P R E P A R E D B Y E n t r e p r e n e u r i a l P l a n n i n g & D e v e l o p m e n t D e p a r t m e n t
ABACOECO-INDUSTRIALPARK OBJECTIVE Import Substitution
SECTION PAGE 1. BAHAMAS AGRICULTURAL & INDUSTRIAL CORPORATION 04 2. EXECUTIVE SUMMARY 05 3. PROJECT DESCRIPTION 07 3.1 Industrialization Objectives 07 3.1 Areas of Opportunity 07 3.2 What's Happening in Abaco Now 07 3.3 Industrial Park Development In The Bahamas 08 3.4 Business Model 08 3.5 Joint Venture 08 4. MARKET ANALYSIS 10 4.1 Sector Overview 10 4.2 Market Potential 10 4.2.1 Government Incentives 10 4.2.2 Market Feasibility 11 4.2.3 SWOT Analysis/ PEST 11 4.3 Competition 12 4.4 Marketing Strategies 13 4.4.1 Product 13 4.4.2 Pricing 13 4.4.3 Market Segmentation/ Target Group 13 5. FINANCIAL ANALYSIS 5.1 Financial Assumptions/Projections 14 5.2 Cash Flow 14 EDITINGINPROGRESS 02 TABLE OF CONTENTS
AGRICULTURAL & INDUSTRIAL CORPORATION
OUR MANDATE
Since operations began in 1982, The Bahamas Agricultural and Industrial Corporation (BAIC) remains focused on economic expansions. Functioning as the business arm of the Ministry of Agriculture, Marine Resources and Family Island Affairs, we endeavour to assist in the creation and development of commerce and industry.
The National Development Plan (Vision 2040) and 2003 National Trade Capacity Building Strategy sets out comprehensive paths toward resiliency and selfsufficiency for The Commonwealth of The Bahamas. To that end, BAIC's contributions will stimulate businesses, facilitate employment and substitute imports.
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BAHAMAS
EXECUTIVE SUMMARY (A)
ECO-INDUSTRIAL PARK
Eco-Industrial Parks achieve swift economic growth through collaborative interactions between manufacturing and service businesses. Far beyond sharing a commercial address, strategically curated tenant businesses are able to leverage purchasing power and share amenities such as access to logistics, natural resources, market share, software, technology. These models of operational stability are used to showcase globally recognized achievements; attract multiple rounds of pooled investments and innovations; challenge non-tenant businesses to qualify for future vacancies; and positively influence other local industry-related businesses to enhance their offerings.
PROJECT SCOPE
Open call for seed investment in the direct development of the BAIC Eco-Industrial Park, located in Spring City, Abaco, The Bahamas.
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EXECUTIVE SUMMARY (B)
LOCATION
The fertile soil of and sea surrounding Abaco has long produced abundant harvests and has attracted the world's nobility, leaders in commerce, most decorated athletes, creative artists, and desirous celebrities. This is the setting where The Bahamas Agricultural and Industrial Corporation has stewardship of twenty-two thousand (22,000) acres or eight thousand nine hundred and three (8,903) hectares on the island of Great Abaco. A proposed four hundred and forty (440) acres south of Spring City, equating to two percent (2%) of its total real estate portfolio on the island, will be assigned for the development of an Eco-Industrial Park.
MARKET ANALYSIS
Of the nine hundred and ninety-nine (999) businesses promoted in the Abaco Sun directory, a mere six hundred and five (605) have active tax identification numbers (TINs). Construction, Resellers and marine centric Hospitality businesses, especially those catering to luxury sailing, watersports and sport fishing. This proposal identifies majority market capture available to investors and tenant businesses with volume manufacturing and production in the following areas: Agriculture, Aquaculture and Processed Food; Biofuel and Chemical Production; Component Assembly and Repair; Fine Art Production; Medical Device and Pharmaceutical Production; Natural Resource Refinement; Recycling and Waste Treatment; and Sports Equipment and Active Wear Production.
