PROJECT

Projects

Environmental & Social Review Summary

Project Number

8937

Company Name

Agropecuaria Sanfandila, S.A. de C.V.

Date ESRS Disclosed

Feb 5, 2010

Country

Mexico

Region

Latin America and the Caribbean

Last Updated Date

Dec 31, 2016

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Jun 24, 1998
Signed : Oct 14, 1998
Invested : Jan 7, 1999

Sector

Poultry Farming

Industry

other

Department

Gbl Ind, Manufact, Agribus & Services

Project Description

- 3 - March 17, 1998
International Finance Corporation
A Member of the World Bank Group
International Finance Corporation
A Member of the World Bank Group
Environmental Review Summary (ERS)

Project Name MEXICO - Sanfandila

Region Latin America & Caribbean

Sector Food & Agribusiness

Project No. 008937



1. This project involves the expansion of a diversified Mexican agribusiness concern, engaged in the production of table eggs, broilers, and hogs. The project will include the expansion of the stage specialized pig farms to handle 9,000 sows and their litter, upgrading the poultry layers farms to a total capacity of 2,640,000 birds in two sites, construction of additional broiler farms to produce 6,240,000 broiler chickens a year, a feedmill which will allow the production of 20,000 tons/month of feedstock, the building of six farms for heavy breeders in order to house a total amount of 48,000 hens in production and 24,000 for raising and development phases, construction of a hatchery with 10 incubators, construction of a pig slaughterhouse to slaughter up to 4,000 pigs per week, and a cooling room to refrigerate 140 tons and freeze 300 tons of meat. The project also includes the construction of a rendering facility to process byproducts from the slaughterhouse, and a biological wastewater treatment plant.

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 the project consisted of appraising technical and environmental information submitted by the project sponsor, and the technical appraisal and site review completed by IFC’s Technical and Environment staff. The following potential environmental, health and safety impacts of the project were analyzed:

· site selection;
· air emissions and wastewater effluent from each of the facilities;
· solid waste handling and management;
· storage and handling of hazardous materials, including fuels and pesticides;
· use of CFCs in cooling equipment;
· fire protection and emergency response; and
· general worker health and safety.

The information provided by Sanfandila about how each of these potential impacts will be addressed in the development of the proposed project is summarized in the paragraphs that follow.

3. The project will include the upgrading of the poultry layers farms, construction of stage-specialized pig farms, construction of a hatchery and upgrading of broiler farms, construction of a feedmill, and construction of a pig slaughterhouse. The expansion will be undertaken in the existing land owned by the company. The site is in an isolated area and no people will be exposed to nuisance from smoke or odor.

4. A conventional diesel-fueled incinerator is operating at present to deal with the mortality wastes of the various existing poultry farms. Sanfandila will phase out these incinerators when the new catalytic-cell equipment is in place. The company is committed to control the emissions of the proposed slaughterhouse incinerator and of the boilers of the proposed rendering house in compliance with national regulations and World Bank guidelines. All the installations are managed to a high sanitary standard which minimize odor problems.

5. Wastewater from the various areas is treated and then used in the irrigation of the company’s own fields which involve no public use and have restricted access to the general public. Wastewater from the poultry farms is treated in septic tanks, effluent from the pig farms are screened to separate solids prior to reuse in agriculture. Sanfandila’s proposed treatment plant for the wastewater produced in the hatchery and the pig slaughterhouse will include primary and secondary treatment which will render the treated effluent appropriate for irrigation.

6. The company reuses most of the organic solid waste from the farms in the improvement of agricultural land. Subproducts of the slaughterhouse will be rendered for animal feed or used for land improvement as appropriate. The non-reusable organic waste will be incinerated as explained above.

7. Hazardous materials such as fuel, disinfectants, pesticides and vaccines are safely stored and handled. Disinfectants, pesticides and biomedical materials are only used by trained staff and according to the manufacturers’ recommendations. Staff use all the necessary protection clothing and equipment to prevent contamination and health hazards.

8. The pig slaughterhouse and chicken incubators will require cooling equipment. Sanfandila has committed to avoid the use of ozone-depleting substances in all its cooling equipment.

9. Sanfandila has adequate fire protection and emergency response procedures. It has fire extinguishers in all the installations, and employees have regular training in the safe use of the equipment and actions to take in case of emergency.

10. Worker health and safety is addressed appropriately at the various installations and when using disinfectants, pesticides, vaccines and other biological materials. Employees receive regular training on health and safety and animal sanitation.

11. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Sanfandila’s proposed project will meet World Bank environmental, health and safety policies and guidelines and the requirements of the Government of Mexico.

12. IFC will monitor ongoing compliance with World Bank environmental, health and safety policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by Sanfandila and by conducting periodic supervision.


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Environmental and Social Mitigation Measures

Broad Community Support