Summary of Proposed Investment
Project Number
8770
Company Name
FAVORITA FRUIT COMPANY LIMITED
Date SPI Disclosed
Mar 31, 1998
Country
Ecuador
Industry
Agribusiness and Forestry
Status
Completed
Sector
Fruits and Vegetables
Department
Gbl Ind, Manufact, Agribus & Services
Environmental Category
B - Limited
Previous Events
Approved : May 29, 1998
Signed : Mar 15, 1999
Invested : Jun 10, 1999
Project Description
Summary Of Project Information (SPI)
| Project Name | Ecuador: Reybanpac II |
| Region | Latin America |
| Sector |
Projected Board DateMay 1, 1998
Company NameReybanpac, Rey Banano del Pacifico, C.A.,and Favorita Fruit Co. Ltd.
Technical Partner and/or Major Shareholders
Wong Family from Guayaquil, Ecuador
Project Cost Including Proposed IFC Investment
Project Cost: US$66 million
Location of Project and Description of Site
IFC Loan: US$10 million
IFC Equity: US$5 million
Description of Company and Purpose of Project
Reybanpac is Ecuador”s second largest banana producer and third largest banana exporter. The Company is highly integrated horizontally with substantial industrial facilities for the production of fertilizers, cardboard boxes, plastic bags and fumigation services. The Project will expand production capacities (cardboard boxes bananas) and enhance international competitiveness of Reybanpac (Port). Main IFC’s role: institutional strengthening port development assistance, and capital markets (through IFC’s equity investment). Main development impacts: rural development, environmental impacts and expansion of production capacities.
Environmental Category and Issues
This is a category B project according to IFC''s environmental review procedure. Environmental, occupational health and safety issues which were reviewed for this project include: land use and critical habitat in port and plantation expansion areas; relocation and resettlement of occupants of port and plantation expansion areas; port operations including control of wastewater, bilgewater discharge and solid wastes; agricultural practices in the plantations, including use of pesticides; management and handling of hazardous materials; and general worker health and safety. No critical habitat is affected by this project. All expansion, of farms and port facilities, is on land purchased from the owners at market rates, and no resettlement is involved. The banana plantations are in the process of receiving certification under the Eco-OK program of the Rainforest Alliance, and all wastes and pesticide application are managed in compliance with World Bank Group guidelines. The port operation is well managed and pier reconstruction and expansion is not expected to significantly impact the environment of this industrial area. This project is expected to be carried out in compliance with applicable World Bank Group policies and guidelines.
The is from the Public Information Center.
| Date SPI sent to InfoShop | March 31, 1998 |
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
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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