This is a Category B Project according to IFC’s 2012 Policy on Environmental and Social Sustainability due to limited and site-specific E&S risks and impacts associated with the expansion of production capacity and/or construction of warehouses at the four existing APIC’s subsidiaries. These can be avoided or mitigated by adhering to Good International Industry Practices (GIIPs). Key E&S risks and issues for this proposed investment are: (i) implementation effectiveness of APIC E&S management system, especially at the four subsidiaries, including E&S policies, risk assessment studies, management plans and Standard Operating Procedures (SOPs) during expansion/operational phase, organizational capacity/competency; (ii) fair treatment and safe working conditions for employees,  contractors and supply chain workers, including implementation of HR policies/procedures aligned with PS2 requirements; (iii) emergency preparedness and response; (iv) resource efficiency and GHG emissions, management of air emissions, noise, solid/hazardous waste, and effluent; (v) community safety, traffic and use of security forces; (vi) stakeholder engagement, including community grievance mechanism.  The scope of IFC appraisal took into consideration contextual risks that the project is facing, and which are associated mostly with Israel’s control of the Occupied Palestinian Territory. Considering the security situation in West Bank, none of the four subsidiaries financed under the IFC’s use of proceeds underwent a site appraisal.          

   PS1: Assessment and Management of Environmental and Social Risks and Impacts 

Environmental and Social (E&S) Policy. APIC and its subsidiaries (collectively, the APIC Group) adopted in 2023 an ESG Policy that outlines its commitment to meeting international environmental, social, governance (ESG) standards and principles (https://sustainability.apic.ps/governance/#policy). APIC will strengthen the scope of its E&S policy framework with the development/implementation of additional policies, such as Environmental, Health and Safety (EHS), Child and Forced Labor, Freedom of Association and Collective Bargaining, Overtime Compensation, Whistleblowing and Anti-Retaliation. These policies will describe how they apply to both the direct workforce and contracted workforce. In addition, the E&S performance reference of these updated E&S Policies will specifically commit to meeting IFC Performance Standards and applicable WBG EHS Guidelines (ESAP#1).

Identification of Risks and Impacts. The APIC Group has established two distinct processes for identifying E&S risks and impacts: (i) the ESG assessment tool for new external investments, which is a checklist prepared prior to considering investment in a new entity; and for internal investments (change management and expansion). This tool is currently under development and expected to be completed by the end of 2025. For this proposed project, APIC has evaluated ESG risks associated with its subsidiaries through a simplified E&S assessment process, which has indicated limited negative impacts on public health, safety, and the environment. These impacts are mainly due to the location of any new expansion or to the types of operations and associated EHS impacts. For new acquisition, APIC will utilize its existing ESG assessment tool alongside any relevant country-specific ESG requirements that may necessitate either a limited ESG audit or, in the case of new investments, a comprehensive E&S impact assessment (ESIA) process. The client will update its ESG Assessment tool to be aligned with the requirements of IFC PSs and provide the results of the E&S assessment of the proposed expansion at the four subsidiaries (ESAP#2).

E&S Management System. APIC started the development/implementation of a corporate E&S management system (ESMS). APIC will further strengthen and align its existing corporate ESMS with IFC PS1 requirements, including rolling out such ESMS to the four subsidiaries targeted by IFC use of proceeds. Specifically, APIC’s ESMS will include the (i) development and implementation of E&S policies aligned with the IFC PSs, above and beyond meeting country-level legal and regulatory requirements; (ii) E&S risk assessment and management procedures for environmental, occupational health safety (OHS), and labor/social risks and impacts, including EHS/HR SOPs; (iii) establishment of corporate/subsidiary EHS/HR function with adequate capacity and competency for effective ESMS implementation; (iv) a corporate/subsidiary annual training plan for implementation of E&S policies/procedures for employees and contracted workers; (v) corporate/subsidiary emergency preparedness and response plan and mitigation measures, as needed; (vi) corporate/subsidiary external communication procedures, including a community grievance mechanism; and (vii) corporate/subsidiary annual monitoring and reporting of EHS performance, including E&S Key Performance Indicators (KPIs). To effectively implement this E&S policy and associated ESMS, APIC will update its ESG policy and ESMS, extend them to the four subsidiaries, and define an Implementation Plan/Workplan for 2025-2028 at corporate level and at the four targeted subsidiaries (ref. ESAP#1).  Several of APIC Group subsidiaries have obtained certifications for quality, environmental, health, and safety, including ISO9001, ISO14001, ISO45001, GDP (Good Distribution Practices) (e.g. NAPCO, MSS).

