PROJECT

Projects

Environmental & Social Review Summary

Project Number

9578

Company Name

Musoma Fish Processors Ltd.

Date ESRS Disclosed

Feb 5, 2010

Country

Tanzania

Region

Africa

Last Updated Date

Jan 2, 2017

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Jun 30, 1999
Signed : Jun 30, 1999
Invested : Apr 10, 2000

Sector

Animal Aquaculture

Industry

Agribusiness and Forestry

Department

Regional Industry - MAS Africa

Project Description

- 3 - May 6, 1999

Environmental Review Summary (ERS)

Project Name: AEF-TANZANIA: Musoma Fish Processors Ltd. (MFPL)

Region: Sub-Saharan Africa

Sector: Fish Processing

Project No: 009578


1. This project involves establishment of a modern Nile Perch fish processing plant on Lake Victoria at Musoma. MFPL is part of the Alpha group, the leading Nile Perch fish processors and exporters in East Africa. The new MFPL plant will produce frozen products, assist the group in reducing raw fish transport costs, expand processing capacity, and enable Alpha to enter new export markets while also diversifying into higher value added products. The rich Musoma fishing grounds coupled with the rationale of cutting down transport costs made Musoma an ideal location for the new 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. The following potential environmental, health and safety impacts of the project were analyzed:

· Sustainability of fish supplies;
· Land use at new plant site;
· Sewage and liquid effluent treatment and disposal;
· Solid waste disposal;
· Water supply;
· Power supply;
· CFC-free cold storage;
· Hygiene and housekeeping;
· Jetty/boat mooring facilities;
· Employee safety training and emergency response; and
· General safety measures.

The information provided by MFPL 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. Sustainability of Fishery: Historical catch statistics of fish landed in Tanzanian waters of Lake Victoria are not available. Therefore a variety of sources have been combined to collect sufficient data to ascertain that it is unlikely that Tanzanian waters are currently being overexploited. In addition, several internationally funded projects and initiatives within the Tanzanian Directorate of Fisheries have been implemented which are significantly improving management of the resource and collection of reliable data.

In 1993 IUCN (Local to Global Markets, IUCN, 1993) estimated total Tanzanian landings at approximately 44% of the total catch in Lake Victoria, with Kenya at 29% and Uganda at 27%. Extrapolating from 1993 catch data from Uganda and Kenya, Tanzania’s catches can be estimated at roughly 150,000 tonnes in 1993. These figures correlate with the EU funded Lake Victoria Fishery Research Project (LVFRP) estimates of total Lake Victoria catches at roughly 500,000 tones per annum. During the period 1993-1997 Kenya’s and Uganda’s catch rates have remained stable with moderate fluctuations of between 1% and 5%. In 1998 the Tanzanian Directorate of Fisheries reported a total catch of around 125,000 tonnes. From this one can infer that Tanzanian catch rates have also remained relatively stable. Moderate fluctuations in Lake Victoria catch rates in the last two years have been attributed to a variety of reasons: the Ugandan Ministry of Fisheries attributed a decline (<5%) in catches in Uganda during 1997 to El Nino created weather patterns; and similar declines in Kenya have been attributed to shifting water hyacinth densities which impact fisherman mobility/productivity rather than negatively impacting fish populations.

The Tanzanian Directorate of Fisheries has recently implemented a number of initiatives aimed at improving fisheries management. These include:

· Banning beach seine nets;
· Banning mesh sizes below 5 inches;
· Banning mechanized trawling;
· Creation of fishing zones and seasons to protect breeding areas;
· Enhanced lake patrols (acquisition of patrol boats) to control illegal fishing, small mesh nets, seine fishing, and fish poisoning;
· Increased support to the Lake Victoria Fisheries Organization (LVFO); and
· Ban on new fish processing plant approvals (currently only three new plants have approval, including the MFPL project).

LVFO membership is comprised of the Governments of Uganda, Kenya and Tanzania. LVFO is currently conducting research on methods of hyacinth control, which includes Integrated Pest Management techniques.

The Tanzanian Directorate of Fisheries has also conducted test trawling in the deeper areas of the Lake which yielded catches of large Nile Perch. Given that fish processed at the processing plants are all purchased from artisanal fisherman who do not venture more than 10-15 miles offshore, the fish resources of the deeper areas of the Lake remain relatively well protected.

However due to the general lack of historical scientific information on the fishery, the LVFO (or three member Governments) have taken steps, as outlined above, to protect existing stocks until a clearer picture emerges.

MFPL has committed to comply with, and assist, as appropriate, the recommendations and initiatives of the LVFO, the EU funded LVFRP, and the World Bank funded Lake Victoria Environmental Management Programme (LVEMP). In addition, based on the findings of these groups, MFPL will, in coordination with IFC, adjust fish consumption levels to ensure sustainable use of the resource.

4. MFPL have indicated that the land where the processing plant is to be located was previously vacant and not used by anyone.

5. Wastewater from the plant will be treated by a mechanical treatment plant involving screening; grit chamber; skimming tanks; primary sedimentation; clarifier; secondary settlement; and aeration. This treatment system, which Alpha operate at another site, meets local standards. However BOD levels achieved do not meet World Bank guidelines. Accordingly the sponsor has agreed to modify the treatment plant, including but not limited to, increasing retention time, sedimentation, and aeration. Upon final treatment wastewater will be discharged to Lake Victoria. After plant start up MFPL will conduct effluent testing to determine if further treatment modifications are necessary to meet World Bank guidelines.

6. Minimal solid waste is generated during processing. Solids settled during effluent treatment and from the plant floor will be sold to fish meal producers in Mwanza. Sewage generated on site will be stored in a septic tank and periodically removed by municipal authorities.

7. Water to the plant is supplied by the municipality and by two onsite boreholes. Water used for fish processing will be tested on a daily basis to maintain compliance with WHO standards. Plant power supply is from the national grid. A standby generator, equipped with secondary containment for associated fuel storage tanks, will be maintained. All cold storage equipment will be CFC-free.

8. Strict hygiene and housekeeping measures will be implemented to prevent cross contamination. Equipment and machinery will be disinfected and sanitized; piping will be insulated to prevent condensate dripping onto product; no lighting or glass will be exposed (to prevent contamination); different lines will be maintained for different operations; tables will be washed after each fish is filleted; and replacement sterile knives will be used if a filleted fish is rejected. Staff will be provided with uniforms and appropriate safety equipment. All employees will receive medical checkups every 6 months at a private medical clinic. The plant Housekeeper is responsible for ensuring sick employees do not enter the plant and to make sure hygiene routines are followed. The Ministry of Health conducts random inspections and all export products are inspected prior to shipment.

9. MFPL will supply a limited number (for 25% of catch) of local fishermen with nets and outboard motors. Net mesh size will be a minimum 5 inches, as stipulated by LVFO. Engine maintenance will be provided by MFPL. The engines will have safety devices which cause them to cut off if an operator is not present, thus minimizing risks associated with man overboard. In addition, MFPL will provide fishermen with safety and hygiene training as well as life jackets. The plant will include construction of a jetty, however this structure will not include fueling facilities. The plant will store fuel at another point onsite, these fuel tanks will be provided with secondary containment. The plant will be equipped with fire extinguishers at strategic locations.

10. This ERS will be released locally, in English and Swahili, through the offices of the Ministry of Health, the Directorate of Fisheries, the Ministry of Environment and Natural Resources, and the Local Council in Musoma. Availability of the ERS at these locations will be announced in a local/national newspaper.

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

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 MFPL and by conducting periodic supervision.

Environmental and Social Mitigation Measures

Broad Community Support