There's mixed reaction to a decision taken by the Keith Mitchell-led government to offer a bail out to a private sector group that got caught with tonnes of cement on its hand.

The outfit known as "Dream Builders" had attempted to cash in on a shortage of cement on the island by bringing in 12,500 bags of Brazilian cement in the face of widespread demand for the commodity after the regular supplier, Trinidad Cement Limited (TCL) was unable to meet local demands.

Informed sources told GRENADA TODAY that the Mitchell's ruling New National Party (NNP) government was forced to issue a Cabinet Conclusion requesting the state-run Gravel, Concrete & Emulsion Production Corporation at Queen's Park to find market for the cement brought in by Dream Builders.

A well-placed source said that the Cabinet directive calls for the cement to be sold to all government projects as soon as possible since cement is deemed a perishable product. According to a source, Gravel & Concrete intends to utilise a sizeable portion of the cement for its own use, as well as sell sell some to the Chinese that are rebuilding the National Sporting Stadium at Queen's Park and to CCC which is engaged in a number of road construction projects.

Some of the cements are currently in storage at Gravel & Concrete, while others are on the compound of the Grenada Ports Authority (GPA) and in other locations in the south of the island.

An official with close ties to the Mitchell government said the decision was taken by government to help "Dream Builders" out of its predicament out of a "sincere recognition" that it was trying to help the country grapple with a cement shortage due to problems with TCL.

He pointed out that the cement is of extremely good quality and that Gravel & Concrete had already used some in the production of blocks. He accused TCL of "flooding" the market with cement at the moment in light of the initiative by Dream Builders.

However, a leading private sector official expressed concerns with the manner in which the Mitchell government stepped in to assist "Dream Builders". He questioned whether the regime would have offered the same kind of courtesies to a local business group that had taken the risk to try and bring in cement into the country with a view to making millions of dollars in the wake of a shortage.

He stressed that if the entrepreneurs had made a few million dollars in their attempt to cash in on the cement shortage "no one would have heard anything about it". "I doubt whether any Grenadian business (that did what Dream Builders attempted) would have been bailed out by the State.

"The use of State resources should not be used in that manner at all for people who make certain commercial decisions that failed. "I do not know why the government feel it should rescue such businesses that make these kinds of (business) decisions.

According to the source, he suspected that the operators of Dream Builders had the full blessings of the Mitchell government prior to the arrival of the cement.

It is apparent, he said that the outfit was able to get concessions from Cabinet like the waiver of custom duties that are applicable to goods produced outside of the Caribbean Community (CARICOM) region.