E&S Management Programs. The APIC Group's ESG workplan aims to achieve policy goals and programs across all subsidiaries and monitor their progress. Current programs include, among others, the reduction of carbon footprint, including GHG emissions, optimization of resource efficiency, assurance of water resource sustainability assessment and availability, and reduction of ecosystem impacts. APIC supports its subsidiaries with E&S Guidelines for the development of their EHS SOPs, depending on the risks and impacts at subsidiaries level, such as OHS, marketing, labeling, packaging and products selection, procurement, waste management and air quality. APIC will update its ESG workplan for the four targeted subsidiaries by the end of 2025 as per its updated E&S policy framework aligned with IFC Performance Standards (ref. ESAP#1) and the completion of the ESG risk assessment (ESAP#2). As part of the ESG Workplan update, APIC will establish (ESAP#8 below) a Contractor EHS Management Plan (CMP) specifically related to the proposed expansion, in accordance with GIIP (e.g. WBG EHS Guidelines).    

Organizational Capacity and Competency. APIC established a (i) Sustainable Development and Social Responsibility Committee at the Board level and (ii) a corporate Sustainable Development and Social Responsibility Unit. In addition, each subsidiary has an E&S team responsible for implementing the corporate E&S policy, management program, EHS procedures, coordinating implementation and reporting on E&S performance. As the four targeted subsidiaries by the IFC investment do not have yet a dedicated environmental officer with EHS management responsibilities, APIC will appoint 1 full time EHS officer at the Group level and two full-time EHS officers respectively assigned to NAPCO/Qudra and Reema/MSS supported by E&S consultants, to implement a PS-compliant ESMS (ESAP#3). These three EHS officers will report on each subsidiary’s E&S performance to the APIC Group Sustainable Development and Social Responsibility Unit. Given the contextual challenges, including high fragility and socio-economic vulnerabilities in the West Bank and Gaza, APIC will also appoint a consultant (ESAP#4) to conduct a comprehensive assessment of Gender-Based Violence and Harassment (GBVH) and other vulnerabilities. This assessment will encompass occupational health and safety (OHS), labor and working conditions. The consultant will propose measures to enhance the safety and well-being of the identified vulnerable groups among the direct workforce and contracted workforce.

Emergency Preparedness and Response. APIC subsidiaries have emergency preparedness and response plans. APIC offers comprehensive training programs on emergency response, such as life and fire safety, the use of personal protective equipment (PPE), and workplace hazard awareness. As an example, NAPCO's Emergency Preparedness and Response Plan (EPRP) follows the American Occupational Safety and Health Administration (OSHA) standards and civil defense regulations, covering evacuation, fire extinguishing, first aid, and chemical spill response. NAPCO provides water hoses, fire extinguishers, first aid kits, and personal protective equipment (PPE). Internal training led by the Safety Supervisor prepares all employees for emergencies, while external sessions by the European Arab Training Institute cover warehouse safety. MSS has an Evacuation Team Plan for secure evacuations. APIC Group will update its ERPRs to meet Good International Industry Practice (GIIP), IFC Performance Standards, WBG EHS Guidelines, and national standards. (ESAP#5).

