PROJECT

Projects

Environmental & Social Review Summary

Project Number

9291

Company Name

Foxtrot Meat Processors CC

Date ESRS Disclosed

Feb 5, 2010

Country

South Africa

Region

Africa

Last Updated Date

Dec 31, 2016

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Apr 29, 1999
Signed : May 5, 1999
Invested : Jul 16, 1999

Sector

Animal Slaughtering and Processing

Industry

Agribusiness and Forestry

Department

Regional Industry - MAS Africa

Project Description




ENVIRONMENTAL REVIEW SUMMARY


Project Name AEF/SOUTH AFRICA: FOXTROT MEAT PROCESSORS
(PTY.) LTD.

Region Sub-Saharan Africa

Sector Food and Agribusiness

Project No. 009291
______________________________________________________________________________

1. This project, which is to be financed through the Africa Enterprise Fund (AEF), involves the expansion of an existing beef abattoir and butchery business. The project is located in Moloto, a small town 50 km northeast of Pretoria in Gauteng province. Foxtrot, which was established in 1993, slaughters and sells beef to butcheries in Pretoria, Johannesburg, and the surrounding KwaNdebele and Moloto townships, which have a total population of about, 3 million. The present facilities are constraining the company’s growth, as demand for the company’s products far exceeds supply; hence, the decision to expand and upgrade. The expansion involves construction of a meat processing plant and bigger butchery outlet adjacent to the existing abattoir, and construction of feedlot facilities to provide a constant supply of cattle.

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 key environmental health and safety issues that were analyzed are as follows:

• effluent from slaughterhouse operations;
• solid wastes from slaughterhouse operations;
• source of water and power supply including fuel storage if applicable;
• CFC-free cold storage;
• plant hygiene and housekeeping;
• workplace safety, air quality and noise;
• provision of employee personal protective equipment and training; and
• fire prevention and response.

3. IFC has reviewed environmental, health and safety information supplied by the project sponsor, project appraisal report, and the Government of South Africa’s handbook for abattoir operators, which incorporates sections of the Abattoir Hygiene Act. Key elements of this information are described below.

4. Effluent from slaughterhouse operations: For hygienic reasons abattoirs use large amounts of water and consequently produce significant quantities of effluent that must be treated and discharged. Foxtrot’s facility is located in a rural area where no municipal sewerage system is available. In accordance with IFC guidelines, therefore, all wastewater will have to be treated to an acceptable level before being discharged to irrigation ponds. As part of the design of the expanded processing facility, Foxtrot has contracted with both an engineering firm and specialist consultants, Wetland Solutions, to design the effluent treatment system. These firms are working with the Centre for Scientific and Industrial Research (CSIR), South Africa, a premier research
organization, to ensure that the treatment system meets South African and international water quality discharge standards. All wastewater will drain through screens, to remove any residual solids, to one of two anaerobic ponds. The anaerobic ponds will be operated in an upflow mode so as to maximize the contact between incoming wastes and the active biomass in the reactors.
From there, wastewater will flow to a facultative pond and then through a trickling filter system. The trickling filters are aerobic fixed film reactors to facilitate the oxidation of residual organic material and the nitrification of ammonia nitrogen to nitrates. Biomass that washes out of the filters will be returned to the anaerobic ponds for digestion. The supernatant will be pumped to a final aeration/irrigation pond, comparable to a slow sand filter. Sludge will be withdrawn from the anaerobic ponds approximately every six months and disposed of to drying beds, in accordance with South African guidelines for safe disposal of sludge. CSIR specialists involved in the design of the system have reviewed IFC’s pollution standards for discharge to surface waters and confirmed that the proposed system will be capable of meeting IFC limits. CSIR has indicated that ultraviolet treatment or some other form of disinfection will be added, if necessary, to ensure that acceptable bacterial limits are achieved. Treated water in the aeration ponds will be routinely tested by South Africa’s Department of Water Affairs (DWAF), which has pollution standards comparable to IFC’s. The final design of the effluent treatment system must be submitted to and approved by DWAF prior to construction.

