Notwithstanding, the major role that Small Scale Food Processing Industries (SSFPIs) play in the economy, the industry is plagued with a number of challenges which impede their expected effect on the economy. The current study was undertaken to examine the challenges facing these industries with reference to 'Shito' producers in the Kumasi Metropolis. A total of 105 respondents were randomly selected through a process of stratified sampling from a population of 210. Questionnaires were administered to Producers and Consumers while sellers were interviewed. The data for study was analysed by the use of Statistical Package for Social Sciences (SPSS) version 16. The study found among others that the main challenge faced by 'Shito' producers was marketing their products. As majority of the 'Shito' producers representing 45% of the total population indicated. A number of recommendations were made to various stakeholders to solve the challenges.