PROJECT

Projects

Environmental & Social Review Summary

Project Number

49052

Company Name

Pee Cee Holding Ltd.

Date ESRS Disclosed

Jul 31, 2024

Country

Sierra Leone

Region

Africa

Last Updated Date

Apr 10, 2025

Environmental Category

B - Limited

Status

Active

Previous Events

Approved : Sep 30, 2024
Signed : Mar 1, 2025
Invested : Apr 7, 2025

Sector

Fruits and Vegetables

Industry

Agribusiness and Forestry

Department

Regional Industry - MAS Africa

Project Description

The proposed IFC investment is a project finance loan of up to US$12 million to Pee Cee & Sons Holding LTD (PCS). The use of proceeds will support PCS's Pee Cee Agriculture (PCA” or the “Company”) for the establishment of an onion farming operation. At the time of the appraisal, the farm was operating on a labor-intensive mode but is aiming toward a fully irrigated and mechanized operation in the future. PCA signed a land lease agreement over 646 hectares (ha) in Lungi town in Port Loko District, in the Northern Province of Sierra Leone (the “Project”).

 

PCA has developed 71ha as part of a farm’s pilot phase. Additional 50ha will be developed on average each year, amounting to a total production area of 350 ha for the lifetime of the IFC loan. An ESIA study, as per national regulatory requirements, has been prepared for this farm in 2023; an updated ESIA study has been finalized in June 2024 to address specific IFC Performance Standards (PSs) requirements. Based on this PS-compliant ESIA study, the design of the farm operation has been amended to avoid initially identified E&S risks, namely the: i) physical displacement of the Rogbatha village from the farm’s footprint and establishment of a 300 meters buffer zone between the village and the farm; ii) exclusion of 80.6 ha of natural habitat and wetland from the farm’s footprint; iii) establishment of a 50 meters buffer zone between the farm and natural habitat/wetland, and iv) avoidance of Cultural Heritage impacts through the exclusion of sacred shrines from the farm’s footprint.

 

PCA is also sourcing onion produce from an out-grower scheme, through pre-harvest service agreements. In 2024, PCA signed service agreements with 41 cooperatives (approximatively 1,300 farmers in total, 80% of which are female). Each cooperative cultivates a plot of land ranging from 0.6 to 3ha. PCA aims to reach 5,000 farmers as part of the out-grower scheme.  

Overview of IFC's Scope of Review

IFC’s E&S review of the proposed investment included (i) meetings in January and March 2024 with PCA’s Chief Executive Officer (CEO), farm manager and supervisors, and PCS Human Resources (HR) manager; (ii) two field visits of the farm and the adjacent four villages; (iii) review of the existing E&S documentation, including the local regulatory ESIA study prepared in 2023 and supplementary PS-related impact assessments on  hydrology and hydrogeology, aquatic and terrestrial ecology, air quality and noise, climate change, socio-economic baseline; environmental, health and safety (EHS) and agronomic Standard Operating Procedures (SOPs); PCS’s HR policy; PCA’s E&S management capacity, including competency of the E&S manager and Community Liaison Officers (CLOs); (iv) review of the labor contracts;  land compensation framework; (v) visit of ancillary facilities,  e.g., worker’s locker room; water pumping station and the canteen; (vi) visit of three cooperatives involved in the out-grower scheme.

E & S Project Categorization and Applicable Standard

Environmental and Social Mitigation Measures

Stakeholder Engagement

Broad Community Support

Environmental & Social Action Plan

Client Documentation

File Name Actions
PCS Onion Farm Project_Final ESIA Update_July 2024_Combined Report (excl. Appendices and Maps).pdf
PCS Onion Farm Project_Local ESIA dv Report_2023.pdf