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container load of fertilizer
The Ministry of Agriculture, Fisheries and Forestry finds it necessary to issue a statement on the purchase of fertilizer by the Ministry from Logistical Supply Solutions Inc. in February and November 2007. Certain persons have seen it fit to make allegations which are completely unfounded. They did so without first making any inquiry of the Ministry of Agriculture in order to ascertain the facts.
The Main Allegations
A significant allegation was that the Ministry did not receive a portion of the fertilizer which it had ordered and paid for. The allegation is patently false. The other allegation is that the Ministry paid excessive prices. This allegation too is false. The price paid by the Ministry was determined by (i) the quantity required; (ii) the time required for shipment and (iii) the quality of the fertilizer ordered. The Ministry also ordered organic fertilizer which is normally more expensive than chemical fertilizer.
Some Background Facts
The circumstances which led to the order of fertilizer are straightforward. This country faced a serious situation with escalating prices for essential and basic foods and inputs. The Ministry of Agriculture, Fisheries & Forestry therefore took a strategic decision, in the face of this imminent world crisis, to urgently boost local agricultural food production in an effort to ensure that adequate food from local agriculture would be available in sufficient quantities to counteract the impending high cost of imported foods. To achieve this strategy, it was essential
to have, and soon, adequate supplies of inputs for use by farmers – both commercial and subsistence farmers. This would ensure adequate production and food security on island, and contribute to the sustainability of the all important agricultural sector.
The First Order of Fertilizer
In furtherance of these production support programmes, the Ministry of Agriculture, Fisheries & Forestry purchased a quantity of fertilizer from Logistical Supply Solutions Inc. in February 2007. The first order of fertilizer was purchased by way of an invoice No 0172 dated 8th February 2007. The breakdown of the order for 3,225 bags of fertilizer was as follows:
1,000 bags NPK 16-8-24 (50 kg bags)
1,000 bags NPK 15-15-15 (50 kg bags)
1,000 bags Di Ammonium Phosphate (50kg bags)
225 bags Organic Fertilizer
The total cost of the fertilizer was US $110,012.50 or EC $299,006.86. This shipment included organic fertilizer, which is more expensive than chemically based fertilizer. Also, it should be observed that this first shipment was a relatively small consignment. As a result, the price per bag was higher than would be expected with a much larger consignment such as the second shipment. Payment was made to Andre Dopwell of Logistical Supply Solutions Inc on 12th February, 2007. All of the fertilizer ordered by the Ministry of Agriculture was received in two shipments in May and July/August 2007. This fertilizer was distributed by the Ministry to farmers free to support local crop production, thereby meeting the important goal of the Ministry, and by extension the Government of Dominica, to assist our farmers and alleviate the burden of high priced agricultural inputs.
The Second Order of Fertilizer
A second order of fertilizer was placed with Logistical Supply Solutions Inc. in November 2007 following the passage of Hurricane Dean (August 2007). It is important that we recall the considerable damage to the agricultural sector caused by Dean. This urgent order of inputs was intended specifically to support the rapid rehabilitation of crops in the agricultural sector which were destroyed by the Hurricane. The fertilizer was purchased based on Invoice No11142007 dated 14th November 2007. The breakdown of the second order was for the following:
375 tons NPK 15-15-15
350 tons NPK 16-8-24
350 tons NPK 12-12-17
175 tons White Lime
The total cost of this order was US $612,805 or EC $1,664,929.90. Because of the large quantities involved, the price per bag was less than in the first order. Payment was made to Andre Dopwell of Logistical Supply Solutions Inc. on 27th November 2007. The Ministry requested that the fertilizer be shipped to Dominica in four (4) shipments as follows:
- Shipment 1 – 375 tons, immediately upon payment
- Shipment 2 – 375 tons , two weeks following shipment 1
- Shipment 3 – 325 tons, three weeks following shipment 2
- Shipment 4 – 175 tons, three weeks following shipment 3
Due to production problems at the fertilizer plant, and the high demand for fertilizer at that time, the fertilizer order was received in eight (8) shipments totaling 1057 tons over a period of seven months. For the reasons set out below, the amount ordered was reduced from 1250 tons to 1057 tons. The Ministry of Agriculture communicated with Logistical Supply Solutions Inc. consistently in order to ensure that the fertilizers would be made available to the farmers in need promptly. Faxes were therefore sent to the company on the following dates:
- December 12th 2007;
- January 29th 2008;
- February 18th 2008;
- February 29th 2008;
- April 4th 2008;
- June 20th 2008.
These faxes establish that the Ministry was intent on ensuring that the specific instructions given to the Company were adhered to and that the delivery of the inputs took place within the time agreed by the Parties.
In response to the Ministry’s Fax dated January 29th 2008, Logistical Supply Solutions Inc. informed the Ministry of Agriculture that a breakdown at the fertilizer plant from which the fertilizer was being sourced, would cause delays in the shipments resulting in increased costs. The Company also communicated to the Ministry via Faxes dated March 3rd 2008 and May 19th 2008 that there was an increase in the world price for fertilizers and that it was proving to be expensive and difficult to transport inputs into Dominica. It is important to note that the Company’s statement made in relation to the increase in world prices for fertilizers was totally justified by the fact that during 2008, fertilizer prices rose sharply as a result of the increased cost of petroleum products, including fertilizers and increasing demand for some fertilizer
ingredients such as potash. In fact, global fertilizer prices rose by more than 200% in 2007/2008.