FINANCIAL ANALYSIS
The Bahamas Agricultural and Industrial Corporation presents an open call for direct investment applications, starting at a minimum input of dollars, which represents percentage of the total cost to start project operations.
Opportunities within this seed round include direct investments in infrastructure development; turn-key factory development; factory equipment procurement; farm automation; flood and storm mitigation; heavy machinery procurement; solarization and software-enhanced workforce innovation.
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AREAS OF OPPORTUNITY (A)
Abaco suffered massive losses of lives and livelihoods from 2019s Hurricane Dorian, which listed direct losses amounting to $2.45 Billion Us Dollars, representing an eighteen point one percent (18.1%) direct loss in Gross Domestic Product (GDP); (source: 2021 Inter American Development Bank: A Case Study Using Satellite Night Light Luminosity. The MacroEconomics of Hurricanes in The Bahamas)
The COVID-19 pandemic and the Russia-Ukraine conflict have both disrupted global supply chains, inflation spikes, reduced consumer spending and resulted in prolonged job losses.
INFRASTRUCTURE
Incorporate risk mitigation within every facet of the Eco-Industrial Park, tenant Businesses and their product offerings.
FAMILY ISLAND IMPROVEMENT
The development for local infrastructure with modernize amendment that eliminates adverse affects to the environment.
HURRICANES RESILIENCE MANAGEMENT
The Bahamas is extremely vulnerable to ever increasing hurricane wind intensity, flooding and compromised water sources.
Contingency plan in place for unexpected situations that aids in business continuation and insurance
ECONOMIC SHRINKAGE
GDP drastically decrease that stem from inactivity and vacancy of the island, which was the result of unforeseen circumstances.
LOCAL BUSINESS INPUT
On ground businesses concerns and solutions for a more stable and efficient business environment.
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AREAS OF OPPORTUNITY (B)
INFLATION
Raw materials & commodities are difficult to source at cost-effective prices and/or are subject to costly fulfillment delays.
EXPAT APPEAL
Completed overseas education with no intention to return with gained skills and knowledge to native country.
NASSAU CENTRIC WORKFORCE
Over saturated employment market on the island of Nassau with no option of relocation to Family Islands.
TECHNOLOGY GAP
Change needed for outdated practices and ideals to consider climate change, market demand and practical software.
PRODUCTION BOOST
Grow, Create & Build Bahamian products with the intent to supply the country demands and meet export expectations.
HERITAGE INVESTMENTS
Investing in your roots, source investment opportunities from native Bahamians abroad.
SITE ADJACENT HOUSING
Accommodations and Job placement available for Island employment and customer convenience.
HYBRID
MOCK, INCUBATOR & LIVE TRAINING
Professional, High-Skilled and Modernized Training available for upward mobility, personal and economic development
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WHAT'S HAPPENING IN ABACO NOW?
HOUSE AND HOME
The Ministry of Transport and Housing has undergone a project of constructing 300 homes in Abaco after 2019 Hurricane Dorian destroyed the island, devastating hundreds that occupied the island. The Ministry started constructing 30 homes so far and little by little they would reach their goal of 300 homes.
Partnering with the Government is Partanna Bahamas, founded by Rick Fox, to build one thousand (1,000) hurricane- resistant homes, made with carbon negative concrete.
Partanna Bahamas has initiated the process for the construction of 30 homes this year on the island of Abaco
DIRECT FLIGHTS
Silver Airways has added a direct flight to Leonard Thompson International Airport in Abaco Silver Airways stated that they recognized the demand for travel to Abaco and therefore increased its travel to the island.
It was said by Parliamentary Secretary in the Ministry of Tourism, Investments and Aviation John Pinder that "This route will present a significant opportunity for both leisure and business travelers.... Orlando is an important hub, with more than fifty million passengers a year from over a hundred destinations."
From this statement it could be expected that Abaco will see a major influx of tourist arrivals with direct flights now available
EMPLOYMENT OPPORTUNITIES
Hundreds of employment opportunities would soon be available on the island of Abaco from the $800 million Kakona project, a Heads of Agreement (HOA) was signed between the South Abaco Land Development Company and the Setai Brand to construct a boutique hotel.
