Pinar Sut Mamulleri Sanayii A.S. II

completed

Environmental Review Summary (ERS)Project Name: Turkey - Pinar Süt IIRegion: Central and Southern EuropeSector: Food and AgribusinessProject No.: 0093671. This project includes a US$40.23 million expansion and modernization of a leading Turkish dairy company, which is an existing IFC client. The project entails investments in the yogurt, butter, cheese, fresh fruit juice, UHT products, mayonnaise, and whey filtration product lines. In addition, Pinar Süt intends to increase the number of its distribution vehicles, the capacity of its milk cooling tanks, cold storage and warehousing facilities. This is a category B project according to IFC''s environmental review procedure because specific impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria.2. The review of this project consisted of information submitted by the project sponsor and the technical appraisal completed by IFC Agribusiness Department staff. The following potential environmental, health and safety problems of this project were analyzed:· air emissions and wastewater treatment· solid waste handling· hazardous materials handling· plant hygiene· general worker health and safetyInformation as to how these issues will be addressed is summarized below.3. Upgrading is being done within the existing dairies located at Izmir and Eskisehir. No new land is being acquired. No environmentally-sensitive areas are affected by this project.4. The Izmir plant buys steam and electricity from an outside utility, and has no air emissions. The Eskisehir plant uses a natural gas-fired boiler to produce steam. Stack emissions from the boiler will be within the specified World Bank Group guidelines. 5. Both dairies have treatment plants for process effluents and domestic sanitary sewage. The Izmir plant has a physical-chemical treatment system for removal of oil and grease and solids before discharge to the municipal treatment plant. The Eskisehir plant has a biological treatment system and the effluent meets World Bank Group guidelines. The effluent is discharged to an additional downstream wastewater treatment plant for the industrial area.6. Solid wastes will include sludge from the wastewater treatment plants, which are disposed of in an approved landfill. Other wastes include primarily packaging wastes, which will be recycled to the extent possible.7. Both plants use acid and alkali detergents for cleaning purposes. These are stored and handled with due regard to worker safety. Pinar Süt has an ongoing project to optimize cleaning processes and minimize the use of these materials. Ammonia is used as refrigerant and an alarm system and respirators are available in case of accidents. Pinar Süt has a comprehensive health and safety program in place, including the provision of personal protective equipment as needed for work in noisy areas and in low temperature areas. Working areas are designed to meet international standards for occupational health and safety. Strict hygiene standards are enforced throughout the facilities. Training is provided to staff in first aid, hygiene and sanitation and good manufacturing practices.8. Both plants are fitted with adequate fire safety and response equipment, including alarm systems, extinguishers and hydrants. Fire response teams are established and all personnel attend periodic training by local Fire Brigade officers. Fire drills are also carried out periodically.9. IFC will monitor ongoing compliance with the relevant environmental, social and health and safety policies and guidelines during the lifetime of the project. The sponsor will provide an annual report that includes details of environmental and social issues and IFC will determine compliance with relevant policies and guidelines on the basis of these reports. IFC staff will also conduct periodic supervision missions to the project.10. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that this project will meet World Bank Group environmental, social and health and safety policies and guidelines as well as host country requirements.