E&S Monitoring and Review. APIC monitors all its subsidiaries through its ESG workplan to ensure effective E&S management practices and compliance with legal and regulatory requirements. Key performance indicators (KPIs) include resource efficiency, pollution control, OHS statistics, and gender equality. The Sustainable Development and Social Responsibility Unit provides quarterly updates to the Board's Sustainable Development and Social Responsibility Committee. Internal audits and inspections are conducted regularly. Monitoring results are compared with good industry benchmarks and with the requirements in the management program, and corrective actions are recorded and implemented, and the management program and plans are updated accordingly.

Supply Chain Management. The APIC Group’s Procurement Policy incorporates ESG principles into its procurement process. This approach ensures that purchasing decisions meet business needs while also contributing to sustainability and ethical practices. The purchasing plans include several actions to develop ESG-compliant procedures: (i) implementing risk assessment tools to identify and mitigate ESG risks in the supply chain, such as child labor practices, (ii) prioritizing eco-friendly and sustainable products by including criteria in procurement documents and evaluations, (iii) defining criteria related to resource efficiency and carbon footprint, including setting minimum efficiency standards and maximum carbon production limits, (iv) raising awareness among suppliers and encouraging innovation in sustainable procurement practices, (v) setting reasonable water consumption targets, requiring justification for exceeding those amounts, and finding solutions to reduce occurrences, (vi) prioritizing women-owned or led businesses, (vii) establishing ethical standards, anti-corruption measures, and compliance requirements by embedding references to APIC’s ESG Compliance Agreement in all Purchase Order and Agreement documents, (viii) communicating ESG expectations and objectives to suppliers, and (ix) providing training and resources to help suppliers improve their ESG performance.

APIC will develop and implement a Supplier Code of Conduct aligned with PS2/PS6 supply chain requirement; each of four APIC subsidiaries will map its main raw materials suppliers (mainly applicable to Qudra and Reema) and screen the PS2/PS6 risks of these suppliers through desk review.  In case of high PS2/PS6 risks, APIC and the four subsidiaries will include strict legal binding provisions in the purchase agreement requesting third-party suppliers to enforce their own Supplier Code (aligned with PS2/PS6 requirements). Annual audits of high risk PS2/PS6 suppliers will confirm effective implementation of these supplier’s Supplier Code (ESAP #6).

PS 2: Labor and Working Conditions

The number of employees working in four targeted subsidiaries that are part of the project and at the APIC management level is estimated at 550, out of which, in average across the Group, 28% are women. Most staff work in operational roles, while a small portion are in administrative roles. The APIC Group directly owns eight subsidiaries across the Levant, Gulf Cooperation Council (GCC) countries, Türkiye and USA employing more than 3,200 employees. APIC Group have HR Policies and Codes of Conduct in place that meet or exceed local labor requirements, for direct and contracted workers, addressing non-discrimination and equal opportunity, GBVH, CPS, child and forced labor, retrenchment, and grievance mechanisms.

Human Resources (HR) Policies and Procedures. The client will revise and implement its HR Policy and procedures appropriate to its size and workforce and consistent with the requirements of PS2 requirements and national labor laws. The client will provide workers with documented information that is clear and understandable, regarding their rights under national labor and employment laws and any applicable collective agreements, including their rights related to hours of work, wages, overtime, compensation, and benefits upon beginning the working relationship and when any material changes occur (ESAP#7).

Working Conditions and Management of Worker Relationship. The APIC Group is committed to upholding international human rights standards by promoting diversity, fair labor practices, and women's empowerment in the workplace. Employee welfare is prioritized through safe working conditions, competitive benefits, and support for work-life balance. APIC Group is committed to employee welfare by ensuring safe and healthy working conditions and environments, offering competitive compensation, incentives, and benefits, encouraging professional development, volunteer opportunities, and community engagement, providing clear guidelines and codes of conduct for employees and recruitment processes, and supporting platforms for employee engagement and participation in decision-making. Additionally, APIC offers support for work-life balance, medical coverage, and mental health support.

