The Tribune

• Bahamas Striping eyes switch from Andros

• Awaiting land, incentive clarity from govt

• Still ‘committed’ amid food security fears

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

A $10m poultry farming project is aiming to “become more Nassau-centric”, with its investor yesterday pledging it remains committed once land and the incentives regime are agreed with the government.

Dr Allen Albury, the Bahamas Striping Group’s managing director, told Tribune Business they were now focusing on New Providence rather than Andros for the development’s first phase in a switch that could create up to 80 jobs in the capital if the venture proceeds.

While the initial plan had called for poultry farms and processing facilities on Andros and Eleuthera, supported by a New Providence distribution centre, Dr Albury said the group’s latest strategy called for everything to be based on New Providence before they sought to expand to the Family Islands.

Acknowledging that the food security concerns sparked by the COVID-19 pandemic had only strengthened the rationale for investment in Bahamian agriculture, he added that Bahamas Striping will “decide how to move forward” with its proposal once it gains “clear direction” from the government on what it has to work with.

Revealing that the Ministry of Agriculture and Marine Resources had identified a potential site for the project in the Gladstone Road area, Dr Albury said securing the land - together with certainty over the incentives and regulatory regime - are now critical for Bahamas Striping’s strategy.

“The project is still on our drawing board and we anticipate some movement once the government gets everything lined up,” he told this newspaper. “That’s been the hold up, WTO and some policies that the government have under review.

“When we last heard from Agriculture, everything was moving in a favourable direction. Once we have the green light on the policies, it’s something we’re committed to looking at. They [the ministry] were creating some incentives to stimulate the sector.

“The plans are still the same. The intent is to become a bit more Nassau-centric since COVID-19 came about, and there has such great focus on food security.”

Dr Albury and Bahamas Striping had previously voiced concerns about The Bahamas’ planned accession to full World Trade Organisation (WTO) membership, noting that anti-dumping protections against inferior quality chicken imports would be as important as tariff safeguards to itself and other local producers in such a rules-based trading environment.

The halt to that process, and likelihood that it will not be revived for some years to come, has removed at least one uncertainty (in the short-term) for what Dr Albury said remains as an $8m-$10m investment proposal.

Explaining what he means by “Nassau-centric”, he explained: “Instead of the first phase being in Andros we were looking at it being in New Providence. The poultry farm, which included the broiler houses as well as the processing facilities, everything was initially proposed for Andros. We’re now looking at New Providence. It would be a switch from Andros to New Providence.

“We were looking at probably 20-25 acres. The Ministry of Agriculture has identified acreage they have in the Gladstone Road area, and I know they were in the process of finalising something with that. We’re looking at the fact that the population centre is New Providence, there is a potential land space we could develop here, and expand to the Family Islands as the operation grows.

“We’re waiting on all that, and once we get clear direction we can discuss it internally and debate how we move forward.” Dr Albury confirmed that the revised plan could result in between 60-80 jobs being created on New Providence, given that the initial strategy called for 60 at the Andros farm and broiler facility and just 20 at the distribution centre in the capital.

Arguing that COVID-19 has created momentum for greater investment in Bahamian agriculture, he added: “I think food security has become an even more consistent conversation since the pandemic started over a year ago,.

“The market has not changed in any significant sense. There’s some small producers who have entered, but in terms of major producers there’s only Abaco Big Bird that is a large player. Across the region and globally, with the onset of this pandemic countries had to begin looking at what if there’s a reduction in the flow of imported goods, particularly food? 

“The entire region was faced with questions as to how to feed its people. I believe that question remains. While we have sort of stabilised ourselves in the pandemic, we could be looking at future event that give rise to the same questions, whether it be a catastrophic hurricane or another pandemic. As a country we have to answer that, and as a region we have to address it.”

Bahamian agricultural producers have traditionally found it hard to compete against overseas rivals enjoying greater economies of scale despite the tariff protection offered by the Government. With 150m pounds of chicken consumed annually by Bahamians, Bahamas Striping had planned to persuade them to “migrate” to the fresh, healthy product it was targeting.

Confirming that remains the strategy, and that its chickens will not be fed any steroids, hormones or antibiotics, Dr Albury said: “This will be fully fresh birds that will help with the quality of food eaten on the tables of Bahamians. Considering some of the product coming in from overseas, it’s vitally important we move in that direction as a country.”

In a previous interview, he said he and fellow principals had been left “stunned” and “shocked” by the quality of chicken being supplied to Bahamian consumers. Disclosing that Bahamas Striping’s market research had revealed some chicken was being sold up to five years past its “kill date”, he added that this nation was “more a dumping ground for the large producers who are members of the WTO”.

“I can tell you that when we started researching the market, deployed our technicians in the market to start studying, what was shocking was the five-year date of chicken on our shelves,” Dr Albury said then. “That was concerning, shocking to our shareholders. On a personal level I purchase only locally-grown chicken after discovering what we discovered.

“The turning point for us was when the surveyors came back, and samples were sent to the laboratories, as we purchased chicken from various wholesalers and retailers. We were absolutely stunned with some of the results that came back.

Dr Albury said Bahamian consumers “may be prepared to pay five cents a pound more” for Bahamas Striping’s product. Suggesting that the consumption of poor quality chicken had added to The Bahamas’ considerable health woes, he added: “We want to make a dent in that, and educate people and give them the choice. 

“We believe that once we scale it right, we can deliver fresh, healthy chicken at the same rates - or maybe at a slight difference, not a significant one - as those being produced on the market right now.”