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Luxury Furniture: Design Studio & Upholstery Repair
Luxury Furniture Market: $36.6 Billion
Proposed Allotment Size: 300,000 square feet / 27,870 9 square metres
Monthly Production Capability: 150 - 200 containers of furniture
Potential Job Creation: 1,000+
Potential Export Agreements: Australia; European Union; Japan; UK & USA
Partnership Agreements to Activate: African Export-Import Bank (Areximbank) | Caribbean Development Bank | CARICOM-Brazil Trade Agreement
Brand Quality to Emulate & Potential Investor Short List: Franco Bianchi, CEO of Haworth Inc. | Sunny Bonnell, CEO of Motto Group | Olivier Gremillon, CEO of Vivino Inc | Jerome Griffith, CEO of Brown Jordan Inc | Clive Kenyon-Brown, CEO of Duresta | Ruslan Kogan, CEO of Kogan.com | Janet Linly, CEO of Linly Designs | Jack Mason, CEO of Inc & Co | Josep Pico Cervera, CEO of Mueles Pico S.A.
2021 Statista Report on Leading Importing Countries of Furniture Worldwide
Website Source: https://www.statista.com/statistics/1053065/furniture-leading-importers-worldwide/
2022 Afreximbank Press Release that Bahamas signs Partnership Agreement between CARICOM & African-Export Import Bank
Website Source: https://www.afreximbank.com/barbados-parliament-ratifies-partnership-agreement-with-afreximbank-as-guyanaand-bahamas-join-caricom-signatories/
2023 Furniture Today Article
Website Source: https://www furnituretoday com/furniture-manufacturing/manufacturers-weigh-in-on-successful-recruitment-andretention-strategies-that-go-beyond-salary/
TURNKEY
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PREFERENCES (A)
TURNKEY PREFERENCES (A)
Baby Diapers, Feminine Hygiene & Incontinence Pads
Baby Diaper Market: $82.59 Billion | Feminine Hygiene Market: $47.24 Billion
| Adult Incontinence Market: $15 Billion
Proposed Allotment Size: 60,000 square feet / 5,574 square metres
Monthly Production Capability: 150 - 200 containers of furniture
Potential Job Creation: 200+
Potential Export Agreements: African Union; Australia; Brazil; China; India; Indonesia; The Philippines
Partnership Agreements to Activate: African Export-Import Bank (Areximbank) | CARICOM-Brazil Trade Agreement
Brand Quality to Emulate & Potential Investor Short List: Jon Moeller, CEO Procter & Gamble Company |
Michael Hsu, CEO Kimberly Clark Corporation | Hui Ching Lau, CEO Hengan International | Takahisa
Takahara, CEO Unicharm Corporation | Joaquin Duato, CEO Johnson & Johnson | Kambiz Damaghi, CEO
First Quality Enterprises | Gustavo Calvo Paz, CEO Ontex Group | Wendy Davidson, CEO Hain Celestial Group Inc | Carla Vernon CEO The Honest Company Inc | Magnus Groth, CEO Essity AB | Hein
Schumacher, CEO Unilever Plc | Cart Van Malderen, CEO Drylock Technologies | Charlie Mills, CEO
Medline Industries | Rick Finlayson, VP Consumer Products Attends Healthcare Products Inc
2021 Statista Report on Leading Feminine Hygiene Manufacturers by Revenue Worldwide
Website Source: https://www.statista.com/outlook/cmo/tissue-hygiene-paper/feminine-hygiene/worldwide
2021 Grand View Research Market Analysis Report on Baby Diapers
Website Source: https://www.grandviewresearch.com/industry-analysis/baby-diapers-market
2023 PR Newswire Article on Global Adult Incontinence Products Market Report
Website Source: https://www.prnewswire.com/news-releases/global-adult-incontinence-products-market-report-2022-sector-toreach-15-billion-by-2028-301791606 html
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TURNKEY PREFERENCES (B)
Recycling Plants
Glass Recycling Market: $1,126 Million (cullet at $51/tonne) | Metal Recycling Market: | Paper
Recycling Market: | Plastic Recycling Market: | Tire Recycling Market: $18 1 Billion (granules at $325/tonne + moulded products at $870/tonne)
