Prime Minister Hubert Ingraham called yesterday's official opening of the $83 million Nassau Container Port marks a "red-letter day" for shipping in The Bahamas, with a 21st century port advancing the development of a new New Providence. He said it signaled ownership in a significant sector of the economy for Bahamians and ongoing development in downtown Nassau.
Prior to the Arawak Port Development's (APD) establishment of port operations in New Providence, the prime minister noted it was controlled exclusively by a number of shipping and real estate owners.
"With the new port here at Arawak Cay, a broad cross-section of Bahamians were afforded the opportunity to purchase shares in a significant sector of the national economy," he explained.
"It is a red-letter day in terms of the ongoing development of a new port of Nassau replacing the old, privately owned ports which have been stretched along downtown Bay Street for much of our history and predating our independence."
Ingraham said Thursday's opening is a celebration of the broadening of ownership of a sector once dominated by a few families but now 60 percent owned by the government, Bahamian citizens and pension funds, marking a broader base ownership by the Bahamian people. "Recently APD offered some 20 percent of its shares to the public. The founding shareholders were excluded from this offering. The share offering was the most successful ever in The Bahamas. Indeed, the ADP sought to raise $10 million through the public offering of shares; the share offering was oversubscribed by $35 million," he said.
To date, 11,065 Bahamians are APD shareholders. He continued: "Today the government owns 40 percent of the issued shares, Arawak Cay Port Development Holdings (ACPDH) owns 40 percent and the Bahamian public owns 20 percent. The Bahamian public purchased their shares at $10 per share, which is precisely the same price at which the government purchased its shares and the price at which ACPDH purchased its shares. Essentially then, 60 percent of the shares at the port will be held between the government and individual shareholders."
He further revealed that the offering of shares in the new port is part of the government's long-term effort to create a shareholding society in The Bahamas. "The expansion of a shareholding society among the Bahamian people will empower individuals, families, pension funds, unions, institutional and other investors to purchase shares in a broad range of private, public and joint venture companies. This will make hundreds of millions of dollars of assets available to the Bahamian people as investments, collateral and for their retirement," he added.
Ingraham said the port's relocation provides additional prime property for touristic and other commercial developments. "Relocating the port from the city's center removes freight handling activities from downtown Nassau and alleviates traffic congestion associated with major port activities," Ingraham said. Mike Maura Jr., the CEO of APD Limited, has addressed a number of concerns and provides greater security and compliance with respect to the international ship and port facility security code.
The nation's chief revealed that the new port represents a new, modern and convenient and modern facility at Arawak Cay. The Arawak Port includes features such as 25,000-square-feet of warehouse space and 25,000-square-feet of administrative space, around the clock Royal Bahamas Police Force presence, perimeter fencing and surveillance cameras, and an on-site Customs department to provide entry processing and freight inspection.
The 100,000-square-foot Customs warehouse on Gladstone Road was constructed at a cost of $15.2 million to ensure that the demand for increased freight cargo handling and storage will be met.
The Nassau Container Port currently employs 101 people.
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