Workers Organizations. While not unionized, APIC does not discourage collective bargaining and has not experienced any downsizing in the last five years.

Non-discrimination and Equal Opportunity. As mentioned above, APIC will revise its HR policy and procedures for direct and contracted workers in line with IFC PS2 requirements to strengthen non-discrimination and equal opportunity, GBVH, CPS, child and forced labor, retrenchment, and grievance mechanisms, as well as include reference to freedom of association and collective bargaining in accordance with local laws and IFC PS2 requirements in the Code of Conduct (ref. ESAP#1 and ESAP#7). HR policy and procedures will be adequately reflected in their employee handbooks, employee contracts, and induction training, with relevant measures to supervise the implementation and compliance. APIC will also ensure that its Code of Conduct that is currently under revision, and protocol, meets IFC Performance Standards, WBG EHS Guidelines, and local labor laws and OHS standards, when addressing GBVH and CPS for all workers, including disciplinary measures and gender specific OHS risks and safe working conditions free of sexual exploitation and harassment.

Grievance Mechanism. The Company has a Whistleblowing Platform (http://www.apic.ps/en/compliance) for grievance submissions, ensuring thorough investigations and corrective actions. The Platform, which can be accessed via the QR code and on APIC’s website, enables employees to directly access the highest levels of the Company in case there are any issues. It provides an environment where employees can report concerns without fear of reprisal, all claims are investigated in a timely manner and have the option to remain anonymous. APIC's Whistleblowing Policy and Protection from Harassment, Violence and Abuse Policy establish procedures for reporting and addressing discrimination, harassment, sexual harassment, violence, abuse, and retaliation, with investigations led by the Harassment Investigation Committee through confidential channels and defined steps. These procedures will be further strengthened by providing support to victims through trained personnel and identifying referral pathways accessible to all employees, and third-party workers. A training platform is being developed to provide to all workers with the training on HR policies, Code of Conduct, and grievance mechanism during their initial induction and annually thereafter (ref. ESAP#7).

Protecting the Workforce.  APIC Group and its subsidiary adhere to national laws of countries of operations, which prohibit child labor and forced labor. The minimum employment age is 15, and individuals under 18 are not allowed to engage in heavy manual labor or work in harmful or dangerous conditions. All prospective employees must provide proof of age when concluding an employment agreement. APIC’s Recruitment Policy revised in 2024, explicitly emphasizes their zero-tolerance policy on child and forced labor. 

Occupational Health and Safety (OHS). APIC Group has made significant advancements in 2024 by updating its Health & Safety Policy. The policy aims to enhance risk prevention, employee well-being, and continuous improvement in safety measures. Data collected and shared in APIC Group’s 2024 Sustainability Report, along with available documentation shared during this appraisal, includes workplace incidents and injuries, total number of workplace injuries per year, types of injuries, severity levels, lost time injury frequency rate (LTIFR), occupational health and safety training for employees, hours of training provided per employee, certifications obtained, risk assessment and prevention measures, total number of safety audits conducted per year, percentage of risk assessments completed in each subsidiary, preventive actions taken to reduce hazards, and emergency preparedness and response. In 2024, APIC deployed 24 advanced air quality monitoring devices across all locations. These state-of-the-art devices provide real-time readings of key air quality indicators, ensuring a healthier work environment for employees and visitors. Each subsidiary has tailored OHS programs and SOPs according to the nature and workplace risk assessment of its operations. Notably, none of the subsidiaries have experienced fatalities in the past three years, with recorded injuries showing a downward trend. Additionally, APIC monitors any incidents involving third-party workers to ensure compliance with national legislation. APIC Group extends its commitment to OHS to consultants and contractors at its locations, promoting a collective responsibility for health and safety (ref ESAP#1).

