PROJECT

Projects

Environmental & Social Review Summary

Project Number

7919

Company Name

EL ZAY READY WEAR MANUFCATURING COMPANY

Date ESRS Disclosed

Feb 5, 2010

Country

Jordan

Region

Middle East

Last Updated Date

Dec 31, 2016

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Jun 10, 1997
Signed : Jan 12, 1998
Invested : Mar 20, 1998

Sector

Garment and Apparel (Without Fabric , Excluding Footwear)

Industry

Manufacturing

Department

Regional Industry MAS MCT

Project Description

Environmental Review Summary (ERS)


Project Name JORDAN: El-Zay Suits Manufactures

Region Camena

Sector Garment Manufacturing

Project No. 007919 March 24, 1997


1. This project consist of (i) an expansion program to diversify El-Zay’s product line by manufacturing uniforms; and (ii) a financial restructuring designed to strengthen El-Zay’s balance sheet by replacing most of its short and medium term debt with long term debt. El-Zay is a modern and profitable company which manufactures high quality men’s suits. Total project cost is estimated at US$11 million; IFC has been approached to provide an “A” loan of US$5.0 million.

2. This is a category B project according to IFC’s environmental review procedure because specific impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. The review of this project consisted of the appraisal of technical and environmental information submitted by the project sponsor and completed by IFC’s Environment Department staff. The key environmental, health and safety issues considered in this project include:

· sanitary discharge treatment and disposal; and
· solid waste management;
· general occupational health and safety procedures including
training; and
· fire prevention and emergency evacuation.

The sponsor has presented plans to address these issues and demonstrate that the proposed project will comply with applicable governmental and World Bank requirements. The information provided about how these potential impacts are addressed in the development of the project is summarized in the paragraphs that follow.

3. El-Zay’s sanitary effluent is discharged into the national sanitary disposal sewers for treatment. The solid waste generated at the company are pieces of fabric classified as defects or remnants, the percentage of which is about 2.5%, this waste is sold to be shredded for use in other industries.

4. The company has an extensive occupational health and safety training programs for its employees, which includes orientation training for new employees, training for operators in the sewing lines at a vocational center for four months and an additional three months at the factory, and internal and external training courses in different issues according to the needs of its employees. El-Zay’s provide its employees with protective equipment that includes safety gloves, safety glasses and ear protection for use in the boiler room. The company has a clinic with a full time nurse and a part-time doctor, first aid supplies are available in each sewing line.

5. The outer walls of the building are thermally insulated, and the machines are grounded, insulated and periodically inspected. The factory aisle are well defined, which guarantees safe material handling. The company has two air units that have two main functions; one is used for air conditioning and the other one for ventilation. Drinking water is supplied by filtered coolers and by using mineral water.

6. A qualified general safety supervisor is at the factory at all times to verify the use of safety equipment, working environment in terms of air conditioning and ventilation, and hygiene in the cafeteria.

7. The company training programs for fire prevention includes training courses implemented twice a year on fire prevention, emergency evacuation and first-aid. The warehouse area as well as the boiler room, computer room, archives, and the main electricity room will have smoke detectors that will be connected to the security office. A total of 26 water cabinets with fire hoses, and 71 fire extinguishers will be distributed throughout the factory. The emergency evacuation at the factory consist of emergency doors properly marked, and exit signs in the event of electicity shut-off.

8. IFC will ensure ongoing compliance with World Bank environmental, health and safety policies and guidelines during the life of the project by evaluating monitoring reports submitted annually to IFC by El-Zay and by conducting periodic supervisions.

8. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that the proposed project is being designed to meet Government of Jordan requirements, and World Bank policies, and environmental, health and safety guidelines.







L:\WPEU\ROSA\JORDAN\ELZAY.ERS
March 24, 1997 10:39 AM

Environmental and Social Mitigation Measures

Broad Community Support