Proposed Allotment Size: 161,458 7 square feet / 15,000 square metres
Monthly Production Capability: 2,000 tonnes
Potential Job Creation: 650 per focus area
Potential Export Agreements: European Union; India; Japan; South Korea & USA
Partnership Agreements to Activate: Bahamas Memorandum of Understanding with The United Arab Emirates | Bahamas Economic and Technical Cooperation Agreement with The People's Republic of China
Brand Quality to Emulate & Potential Investor Short List:
Glass Recycling -- Charlotte Holbrook, CEO Bottleman Recycling Services | John S. Glover, CEO
Bywaters | Robert Cummings, CEO Consolidated Glass Holdings| John Lair, CEO Momentum Recycling LLC | Scott DeFife, CEO Prism Glass Recycling LLC | Cindy Miller, CEO Stericycle Inc | Chris Dods, CEO
Strategic Materials | Nikolaus Wiegand, CEO Weigand Glas Holding GmbH
Paper Recycling --
Plastic Recycling -- Republic Services Inc | Waste Connections Inc | Clean Harbours Inc | GFL
Environmental Inc
Metal Recycling --
Tire Recycling -- Poul Steen Rasmussen, Genan Holdings CEO | Anthony Petersen, Lakin Tire CEO | Rob Murray, CTO Green Distillation Technologies | Nikolaj Magne Larsen, CEO Re-Match Holding | Gary Champlin, CEO Champlin Tire Recycling Inc | Lavon Detweiler, CEO Entech Inc | JD Wang, CEO reRubber LLC | Krzysztof Wroblewski, CEO of Contec S A | Onkar Kanwar, CEO Apollo Tyres Ltd
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TURNKEY PREFERENCES (B)
Component Manufacturing
Tire Recycling Market: $18.1 Billion | Gaskets & Seals Market: $61.74 Billion | Injection Molding
Market: $261.8 Billion
Proposed Allotment Size: 161,458.7 square feet / 15,000 square metres
Monthly Production Capability: 2,000 tonnes per focus area
Bolts, Nails, Nuts, Screws | Rubber Belts, Hoses & Seals | Flanges, Hinges & Valves | Fasteners & Latches | Ball Bearings, Casters & Wheels | Casts, Molds & Mouldings | Knobs & Handles, etc
Potential Job Creation: 300 per focus area
Potential Export Agreements: European Union; India; Japan; South Korea & USA
Partnership Agreements to Activate: Bahamas Memorandum of Understanding with The United Arab Emirates | Bahamas Economic and Technical Cooperation Agreement with The People's Republic of China
Brand Quality to Emulate & Potential Investor Short List: Grip-Rite | Tree Island Steel | Mid Continent Steel and Wire | Oriental Cherry Hardware Group | Aracon | SKF | Freudenberg FST Gmb | BRUS sealing systems GmbH | SSP Manufacturing Inc | Rubber and Sponge Limited | C&J Industries | AllPlastics | Biomerics | HTI Plastics | The Rodon Group | EVCO Plastics
2023 MarketWatch Construction Nails Market Report
Website Source: https://www.marketwatch.com/press-release/construction-nails-market-report-focuses-on-industry-size-forecast-20232030-2023-04-20
2023 Precedence Research - Gaskets and Seals Market
Website Source: https://www precedenceresearch com/gaskets-and-seals-market
Weibold Consulting Article BIR Dubai (World Recycling Convention) 2022 Summary - Gulf States boost tyre recycling
Website Source: https://weibold com/bir-dubai-2022-summary-gulf-states-boost-tyre-recycling
Grand View Research: Injection Moling Market Report
Website Source: https://www grandviewresearch com/industry-analysis/injection-molding-market-report
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TURNKEY PREFERENCES (B)
Shelf Stable Foods & Beverages
Processed & Packaged Foods & Beverages Market: $93 Billion
Bahamian Animal Feed & Pet Foods | Bahamian Baby Foods | Bahamian Bush Medicine
Supplements | Bahamian Canned Broths, Soups & Stews | Bahamian Condiments, Marinades, Sauces, Salad Dressings | Bahamian Diabetic Snacks | Bahamian Frozen Dinners & Desserts | Bahamian
Packaged Biscuits, Potato Chips, Snack Cakes, etc.
