ADRITEC Syria

completed

Summary Of Project Information (SPI)Project NameSYRIA: Adritec SyriaRegionCentral Asia, Middle East & North AfricaSectorProject No009688Projected Board DateDecember 14, 1999Company NameADSTechnical Partner and/or Major Shareholders The project is sponsored by Mr. Assem Suleiman, a prominent Syrian businessman with diverse interests in agriculture who owns 60% of the shares, and Adritec Group International (AGI) a Bahrain holding company that is serving as the project''s technical partner with management control which holds the remaining 40%. AGI sources its technology from its wholly owned subsidiary Adritec Jordan (ADJ). ADJ is also involved continually in the research and development of new products and technical systems design and offering expertise on a wide range of products, technical manufacturing systems, and extensive know-how in the design, procurement, and installation of field and landscape irrigation systems and networks. Project Cost Including proposed IFC investment The total cost of the Company''s expansion investment program amounts to about US$2.7 million. IFC has been requested to provide US$1 million in equity.Location of project and Description of site The project is located 20 kilometers south of the City of Latakia in Syria and 5 kilometers north of the agricultural town of Jableh. The factory lies directly on and parallel to the international highway connecting Damascus with Latakia. Description of Company and Purpose of Project The proposed project consists of the expansion of Adritec Syria (ADS), an existing company specializing in the manufacturing of drip and other advanced irrigation equipment in Latakia, Syria. The project aims to expand the product range of the group to offer a more diverse selection of products directed at maximizing the use of highly effective water conserving irrigation systems to meet the widely diverse needs of irrigating crops and to expand the group''s market base to more sophisticated agricultural markets worldwide.      Environmental Category and Issues This is a category B project according to IFC''s environmental review procedure.  Environmental issues associated with the project include site location, resettlement, water sources, air emissions, liquid effluents, solid waste disposal, and health and safety issues. The existing factory is built on a plot bought by the Company and there is court appeal pending on the evacuation of a squatter who built a house on a portion of the land without prior permission of the owner. The sponsor has committed to compensate the squatter and in accordance with World Bank Group (WBG) requirements.  Additional land required for expansion has been acquired through willing seller willing buyer arrangements and has not required economic displacement.  Water use and disposal and solid waste handling and management at the plant is in accordance with WBG requirements.  Production processes generate volatile organic compounds air emissions and the sponsor will ensure that emissions conform to WBG requirements or install appropriate mitigation measures. The Company has installed adequate fire fighting equipment including a fire hydrant system in the existing operations and expanded operations will be suitably augmented with additional fire fighting equipment.  Appropriate medical checks and training will be implemented for all staff. The is from the InfoShop.Host country location of environmental documentsCompany''s offices in Latakia and the Directorship of Industry in Latakia.Date SPI sent to InfoShop November 12, 1999“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) 473-7711facsimile: (202) 974-4384Environmental 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).