This is a Category B project based on IFC’s 2012 Policy on Environmental and Social Sustainability. The E&S risks and impacts associated with this project are limited, site-specific, and can be readily addressed through generally accepted mitigation measures described in this document. The key E&S issues related to this project – the addition of two bottling lines within a to-be-completed integrated bottling/production plant (already funded under a previous IFC investment) - include risks and hazards related to the use of glass, availability of water to allow for the increased production of beverages, and appropriate solid waste and wastewater management related to an increase in production output.

This additional investment in IBS follows two investments made to date to IBS and its sister-company Société Sénégalaise Agro-Industrielle (Sosagrin-IBS, #40131: https://disclosures.ifc.org/projectdetail/ESRS/40131/sosagrin-ibs). The key E&S issues related to the first two investments were occupational health and safety (OHS), dust emission, noise, and vibration from vehicle transit and earth moving activities, potential for soil erosion and associated land and surface water pollution during construction of the Diamniadio’s production plant. Key risks and issues during the operation phase related to the Group’s management capacity to: (i) adequately manage E&S impacts of the operation and expansion; (ii) ensure that the design and construction of all facilities complies with recognized building codes and life and fire safety (L&FS) standards; (iii) maintain fair and safe working conditions during construction and operations of facilities for direct employees and contractor’ workers; (iv) ensure water availability for the new project, including implementation of resource efficiency measures; (v) implement food safety management standards (e.g. HACCP) for production, storage, and delivery of food products and beverages; and, (vi) manage solid waste (plastic, glass) and effluents in line with good international industry practices (GIIPs) and WBG EHS Guidelines (Food and Beverage Processing). IFC PSs’ performance gaps identified in the Group’s E&S performance were included in an E&S Action Plan (ESAP, #40131). All the corrective actions to mitigate the risks and impacts of both the existing operation in Dakar and that related to the new facility in Diamniadio have been fully completed by Sosagrin – IBS in a timely manner. The current E&S performance of the company is satisfactory.