Henry-Wilson THE GOVERNMENT, through the National Investment Bank of Jamaica (NIBJ), has entered into a 25-year lease arrangement with Jamaica Fruit and Shipping Company Ltd, for the Kingston Dry Dock.
The principals in the new lease agreement, Charles Johnson and T.B. Johnson, are expected to spend US$5 million ($225 million) to get the dock up and running. Much of the money is expected to be spent renovating and expanding the facility which will provide employment for between 200 and 300 people.
According to a development plan, the principals propose to establish a modern ship repair facility in the Kingston harbour to cater to small and medium-sized ships.
Essential for the repair of the country's commercial fishing vessels, tourist and other boats, the dry dock has either been idle or operated below par for most of the past 10 years. During that time, boats in need of servicing have had to be taken to Cuba or Florida.
Senator Maxine Henry-Wilson, Minister of Information, said the lease was determined based on the fixed asset and land value. She said the fixed asset value had deteriorated since 1991 when a previous lease was signed. She explained the termination of that lease was based on the new valuation.
The Minister was speaking at yesterday's post-Cabinet press briefing at Jamaica House.
At the time it was first divested in 1991, the dry dock was a subsidiary of the then Jamaica Industrial Development Corporation (JIDC), now JAMPRO. It was one of more than 60 Government-owned entities put up for divestment by the NIBJ that year.