Contractor Workers. The number of contractors varies depending on the number of projects and activities across the Group. Contractor contracts typically require compliance with the APIC’s ESG Compliance Agreement (https://sustainability.apic.ps/compliance-with-environmental-social-governance-agreement/), which includes  suppliers, distributors and CSR partners. This is done by including the link/QR code to the agreement in all our contractual documents, and APIC’s EHS/HR practices. All third-party workers involved in APIC subsidiaries projects, including those on construction sites, must adhere to labor and occupational OHS standards, under the supervision of the relevant OHS team. APIC will also establish and implement a Contractor EHS Management Plan (CMP) specifically related to the works on construction and proposed expansion, along GIIP requirements, such as the WBG EHS Guidelines that will include water and waste management plan, traffic safety plans, OHS and construction safety management plan, along with supporting procedures and instructions (ESAP#8). This will include contractor labor management monitoring activities and a contractor training plan to ensure effective implementation by contractors. APIC will integrate EHS performance considerations into the contractor selection process and will develop/enforce E&S provisions in bidding documents and contractual agreements with all contractors

Supply Chain Management. As mentioned above in PS1 Supply Chain section, APIC will develop a Supplier Code of Conduct aligned with PS2 supply chain requirement that will allow each of four APIC subsidiaries to map its main raw materials suppliers (mainly applicable to Qudra and Reema) and screen the PS2 related risks (child labor, forced labor and OHS) of these suppliers through desk review. In case of high PS2 risks, APIC and the four subsidiaries will include strict legal binding provisions in the purchase agreement requesting third-party suppliers to enforce their own Supplier Code (aligned with PS2). Annual audits of high risk PS2 suppliers will confirm effective implementation of these supplier’s Supplier Code (ESAP #6).

PS3: Resource Efficiency and Pollution Prevention

Resource Efficiency. APIC Group has maintained a longstanding commitment to energy-related initiatives, with a particular emphasis on solar energy. The energy efficiency initiatives included transitioning to light emitting diode (LED) systems in its facilities, implementing advanced sensor technology in its refrigeration units to optimize energy usage, equipping facilities with advanced Building Management Systems (BMS) that monitor and control various building systems, including Heating, Ventilation, and Air Conditioning (HVAC), lighting, and energy consumption, investments in energy efficient machinery and equipment across its manufacturing and production facilities. The equivalent of 44% of electricity consumption is from renewable energy generating system (solar) produced by the APIC Group. Advanced water recycling technologies to minimize water wastage and maximize reuse opportunities is another initiative that APIC has invested in. In 2024, Siniora Food Industries reduced water consumption by 21% as compared to previous year. Waste reduction through a selection of efficient processes and resource utilization management approach is another initiative being implemented in APIC Group. By optimizing production methods and adopting innovative technologies, APIC endeavors to minimize waste generation at the source, thus reducing its environmental footprint. The client will develop the resource efficiency plan for the four subsidiaries that are part of the project (ESAP#11).

Greenhouse gas (GHG) emissions. Natural gas and electricity from the grid are the primary emission sources of the eight APIC subsidiaries; diesel is used as a back-up option for electricity generation and for delivery trucks and forklifts. For 2024, the Scope 1 emissions calculated for the entire APIC Group equaled 11,700 tCO2e, and approximately 1,400 tCO2e for the subsidiaries that are part of the project. The client will calculate the GHG emissions (Scope 1 and 2) for the four subsidiaries targeted by this investment (ESAP #10)

Air Emissions. Several corporate-level guidelines were developed, as part of the 2023 APIC ESG Policy, including Air Quality Management. NAPCO regulates and measures pollutants in its production processes. For example, the filtration unit for emissions in the casting furnace is equipped with a device for measuring particulate matter, allowing for real-time measurements and the electronic recording of this data. In addition, the Company conducts internal laboratory inspections using a portable device that measures a range of air polluting elements. This device is complemented by two additional units connected to an electronic system (web connected online data) that measure various parameters: one is in the administrative buildings, and the other is situated on the production lines. NAPCO, as part of the APIC Group ESG Work Plan, will complete a series of projects and activities aimed at improving the Company's carbon footprint, as well as other community-related objectives. Other subsidiaries have no significant air emission sources associated with their operations.