Consequently, the quantity of the fertilizer order was reduced by the Ministry from the 1250 tons originally ordered to 1057 tons in order to take into account and reflect the higher prices and costs. The reduced quantity of 1057 tons was received by the Ministry. All of the fertilizer received was distributed free to farmers island wide for the purpose of replanting their crops destroyed by Hurricane Dean. It should be therefore clear with the presentation of these facts, that the allegations that the Ministry did not receive all of the fertilizer it requested and alleged excessive prices in relation to the purchase of fertilizer by the Ministry are completely without foundation.
Sorry to see that Dominica use chemical fertilizers now, regarding such environmental problems they generate.
This is one of the worst examples of a government news releases I've ever read.
It completely avoids comment on dealing with the Minister's brother (LLS), why LLS apparently is not a registered company within the US, why there were no tenders offered to other suppliers for amounts exceeding US$600,000, why invoices were paid in advance of receipt of goods, and why LLS did not ship the quantities ordered (there was no shortage of fertilizer in the US at the time, and there is certainly more than one factory in the US producing it), why it took took three months for the Minister to order the "urgent" fertilizer after Hurricane Dean, and why the last shipment arrived arrived 8 months after the order was placed and paid for.
In the news release’s inept attempt to cover the Minister’s rear, it not only makes him look complicit in feathering his family’s nest, but strongly suggests that the Minister or his purchasing staff are completely incompetent.
Is everything for you people a cover up, some fraud, some under cover nastiness that the people we put in power all the time are trying to rob the country from right in front of our noses. I mean if you think about it, if you have to rob the country Dominica, you need several hundred people in on the deal. I mean two (2) Ministers alone cannot do this. I mean what about some public servants, some officers, a few friends in the Diaspora.
Imagine the low down dirty wickedness of these people. Since Hurricane Dean. And now the story surfaces. No mention, well he might have made a mistake. At least lets be adult and democratic about it. Could be a mistake? You people really love war and scandal and gossip. Call the Ministry and find out the facts, an article says X so hey lets believe it…
Another clear and glaring example of boldface corruption. This Government is on a mission to rape the treasury of Dominica. While they continue to come up with uneducated and bogus schemes to rob the treasury, the Dominican economy continues to worsen under the DLP watch. It is very clear that the minister Walters does not understand his statement about what he and his government is involved with. Walters and Skerrit continue to believe that the intellect of Dominica is equal to the intellect of Cucumber and the likes. What an insult to the educated and sensible people of Dominica. This excuse of a government continues to steal and lie while they enrich themselves at the expense of the poor masses.
Donald you are really another clear case of super ignorance, I would really find great pleasure in educating you about the plain and clear facts, but I think it would be fitting to let you continue to bray.
You seem to relish bashing the DLP and the Prime Minster – It seems that you feel that you are a lot more worthy to lead the Dominican Population.
Like every other Political Party of the past and all Leaders of the Past. those of the present and future will not improve things at all. It’s the same lies, fraud, and decay in code and responsibilities. But i must put an exception, and that is the Prime Minister, his opponents and friends continue to slander his character, they try to corrupt the public (as you are doing) and they will continue to until he is forced out of a position that no else is better at.
I hope if your friends get into power, you will be vibrant and voice your opinions freely and without retreat when they really betray the trust of Dominica and its people. Discussion Done!!!
You see nothing wrong in government spending millions of the tax payers money without the benefit of tender or even a basic market research? You see nothing wrong in the fact that there was conflict of interest where a minister of government is purchasing goods on behalf of the State without tender from his brother? Do you understand the finance concept of futures, where you buy a product in advance to secure low prices? If the fertilizer was paid in advance, any subsequent additional cost is not the responsibility of the buyer. Are you saying that it is alright for the government to be repeatedly committing fraud because they are your friends? It is wrong, and no amount of personal attacks from the likes of you can make it right. You mention facts, WOuld you please elaborate on those facts that you say you have? please.
You are hurting, you have placed your trust in a leader who has clearly demonstrated his inability to honestly manage the country. All Dominican leaders have been subjected to public pressure and scrutiny. PJ was stoned out of office, Mamo was forced to give up leadership when it was clear that the majority of Dominicans were no longer supporting her, and Edison James was voted out of office after a barage of unproven false allegations of corruption. Pierre Charles according to Tony Astaphan was backstabbed to his grave by his own ministers including Skerrit. Rosie Douglas was pressured to the point that the Mayor Cecil Joseph threatened to tie him to a chair. It is nothing new to call PM's to account. Why cry, when talking the truth about PM Skerrit? Point our the lies and be specific if you can? HA, HA, HA.
Do you remember when the BIN BOBOL burst that your spokesman Tony said that it was none sense? Since then we heard the government admit to being overcharged by the same Dopwell for the BIns, He even promised to refund the half million. We are waiting for that refund since PM Skerrit said that we would get the refund in 14 days. 14 days have past weeks ago and we are still waiting. The fertilizer bobol happened before the bin bobol. NO PERSONAL ATTACKS, JUST STATING FACTS. DOMINICA IS RUN BY GANGSTERS.