40045 - Jiahe

Who We Are
Who We Are

IFC is the largest global development institution focused on the private sector in developing countries. By encouraging growth, IFC advances economic development, creates jobs and improves the lives of people.
More About Us
About IFC

Our Leadership

Development Partners
Accountability

Learn more about accountability
Annual Report

Download the Report
What We Do
What We Do

IFC advances economic development and improves the lives of people by encouraging the growth of the private sector in developing countries. We achieve this by investing in impactful projects, mobilizing other investors, and sharing expertise.
What We Do Overview
SOLUTIONS

Our products and services
OUR PRIORITIES

Climate Business

Fragile & Conflict Afflicted Situations

Gender

Mobilizing Private Capital

Sustainability
SECTORS & EXPERTISE

Agribusiness & Forestry

Creative Industries

Education

Financial Institutions

Funds

Health

Infrastructure

Manufacturing

Public-Private Partnerships

Tourism, Retail & Property

Trade & Supply Chain Finance

Venture Capital

Working Upstream
Where We Work
Where We Work

As the largest global development institution focused on the private sector, IFC operates in more than 100 countries around the globe. We apply lessons learned in one region to solve problems in another.
Overview
By Region

Africa

East Asia and Pacific

Europe

Latin America and the Caribbean

Middle East and Central Asia

South Asia
Our Impact
Our Impact

Our impact improves lives. IFC brings a clear set of advantages to the world’s most challenging markets. Including a history of innovation, a global mandate, and a determination to achieve measurable development impact.
Our Impact Overview
PRINCIPLES & MEASUREMENT

Impact Investing at IFC

Measuring and Monitoring (AIMM)

Evaluation

Sustainable Development Goals (SDGs)

Owned by 186 member countries and consistently rated AAA/Aaa. IFC aims to achieve our mission of promoting development by providing debt and equity to the private sector, through a range of benchmark and bespoke products.

For Partners

For Investors

Get in Touch

Summary of Investment Information

Project Number

40045

Company Name

Suzhou Jiahe Foods Industry Co., Ltd.

Date SPI Disclosed

Sep 20, 2017

Country

China

Region

East Asia and the Pacific

Projected Board Date

Oct 26, 2017

Environmental Category

B - Limited

Status

Active

Last Updated Date

Dec 24, 2017

Department

Regional Industry - MAS Asia & Pac

Industry

Agribusiness and Forestry

Previous Events

Approved : Nov 15, 2017
Signed : Dec 7, 2017
Invested : Dec 22, 2017

Sector

Sugar and Confectionery

Project Description

Suzhou Jiahe Foods Industry Co Ltd. (“Jiahe” or the “Company”) is China’s leading manufacturer of non-dairy creamer (NDC) – a key ingredient in packaged beverages, fresh bakery products and processed food. The Company is planning to invest to: (i) upgrade its NDC production lines for capacity expansion; (ii) construct a new R&D center; (iii) set up a beverage mixture production line; (iv) build a freeze-dry coffee facility and (iii) add a modern warehouse (together, the “Project”).

Sponsor / Cost / Location

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	25.33

Development Impact

1. Access to quality food ingredient: By supporting a quality-focused NDC producer, IFC will help Jiahe to set an example for the rest of the sector, and raise the country's overall food safety standards; consumers will benefit from having access to safe and affordable alternative to milk in processed food and beverages. 2. Direct Job creation: The Project is expected to create about 250 direct jobs. The use of quality ingredients by hundreds of SMEs (bakeries and other food companies) will help strengthen their operations and market position.

1.Stamp of Approval: IFC's engagement as the first external investor in the Company in the run-up to IPO will provide comfort to new investors. 2.Support in South-South expansion: IFC will be a valuable partner to Jiahe as it embarks on its international expansion. IFC is well-positioned to help build relationships and share its global expertise and sector knowledge by connecting Jiahe to IFC's clients in coffee production in Vietnam and Columbia, coconut processing in the Philippines, etc.

