Environmental & Social Review Summary
Project Number
9636
Company Name
Cabo Caju, Lda.
Date ESRS Disclosed
Feb 5, 2010
Country
Mozambique
Region
Africa
Last Updated Date
Jan 2, 2017
Environmental Category
B - Limited
Status
Completed
Previous Events
Approved : Sep 16, 1999
Signed : Sep 24, 1999
Invested : Nov 4, 1999
Sector
Other Food
Industry
Agribusiness and Forestry
Department
Regional Industry - MAS Africa
Project Description
ENVIRONMENTAL REVIEW SUMMARY
Project Name SEF-MOZAMBIQUE: CABO CAJU LDA.
Region Sub-Saharan Africa
Sector Food and beverage processing
Project No. 009636
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1. This project involves the relocation and expansion of an existing cashew nut processing facility located in Pemba, the capital of Cabo Delgado province, the northernmost province of Mozambique. Cabo Caju Lda. (CCL) currently processes approximately 90 tonnes of cashews annually, all of which are sourced from local villagers. The existing facility was established in 1996 using the steam roasting system, a semi-manual technology widely used in India. The plant’s steam generators and heat exchanger use cashew shells as fuel. The processing plant currently employs 55 people and processes 90 tonnes per year, primarily for the local market although some of the production is exported. The expanded plant will employ 350 people and process 1,200 tonnes of nuts per year. CCL intend to package the product for retail sales regionally and eventually to Europe.
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:
• sources and sustainability of cashew supplies, including agrochemical use and
integrated pest management if applicable;
• source of water and power supply, including fuel storage if applicable;
• disposal of solid and liquid wastes, including sewage;
• air emissions from boilers and/or other fuel sources;
• employee exposure to dust, heat, noise in the processing plant;
• provision of personal protective equipment and employee health and safety
training;
• use of non-CFC air conditioning and cold storage equipment;
• fire protection, life safety and emergency response; and
• general plant safety and housekeeping.
3. IFC has reviewed environmental information supplied by the Cabo Caju sponsor regarding potential environmental impacts and proposed mitigation measures. Key elements of this information are described below.
4. Source and sustainability of cashew supplies, including agrochemical use and integrated pest management if applicable: Currently, Cabo Caju obtains most of its stocks directly from farmers in nearby villages. After completion of the new factory, these sources will be supplemented buy purchases from local traders. During the colonial period, annual production of cashews in Cabo Delgado province was approximately 50,000 tonnes. As a result of the civil war and other factors, current annual production in the province has dropped to 3,000 tonnes per annum. This amount has started to increase in recent years and is expected to continue doing so. In addition, the nearby province of Nampula produces more than 20,000 tonnes annually; one of the main production areas – the district of Namapa – is less than 200 kms from Pemba. Sustainability of supplies is therefore not expected to be a problem. According to the appraisal report, cashew trees require few if any agrochemicals during their life span. The trees in this region are grown by smallholders, most of whom would be unable to afford agrochemicals if they were needed to produce a successful cashew crop. The sponsors do not provide agrochemicals to any of the growers.
5. Source of water and power supply, including fuel storage if applicable: Water will be obtained from an existing shallow well located 250 meters from the plant, from a spring located 500 meters from the plant, and from rainwater which will be collected from gutters into cisterns and from there pumped to an overhead storage tank. These sources will be adequate to meet the plant’s requirements. The facility will require a total of approximately 40 cubic meters of water per day, primarily for domestic and hygiene purposes. Approximately 2 cubic meters will be used to produce steam to roast the nuts. The sponsors will install two small steam generators and one heat exchanger. As discussed, the generators and heat exchanger will be fired by cashew shells; no supplementary fuel source will be needed. Electricity for lighting, packaging equipment, and office machines will be drawn from the national grid. The plant will require a small standby diesel generator to power the turbine for the hot air chamber where the cashew kernels are dried in the event of a power interruption. A total of 20 liters of diesel fuel for this generator will be stored on site at any given time, which will be stored in a room equipped with a cement floor to contain any fuel spills that might occur.
6. Disposal of solid and liquid wastes, including sewage: The plant will generate very little solid process wastes, and no liquid wastes. The daily volume of cashew shells produced will largely be consumed in the boilers and kilns; any excess will be removed from the property on a daily basis and deposited at a municipal landfill located approximately 4 kms from the site. Domestic liquid wastes will be discharged from the ablution blocks, canteen, and office to a series of septic tanks/soakaways. These will be sited at sufficient distance from the spring and borehole to prevent any contamination.
