practical training of students in hotel, catering and institutional management.
“We should not be surprised if Kumasi Polytechnic goes into assembling of vehicles a year or two from now. Some may consider this as a crazy idea but development always comes through unimaginable crazy ideas,” he said.