E&S Category Rationale / Risks and Mitigation

The current E&S performances meet all local regulatory requirements and IFC Performance Standards. The proposed manufacturing expansion will be within the existing plant, located in a large industry zone. The new site for non-manufacturing purposes is also in a commercial/industrial zone and surrounded by commercial shops selling car parts, medical devises, and other warehouses. The EHS performances comply with World Bank Group (WBG) General EHS Guidelines and the industry specific WBG EHS Guideline for Food and Beverage Processing. The normal operations have limited impacts to the communities outside of the commercial/industrial zones. The EHS footprints for the proposed manufacturing expansions will be limited.

The key E&S impacts and risks and issues associated with this project include; i) fire prevention and emergency response, ii) occupational health/safety (OHS) management, and iii) food safety.

Mitigation measures for the potential E&S impacts have been identified and are incorporated into an Environmental and Social Action Plan (ESAP). The potential adverse E&S impacts of this project are considered few in number, of limited significance and readily mitigated through the company’s existing robust systems and procedures. This is therefore a Category B project according to IFC’s Policy on Environmental and Social Sustainability.

Contacts

For Inquiries About the Project, Contact

Contact Person: Liu, Xinren

Company Name: Suzhou Jiahe Foods Industry Co Ltd.

Address: 127 Wufang Road, Friendship Industrial Park, Wujiang, Suzhou, Jiangsu, P.R.China, 215222

Email: tomliu@kingflower.com

Phone: +86-51 2-63497711

Facsimile: +86-51 2-63497733

For Inquiries and Comments About IFC, Contact

General IFC Inquiries
IFC Communications
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384

Local Access of Project Documentation

Contact Person: Liu, Xinren

Company Name: Suzhou Jiahe Foods Industry Co Ltd.

Address: 127 Wufang Road, Friendship Industrial Park, Wujiang, Suzhou, Jiangsu, P.R.China, 215222

Email: tomliu@kingflower.com

Phone: +86-51 2-63497711

Facsimile: +86-51 2-63497733

This Summary of Investment Information (SII) is prepared by IFC to disclose a factual summary of the main elements of the potential investment. Its purpose is to enhance the transparency of IFC’s activities. For any project documentation or data included or attached herein, whether prepared by the project sponsor or otherwise, authorization has been given for public release by the project sponsor. IFC considers that this SII is of adequate quality for release to the public, but has not necessarily independently verified all of the project information therein. It is distributed in advance of IFC Board of Directors’ consideration and may be periodically updated thereafter. Board dates are estimates only and this document should not be construed as presuming the outcome of the Board Directors’ decision. The following SII is disclosed in accordance with IFC's Access to Information Policy (AIP) that went into effect on January 1, 2012.

The map is for illustrative purposes and does not imply the expression of any opinion on the part of the World Bank, concerning the legal status of any country or territory or concerning the delimitation of frontiers or boundaries. Country borders or names do not necessarily reflect the World Bank Group's official position. In some cases, available project location information is limited to the country of the project's activities. Locations are approximate.

Projects

Summary of Investment Information

Project Description

Sponsor / Cost / Location

Development Impact

E&S Category Rationale / Risks and Mitigation

Similar Projects

Contacts

Projects

Summary of Investment Information

Project Description

Sponsor / Cost / Location

Project Sponsor and Major Shareholders of Project Company

Total Project Cost and Amount and Nature of IFC's Investment

IFC's Investment as Approved by the Board

Location of Project and Description of Site

Development Impact

Anticipated Impact Measurement & Monitoring (AIMM) Assessment

IFC's Role and Additionality

E&S Category Rationale / Risks and Mitigation

Environmental & Social Categorization Rationale

Environmental & Social Management System (ESMS)

Mitigation Measures / Environmental & Social Action Plan (ESAP)

Press-Release

Related Environmental Document

Similar Projects

Contacts

Disclaimer