7. Air emissions from boilers and/or other fuel sources: The steam generators produce a total of approximately 2 tonnes of steam per day. The heat exchanger produces hot air for circulation in the hot chamber, where the cashews are dried at a maximum temperature of 70 C. The small diesel generator will only be used in the event of a power interruption. As a result, total emissions from these sources will not be significant.
8. Employee exposure to dust, heat, and noise in the processing plant: With the exception of the hot chamber and steam roasting areas, employee exposure to dust heat and noise is not significant. Employees working in these two parts of the plant will be provided with appropriate clothing and equipment to protect against excessive exposure (see below). Use of all personal protective equipment will be strictly enforced.
9. Provision of personal protective equipment and employee health and safety training: Cabo Caju will provide all necessary personal protective equipment and clothing for its employees, depending on the nature of the job they perform. All employees are to be provided with overalls and shoes or boots. Because cashew nut shells contain a caustic oil that can irritate the skin if direct contact occurs, all employees involved in shelling will be provided with neutral barrier skin special skin lotions and oils to prevent irritation. These same products are currently in use at the sponsor’s existing operations. According to the appraisal consultant, use of these products to protect employees is considered best practice in similar operations globally. Employees in the steam roasting and hot chamber areas will also be provided with safety goggles, gloves, and dust masks. On the recommendation of the Ministry of Labour, the sponsor will also provide leather thorax protectors to employees in the steam roasting and hot chamber areas, to protect against burns or injury when lighting or stoking these units. Because of the noise levels in the hot chamber, employees working in this area will be supplied with earmuffs as well. As noted above, use of all safety equipment provided will be strictly enforced. All employees will be trained in the safe operation and maintenance of the machinery with which they work. The plant will be equipped with separate ablution facilities and changing rooms for men and women. Employees who are ill or injured will be taken to a nearby clinic in Pemba for treatment.
10. Use of non-CFC air conditioning and cold storage equipment: The sponsor has no plans to install air conditioning equipment or cold rooms at the present time. Should this situation change, the sponsor has confirmed that CCL will install only cold storage and air conditioning equipment that utilizes non-chlorofluorocarbon (CFC) refrigerants acceptable under the terms of the 1987 Montreal Protocol on Substances that Deplete the Ozone Layer.
11. Fire protection, life safety and emergency response: The sponsor intends to install an elevated 5,000-liter tank water specifically for fire response. The tank will be connected directly to a dedicated pipe fitted with taps and hoses outside each factory building. Each building will be equipped with fire extinguishers, in accordance with relevant national and local regulations. Employees will receive fire safety instruction from the local fire brigade, including proper use of all fire protection and response equipment. Employees working in the kiln area, where the risk of fire is greatest, will receive special training in the safe operation and maintenance of the kiln to prevent fire emergencies.
12. General plant safety and housekeeping: Because of the sponsor’s intent eventually to export to Europe, the plant is being designed to conform to international standards of safety and hygiene. The facility will be large enough to accommodate all of the necessary equipment and ensure ample space between processing areas. The hot chamber and steam roasting areas will be walled off from the rest of the plant to isolate emissions, heat and increased fire risk from the rest of the facility. All machinery will be equipped with safety rails and guards. Employees will receive training in the proper use and maintenance of the machinery with which they work. Workers involved in packaging operations will be supplied with dust jackets, hairnets, and plastic gloves, and will receive periodic medical check-ups. Ablution facilities will be equipped with disinfectant soaps and notices will be posted reminding employees to wash their hands before returning to their workstations.
13. Based on its review of the environmental information provided by CCL, IFC concludes that these enterprises are being operated in a manner that meets all pertinent Government of Mozambique requirements and all relevant World Bank Group policies and environmental, health and safety guidelines.
14. IFC will monitor ongoing compliance with World Bank Group policies and guidelines during the life of the project by reviewing and evaluating the Environmental and Social Monitoring Reports (AMRs) to be submitted annually to IFC by the sponsor, and by conducting periodic site visits during project supervision.
Environmental and Social Mitigation Measures
Broad Community Support
Related SII