5. Solid wastes from slaughterhouse operations: Foxtrot has indicated that there is a market in the region for parts of the carcass that would otherwise be thrown away. As a result, there is a lower volume of slaughterhouse wastes than would be typical for an abattoir of this size. For hygienic reasons, these will be incinerated on site in a unit specially designed for abattoir wastes. The incinerator will be equipped with two diesel burners. Particulates and other emissions from the initial burning will be combusted in the second chamber. According to the manufacturer, units of this type have no visual emissions, provided they are operated and maintained properly. Foxtrot will have a service agreement with the incinerator supplier to ensure that it is properly maintained and functioning as designed. Animal wastes from the feedlots will be bagged and made available as fertilizer.

6. Source of water and power supply including fuel storage if applicable: Water for both processing and domestic purposes is drawn from four boreholes on the property and treated with chlorine to ensure it meets South African drinking water standards. In accordance with the requirements of the South African Meat Industry Company (SAMIC, formerly the parastatal South Africa Meat Board, which was privatized in 1998), the water must be tested regularly both for bacterial content and to ensure that it meets relevant South African standards for potability. Test results of Foxtrot’s water provided by SAMIC indicate that it meets all relevant standards for use in a meat processing facility. Power is sourced from the national provider, Eskom. The abattoir will have a stand-by generator for use in the event of power supply interruptions. Fuel for the generator and incinerator will be stored on site in storage tanks installed, serviced and maintained by Total SA. These facilities will be equipped with secondary containment structures capable of holding the entire contents of the tanks in the event of a spill or breach.

7. CFC-free cold storage: The project sponsors have confirmed that all existing cold storage and air conditioning equipment utilize non-chlorofluorocarbon (CFC) refrigerants acceptable under the terms of the 1987 Montreal Protocol on Substances that Deplete the Ozone Layer. New cold storage equipment installed as part of the expansion also will be CFC-free.

8. Plant hygiene and housekeeping: The plans for the new abattoir and meat handling facilities are being designed with professional engineers, in consultation with SAMIC. SAMIC must review and approve the design prior to Foxtrot being allowed to initiate construction. In addition, SAMIC will have to inspect the facility upon completion, prior to start-up. Foxtrot’s existing facility is inspected regularly by SAMIC to ensure that hygiene and housekeeping meets South Africa’s abattoir hygiene standards; according to SAMIC, Foxtrot has an excellent compliance record. Hygienic facilities and equipment (hot water and steam sterilizers, employee hand washing stations in the plant and ablution/changing room facilities) will be increased as part of the expansion to ensure the maintenance of good hygiene practices given the additional throughput. SAMIC inspectors check Foxtrot’s product on a daily basis before it is given SAMIC certification.

9. Workplace safety, air quality and noise: Foxtrot will employ the same workplace safety and hygiene standards at its new facility as it does at the existing plant. Slaughtering and processing areas are chilled and well ventilated, and noise levels and air quality are within acceptable limits. There are no detectable odors from the existing facility. Workplace safety and hygiene are regularly monitored by SAMIC.

10. Provision of employee personal protective equipment and training: All employees are provided with uniforms, boots, gloves and masks. As is the case in the existing processing plant, hand-washing facilities will be accessible to all workstations. Employees receive training in hygienic methods of meat slaughtering and processing, and SAMIC staff regularly inspect the abattoir and the employees’ methods to ensure compliance with South African standards.

11. Fire protection and response: The project engineers have contracted with a licensed fire services company to review the plant design and determine what fire protection equipment will be required to comply with South African fire safety requirements. The existing facility is equipped with fire extinguishers and fire reels in accordance with South African standards.

12. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that the proposed project is being designed and will be operated to meet pertinent Government of South Africa requirements and all relevant World Bank policies and environmental, health and safety guidelines.

13. IFC will monitor ongoing compliance with World Bank policies and guidelines during the life of the project by evaluating monitoring reports submitted annually to IFC by the sponsor and by conducting periodic site reviews during project supervision.

Environmental and Social Mitigation Measures

Broad Community Support