Noise Pollution. Some of APIC subsidiaries e.g. NAPCO have a workplace monitoring program including measures to protect workforce from excessive noise pollution. As per the ESG workplan (ref. ESAP#2 and ESAP#9) APIC will identify additional measures in the targeted subsidiaries to protect workers from exposure to excessive noise pollution in their working environments, as required.

Water supply. Water for the APIC Group’s subsidiaries is supplied from the municipality networks. Each APIC’s subsidiary monitors water consumption and has programs in place to reduce water consumption (ref. ESAP#9). Each subsidiary will develop and implement its resource efficiency management plan, which will be updated on annual basis.  

Wastewater. Domestic and wastewater generated at the APIC subsidiaries is discharged to the municipality sewerage systems after being screened in the sand traps. There are rainwater collection systems in place at each subsidiary. NAPCO facility owns and operates a specialized industrial wastewater treatment unit, equipped with the latest technological methods. This unit enables the recycling of industrial water and the production of irrigation-grade water that meets international standards and local specifications. As part of the treatment process, after treating acidic and alkaline liquids, industrial solid waste (sludge) is produced, which is classified as hazardous based on its components. It is then collected in large bags designated for this purpose and transported for disposal at a licensed landfill in the Negev area, in accordance with the Basel Convention guidelines. Reema does not generate industrial wastewater that requires effluent treatment, as operations do not produce significant liquid waste requiring discharge.

Hazardous materials management. APIC Group and its subsidiaries will, as part of the ESG Work Plan for each subsidiary, develop individual hazardous management plans and material safety data sheet (MSDS) for various products and substances (ref. ESAP#9)

Hazardous and Non-Hazardous Wastes. APIC has implemented comprehensive waste management strategies aimed at minimizing waste generation, promoting recycling, and ensuring proper disposal of residual waste. One key aspect of APIC Group’s waste management approach is waste reduction through efficient processes and resource utilization. In addition to waste reduction, APIC Group places a strong emphasis on recycling and reuse initiatives. Total waste diverted from disposal through partnering with companies that reuse or recycle waste in 2024 is 598 tons i.e. 18% out of total nonhazardous waste produced by APIC Group’s subsidiaries. Each subsidiary has its own waste management system developed to fit the needs of types of operations.

At NAPCO, non-industrial household waste is collected in secondary containers and then transferred to a central container with a capacity of 22 cubic meters. This waste is then transported to the licensed landfill at Zahret Al-Fenjan operated by the municipality utility. The total volume of general solid waste in 2024 was 125 tons. Hazardous waste, such as fine powder from the coating process or solid waste from the treatment unit (sludge), is collected using appropriate means and transported for disposal at a licensed landfill in the Negev area, in accordance with the Basel Convention guidelines. The fine powder is collected in sealed barrels, while the solid material from the treatment unit is gathered in large bags. Both types of waste have designated temporary storage areas within the Company. Total volume of hazardous waste in 2024 was 111.9 tons. MSS has produced 12 tons of nonhazardous waste, while Reema generates mainly waste paper / paper tissues residuals which are collected in designated bags and containers and transported by the municipality to authorized sites. APIC will update/expand its waste (hazardous and nonhazardous) management plan (WMP) to the four subsidiaries, as applicable, to be compliant with GIIP, IFC Performance Standards, World Bank Group (WBG) EHS Guidelines, and national standards. (ref. ESAP#9)