Proposed Allotment Sizes: 50,000 square metres per focus area / 538,195.5 square feet per focus area Bottling | Canned Foods | Frozen Foods | Seafood | Restaurant Take-Out Packaging, etc.
Monthly Production Capability:
Potential Job Creation: 450 per focus area
Potential Export Agreements: Australia; Canada; European Union; Japan; South Korea; UK & USA
Partnership Agreements to Activate: Bahamas Trade Agreement with Canada | Bahamas Economic and Technical Cooperation Agreement with The People's Republic of China
Brand Quality to Emulate & Potential Investor Short List: Ulf Mark Schneider, CEO Nestle S.A. | Dirk Van de Put, CEO Mondelez International | Juan Luciano, CEO Archer-Daniels Midland Company | Ican Menezes, CEO Diageo Plc | Xiongjun Din, CEO Kweichow Moutai Co | Sean Connolly, CEO of Conagra
Brands | Donnie King, CEO Tyson Foods | Antoine de Saint-Affrique, CEO Danone S.A. | Eun Seok Choi, CEO of CJ CheilJedang Corporation | Yun-Gie Park, CEO Lotte Chilsung Beverage Co Ltd | In-Kyu Kim, CEO
The Hitejinro Co Ltd | Jun Park, CEO Nongshim Co Ltd | Miles Dally, CEO RCL Foods | Gavin Dalglieish, CEO Illovo Sugar Africa | Noel Doyle, CEO Tiger Brands
2021 Statista Report: Top 20 Food and Beverage Enterprises in South Korea by Sales Revenue
Website Source: https://www statista com/statistics/801064/south-korea-top-food-and-beverage-companies-sales-revenue/
2022 Forbes Global 2000: The World's Largest Food Companies in 2022
Website Source: https://www.forbes.com/sites/chloesorvino/2022/05/12/the-worlds-largest-food-companies-in-2022/?sh=cb89f0474db9
2023 ZoomInfo List: Top 10 Food and Beverage Manufacturing Companies in South Africa by Revenue
Website Source: https://www zoominfo com/top-lists/top-10-companies-from-mfg-food-industry-in-ZA-by-revenue
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ABACOS
With economies opening up worldwide, The Bahamas remains one of the best options for property buyers and investors. No one is sure to what extent the economy will be affected or for how long as it depends on so many variables. What history teaches us, is that these events are cycles and they all eventually improve and rebound. It also teaches us that this market is the time to buy.
Here are our top reasons why The Bahamas Is STILL the Premier Caribbean Investment Market:
Close proximity to major North American and Latin American financial centres
Within 50 miles of the world’s largest economy
Same time zone as New York and Toronto (EST)
Peaceful and stable democracy since 1729
Independent nation with compliant legislation and consultative legislative approach
No local taxes on capital gains, inheritance, corporate and personal income, dividends, and interest
Proactive incentives for investment
Highly trained industry professionals and an English-speaking workforce
Essential public services and modern infrastructure
Ideal climate and lifestyle with many islands and cays to explore.
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INDUSTRIAL PARK DEVELOPMENT IN THE
Reference- MSME BUSINESS RESOURCES | BAIC Helpful Tip - Needed Bahamian Businesses 15 PREFERRED TENANT BUSINESSES
RELATED EMPLOYMENT CREATION
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LAWS REGULATIONS POLICIES
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END OF DRAFT PRESENTATION
