The Dominica Agricultural Industrial and Development Bank (DAIDB/AID Bank) has approved an $4.9 million dollar loan for local manufacturer Parry W. Bellot & Co. Ltd.
This recent injection of loan financing will assist the company in sourcing raw materials, vigorously pursuing and capturing lost export market share, undertaking refurbishment of the plant to meet international standards and improving the company’s cash flow position. It is expected that the foregoing will enhance the competitiveness of the company, and contribute greatly to increased employment, export markets, and foreign exchange earnings in the economy.
“The Agriculture and Industrial Development Bank has recognized the importance of Parry W. Bellot and Co. Ltd. to the agricultural, agro-processing and export sectors”, says Bank General Manger Julius J. Corbett.
He adds, “The Government of Dominica has identified agri-business as a major growth sector, thus the expected improvements at the company will allow for transformation of raw materials and significant value added-with positive spin-offs.”
According to the Third Medium-Term Growth and Social Protection Strategy Report, the sector has been challenged in competitiveness, reliability of supplies of raw materials and limitation of cash flow among other issues. Strategic financing from institutions such as the AID Bank would contribute to the creation of “an environment that will enhance the performance and competitiveness of manufacturing firms and contribute to efforts to attract investment.” (p.53)
Parry W. Bellot & Co. Ltd. houses its plant and administrative offices in Castle Comfort and also operates a smoked meat operation at the Canefield Industrial Estate.
The company has been in existence for 68 years and manufactures 17 products under the brand name Bello to include tropical fruit juices, drink concentrates and related preserves as well as various spices, coffee, chocolate and food condiment sauces. The Bello brand is a household name on the island and internationally is synonymous with Dominica.
Michael Fagan, Managing Director of Parry W. Bellot & Co. Ltd. considers the loan very timely and believes it will contribute to the company’s continued existence as well as its regional and international expansion efforts.
“With this loan we can now make much needed improvements to our plant facility. The injection of working capital will enable us to buy raw materials and thus enable us to increase our production volume. This will help us to survive in this competitive market, expand our business and eventually thrive.”
In addition to the cash injection, Corbett advises that the AID Bank also intends to facilitate the provision of technical assistance to the company as is necessary.
“The AID Bank, an indigenous institution sees itself as a partner in the success of Parry W. Bellot & Co Ltd., a longstanding, indigenous manufacturer which has stood the test of time and is one of Dominica’s premier success stories in the field of agro-processing. The company is now better positioned to realise its fullest potential. We will work with service providers to provide technical assistance to the company as the need arises.”
The signing of the agreement took place Thursday 14th August, 2014 at the Bank’s conference room.
Great Job Mr Corbett, I always knew with your Management the AID bank would flourish.Well done.
Congrats!!. One product which in my opinion needs vast improvement however is the pepper sauce. I see far better pepper sauces being produced on other Caribbean islands which have much lower quality and quanties of pepper than Dominica. I wish this company much success in the future.
time to rebrand
Anyway it’s good news all round the company an Dominica,
An a chim chim can remember picking peppers on school holidays
Bello has the BEST pepper sauce in the world!!!
congratulations on aquireing such funds to better produce,manage it wisely.
This is to be welcomed! This is the level of support our export industries requires-not $100,000 or $50,000 but substantial amounts of support to make a transformational and sustainable difference. We need well-endowed financial institutions and well managed, export-oriented firms organized along corporate lines to grow the economy at a rate of at least 5 per cent per year.
This is a most progressive move; one hat will benefit Dominica in so many ways. Bravo!
Use the money wisely …
What is the big news about that? What is the rate of interest of that loan? Are other manufacturers considered for the same concessions, if there is any special concession?
BELLO has been brought to its knees, they were evicted by the same AID Bank a few years ago and now massive propaganda for a loan for which BELLO may very well have to pay about $45,000.00 per month. This is based on the repayment of the entertainment facility next door.
So unless there are some real special incentives in this loan agreement, I would hold my breath in celebrating with the AID Bank, because this is an institution which borrows to its customers and after that choke them to the point of suffocation.
Michael Fagan your real woes have just began, if the terms are not better than the status quo of 7.5% and 8.5%, please tell me that you got 3.0% interest rate and then I’ll congratulate you. If not, please accept my condolences.
3.0% interest? That is like free money. Perhaps a graduated repayment schedule makes more sense. A low introductory rate of 2% for the first year, followed by 4, 5, and 7.5% for the remaining years.
Thanks god dominica does not depends on you,to do enthing for you sues dont know what it takes.you a
mr peter j
Mr. Peter J is right. May be a tab pessimistic but nonetheless, he is speaking the truth.
Folks, the bitter truth is, with a loan like this there must be a guaranteed market with strong demand for your product. Example, a 40 container a year contract with a large distributor. Now i hope this is the case and I would applaud the management of PWB. If this isn’t the case and we are simply dumping money in the pit to see what will happen in the future or to strengthen their brand and presence in the market, hence gain lost market, which is what Mr. Fagan said, then this may very well be their nails for the coffin.
Servicing this loan is no easy task.
Usual percentage at AID bank is 7.5-8.5%, so one would be looking at above $54,602 per month for 10 yrs at 7.5%
PWB needs markets and this is an opportunity for DEXIA and Min of Trade to assist PWB. I want PWB to survive because Dominica will benefit. We need more manufacturers here in Dominica because there are no more left after Bello.
Good luck Mr. Fagan Jr. and I really mean this
@ pj,,why u so negative,,,,shame
interest rates are not really an issue. the point is how bello is going to spend it and where . don’t you think so ?
Must be speaking from experience, Sir I do not doubt you.
Great news ,looking forward to see better things happen
in the very near future .much needed loan to a company
with very strong potenial
Bravo–providing working capital and technical assistance is good banking and the way to go.
Dear Mr Fagen does Bello still market in Europe?
Yes and no. I obtained a bottle of Bello produced hot sauce from Sainsbury’s in London. Exactly the same product and format we can buy at home except that it was marketed through another company with small print on the bottle saying that it was produced in Dominica. Such a shame!
Very best of luck. We need more companies with success stories in Dominica. We also need employmeont for our people to help make Dominica a first class islland.
This is great news for Bello and for Dominica as well as our Agro Processing Industry.
Congratulations on your victory BELLO! A hard fight, well won by the Right Company! Congratulations DOMINICA!
Bullseye.
Hello and good afternoon my people. Hi are you the same person as Anonymous ?
Congratulations on your success BELLO! A hard fight, well won by the right Company. Congratulations Dominica!
Hi are you the same person as Bullseye?
Is time to start making wiskey, ok parry?