Summary of Proposed Investment
Project Number
7229
Company Name
Ningbo Taihang Agricultural Products Co., Ltd.
Date SPI Disclosed
May 10, 1996
Country
China
Industry
Agribusiness and Forestry
Status
Completed
Sector
Fruits and Vegetables
Department
Regional Industry - MAS Asia & Pac
Environmental Category
B - Limited
Previous Events
Approved : Aug 2, 1996
Signed : Apr 3, 1998
Invested : Aug 31, 1998
Project Description
Summary Of Project Information (SPI)
| Project Name | China - Ningbo Agricultural Products Co., Ltd. |
| Region | Asia |
| Sector |
Projected Board DateJune 15, 1996
Company NameNingbo Agricultural Products Co., Ltd.
Technical Partner and/or Major Shareholders
1. Tako Co., Ltd. of Japan 2. The Yaohan Group of Japan 3. Kyushu Shiitake Co., Ltd. of Japan 4. IFC
Project Cost Including proposed IFC investment
US$14 million project cost, with IFC equity participation of US$2 million.
Location of project and Description of site
The project will construct a shiitake farm in mainly agricultural land located in the Ningbo Economic and Technical Development Zone (NETDC)in Zhejiang province.
Description of Company and Purpose of Project
The project will construct and operate a spore factory and 250 greenhouses in Zhejiang Province to produce 1,500 tons per annum of natural log shiitake mushrooms. The Company will be the first in China to grow and harvest natural log shiitake mushrooms mainly for export to Japan, the major consumer of this product. Japanese production of the natural log shiitake has been in decline recently due to high labor and raw material costs, while increasing consumption has been supplemented by a lower grade substitute grown on a sawdust substrate. The project will contribute to China’s economic growth by providing a minimum of 200 jobs at full capacity and generating about US$10 million each year in export revenues. IFC has advised the Company on an adequate financial structure and strongly recommended a phased project implementation approach. IFC’s participation would be crucial to the equity participation of other sponsors.
Environmental Category and Issues
This project is rated as a Category B according to IFC environmental guidelines. Environmental issues include liquid effluent, solid waste and sourcing of wood supply. Occupational health and safety issues include general workplace safety.
The is available from the Public Information Center.
| Date SPI sent to PIC | May 10, 1996 |
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
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