PS 4: Community Health and Safety

Road Safety. NAPCO has a road safety program in place to ensure the safety of its employees, contractors, and other road users. The program is designed to promote safe driving practices and minimize the risk of accidents related to NAPCO operations. At Qudra, several steps are taken before a project is developed so to ensure the community is consulted and adequate approvals obtained and assessment completed, e.g. approvals from the local council elected by the local community and relevant ministries, assessment of accessibility to a site that is to be developed and considerations for construction impacts including from delivering construction equipment while avoiding negative impacts on nearby communities, assessment of electricity and water needs for the project and how this may affect the communities, assessment of lands ownership  status within the community, etc. Qudra Energy currently has ~8 MW in the pipeline to further expand its captive solar solutions to corporates in the West Bank and is using the process described above to address any concerns from affected communities. MSS is developing its new warehouses on an already acquired land located in an industrial zone thus no communities are negatively affected, additionally, MSS invested in the improvement of the surrounding area in partnership with the municipality.

Security. APIC has well established procedures and measures to protect security and privacy of customer data, which is ensured through regular security audits and assessments. In case of any data breach, APIC Group has a robust incident response plan in place. Employee training and awareness are conducted in APIC Group periodically to educate staff about the best security practices and the importance of safeguarding customer data. In terms of physical security, APIC Group hires unarmed security guards from a third-party company. Facilities typically have security cameras and alarm systems based on location. NAPCO ensures the proposed security services provider meets safety standards for property and personnel, offering 24/7 CCTV surveillance, access control systems, enhanced lighting, security patrols, and emergency response plans with fire safety equipment. At Qudra, security services are vetted during procurement to better integrate within the community. All plants use CCTV, motion sensors, and fire protection devices. APIC will further assess risks posed by its security arrangements to those within and outside the project site and will develop the Security management plan (SMP) for all its four subsidiaries. In making such arrangements, the client will be guided by the principles of proportionality and good international practice, including practice consistent with the United Nation’s (UN) Code of Conduct for Law Enforcement Officials, and UN Basic Principles on the Use of Force and Firearms by Law Enforcement Officials (ESAP#13). The ESG workplan, which is being developed by APIC, will include comprehensive Community Health and Safety Management plans (ESAP #12), specifically for each of the four subsidiaries that are part of the project. Such plans will include aspects such as traffic, infrastructure and equipment safety, exposure to noise, emergency preparedness and response, hazardous materials management and safety, community exposure to disease, security and safety risks that the communities may be exposed to, etc.

PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources

Reema’s ongoing manufacturing operations use forestry products, where there may be risk of deforestation/natural habitat conversion in areas of production. APIC will develop and implement a Supplier Code of Conduct aligned with PS6 supply chain requirement. Each of four APIC subsidiaries will map its main raw materials suppliers (mainly applicable to Qudra and Reema) and screen the PS6 risks of these suppliers through desk review.  In case of high PS6 risks, APIC and the four subsidiaries will include strict legal binding provisions in the purchase agreement requesting third-party suppliers to enforce their own Supplier Code (aligned with PS6 requirements). Annual audits of high risk PS6 suppliers will confirm effective implementation of these supplier’s Supplier Code. (ref. ESAP#6).   

  APIC Group has established a stakeholder engagement procedure to facilitate interactions with stakeholders and outlines consultation and disclosure arrangements for projects. APIC's online grievance platform incorporates a documented grievance procedure integrated into the Company's management system. Procedures on community engagement and community grievance mechanism varies across the subsidiaries given the specifics and location of their operations and have not been formulated as separate plans or procedures that should help APIC, and its subsidiaries manage potential community related risks. APIC will upgrade its current stakeholders’ engagement procedures into a comprehensive formal stakeholder engagement Plan (SEP) (ESAP#14). The ESG workplan will include communication strategies for the four subsidiaries to address project-related issues that may impact communities and other stakeholders. These plans will utilize existing experiences from some of the APIC subsidiaries.    

 Contact Person: Tarek Aggad, Chairman & CEO

Company Name: APIC - Arab Palestinian Investment Company 

Address: Ramallah, Palestine Automobile Company building, 3rd floor

POBox 2190, Ramallah, Palestine

Email:  apic@apic.com.jo 

Phone: +970 2 297 7040

Fax +970 2 297 7044