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Mixed outlook for north coast restaurants
published: Wednesday | June 23, 2004

By Erica James-King, Staff Reporter

WESTERN BUREAU:

THE RESTAURANT trade in the resort city of Montego Bay is reaping significant benefits from the upswing in the tourism sector and industry experts estimate that in excess of $25 million is currently being pumped into the expansion of eating establishments in that resort area. In stark contrast, there are rumblings among Ocho Rios restaurateurs that business is sluggish and that their trade is being undercut by the all-inclusive hotels, which are chockfull of their own restaurants.

The restaurant landscape in Montego Bay will be completed within the next two months, with at least three new eateries coming on stream along Montego Bay's popular 'Hip Strip'.

Businessmen Junior Taylor and Robert Josephs who currently operate the Brewery restaurant along the Strip, are upbeat about the restaurant business and their gushing confidence has translated into moves to establish two new restaurants along that Strip.

NEW FACILITIES

One of the new facilities is a fine dining world cuisine eatery, to be established during July at the site where the Bullseye restaurant was located. "The site where we are putting the restaurant will be completely renovated and overhauled," Junior Taylor told Sunday Business in an interview. He was, however, tight-lipped about the magnitude of the investment which would be ploughed into the establishment of this new gourmet restaurant. "All I can say at this time is that we are putting several millions into setting up this new restaurant," said Mr. Taylor. "Significant investments will be made in establishing that restaurant, in the belief that the growth of the tourism market is for real and restaurants can enjoy those benefits."

The operators of the Brewery are also to open a casual continental restaurant at Doctor's Cave beach called 'The Dock', which will also be a multi-million dollar construction. It's slated for a June opening.

ADDITION

Another addition to the eatery-landscape in the 'Second City' is a multi-faceted restaurant known as the 'Food Factory' which is to open before August along the Hip Strip. The Food Factory, which is owned by inbound merchant Denny Chandiram, will feature five quick-service restaurants under one roof. It's construction has a price tag of some US$250,000. In the meantime, Margaritaville and Groovy Grouper in Montego Bay which share the same management are confessing that they are benefiting from bumper business generated by the hospitality sector as well as from locals.

Pointing to 'tremendous growth' in clientele and sales in the restaurant business, Devon Dobson, general manager of Margaritaville says business for that entity has increased by over 70 per cent this year, in comparison to the corresponding period last year.

He is of the view that the variety package in terms of entertainment and cuisine that Margarittaville offers, as well as its extensive marketing overseas, at the ports of entry and on the cruise ships have stimulated the hike in its restaurant business.

The Brewery too, is raking in some dough, as a result of an aggressive marketing campaign on the local and international scenes, reports the entities operations manager Junior Taylor.

UPSURGE IN TRADE

But, while checks by Sunday Business revealed that the majority of eateries in the 'Second City' seem to be enjoying an upsurge in business, the picture is far from rosy for several other establishments. Some like the Native and Guangzhou Chinese Restaurant located on the Hip Strip are complaining of lethargic business, and consequently an inability to launch any major publicity campaigns.

Describing business as ranging between "fair and not good enough", production manager Elaine Stephenson complains that if her entity depended solely on the dining clients, they would not be able to stay afloat.

She believes that catering for weddings and special functions, and not the dining clients, has kept her business alive. Explaining that the Native is not getting as many tourists as it would like, Ms. Stephenson had high praise for the locals, many of whom are repeat customers.

Bo Mai, owner of Guangzhou contends that for the last two to three years , he has been fighting a losing battle when it comes to attracting the cruise ship passengers. Mr. Mai says his business has been declining in terms of earnings.

"We wouldn't be able to survive if it wasn't for the Jamaican clientele," conceded Mr. Mai while blaming the all-inclusive hotels for undermining the earnings of restaurateurs.

As bad as some eateries in Montego Bay seem to feel about the all-inclusive hotels, most of their Ocho Rios colleagues seem to be in a worst situation.

Eva Myers, proprietor of Evita's Italian Restaurant who has operated that establishment in Ocho Rios for the past 15 years, is among dozens of her counterparts who are complaining of lacklustre business in that town.

Ms. Myers says even though there is a dramatic increase in the number of cruise and stopover visitors to Ocho Rios, there is only 'negligible growth' in the restaurant trade.

THE LARGEST ALL-INCLUSIVES

"Ocho Rios has the largest concentration of all-inclusives in the Caribbean, so that means even though more visitors are coming, they are remaining on the hotel properties, and restaurants are barely getting any of the pie," charges Ms. Myers. "To make matters worse, there is no real night-life in Ocho Rios like the night clubs of Montego Bay, so that's another obstacle for guests where leaving the hotel property is concerned. As long as they stay on property, the restaurants will not benefit."

Pointing to the fact that even though business is a "little better than last year, it is not where it used to be and its certainly not showing an upswing", Ms. Myers is calling for hotels in the Ocho Rios area and its environs, to adopt a Dine-Around programme. This move she says would make for a more meaningful vacation experience for guests as well as stimulate business in the restaurant trade.

Another restaurant operator, Phillip Shum of The Ruins at the Falls, has vented similar sentiments.

"We have not been doing good business. Restaurants are an important link in the hotel trade and hotels need to understand our importance and not stifle our growth," declared Mr. Shum. "If 10 per cent of guests dine off property, all-inclusives can cut their costs for operations in the provision of meals by a corresponding 10 per cent," suggested Mr. Shum.

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