Summary of Proposed Investment
Project Number
7969
Company Name
Societe Pour Le Traitement Et L'Exportation Du Poisson
Date SPI Disclosed
Apr 2, 1997
Country
Mauritania
Industry
Agribusiness and Forestry
Status
Completed
Sector
Seafood Product Preparation and Packaging
Department
Regional Industry - MAS Africa
Environmental Category
B - Limited
Previous Events
Approved : May 23, 1997
Signed : Sep 2, 1997
Invested : Oct 31, 1997
Project Description
2
SUMMARY OF PROJECT INFORMATION (SPI)
Project Name Mauritania - STEP
Region Sub Saharan Africa
Sector Fish Processing & Export
Project No 007969
Projected Board Date May 2, 1997
Company Name: Société pour le Traitement et l’Exportation du Poisson (STEP)
Ownership: STEP is a venture initiated by Messrs. Eleya Ould Saleck and Mohamed H. Bouamatou, two successful Mauritanian entrepreneurs who would like to diversify their business interests to include fish processing and exports. Messrs. Saleck and Bouamatou own each 35% of STEP’s UM 30 million share capital, with the balance divided among a few members of their family.
Project Cost Including Proposed IFC Investment: Total project cost of is estimated at US$1.7 million financed by equity and a loan from IFC. IFC''s investment would amount to US$0.843 million or 48% of total project cost.
Location of the Project and Description of the Site: The project would be located at the Nouakchott fishing harbor. Access to the project site will be by asphalt road. The processing plant will be built on a 1,943 square meter plot owned by the sponsors and will cover an area of 562 square meters. It will have two cold store units, a chill room, a blast freezer, an ice machine, an ice silo, a fish reception room, and two processing rooms. Additionally, there will be an amenities room, including sanitary facilities for the workers and an office block for the administrative staff.
Description of Company and Purpose of Project: STEP is a newly established Mauritanian company which intends to set up a modern fish processing plant in the vicinity of Nouakchott fishing harbor to process and export both fish and frozen fish products mainly to EU countries. The Company will charter two ice-keeping vessels which are expected to produce an estimated 1,210 t of fish annually. The remaining raw fish will be procured from artisanal fishermen. At full capacity, the plant is expected to produce 1,543 t of fresh and frozen seafood per annum. In addition, the Company will produce 1,375 t of ice per annum, of which 757 t will be sold to the public.
Development Impact: The project will have considerable development impact by helping Mauritanian entrepreneurs improve their competitiveness and play a bigger role in an industry which is key to the local economy. In addition, the project will build a plant which responds to all EU safety norms, and will support the Government''s efforts to promote artisanal fishing, which has been limited by the lack of modern infrastructure. The fish sector contributes significantly to both export and Government revenues in Mauritania. With annual export revenues of US$5.6 million, the STEP project would contribute to strengthening the country''s balance of payments. The project would also contribute an estimated US$6.0 million to Government revenues in terms of taxes and duties over eight years. Moreover, the project would create 48 new jobs at full capacity.
IFC''s Role: The IFC investment would help a local entrepreneur diversify into the export of fish products, an important economic activity for Mauritania. IFC has played an important role in verifying the technical aspects of the project during appraisal. Moreover, IFC is helping the sponsor find an experienced Production Manager to train Mauritanian workers on quality requirements for international markets as well as processing and packaging techniques. Finally, IFC’s loan will complete the financial structure of the project, and provide longer term financing than that of local banks.
Environmental Issues: This is a category B project according to IFC''s environmental review procedures. Environmental issues associated with this project include fish resource sustainability, safety at sea, water and power supply, liquid and solid waste disposal, CFC-free cold storage, noise levels, employee safety including protective equipment and plant hygiene and fire protection. The sponsor had addressed all relevant issues in a environmental management plan which was reviewed by IFC environment division. Basic safety training will be provided, and the plant design and operation will comply Mauritania and EU regulations. IFC will ensure ongoing compliance with World Bank environmental, health and safety policies and guidelines during the life of the project by evaluating monitoring reports submitted annually to IFC by STEP and by conducting periodic visits. The ERS is available from the Public Information Center.
Date SPI Sent to PIC: April 2, 1997
For additional information contact: Corporate Relations Unit
Telephone: (202) 473 7711
Fax: (202) 974 4384
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March 26, 1997 5:56 PM
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
Related ESRS/ERS
