Ransa Comercial S.A.

completed

Summary Of Project Information (SPI)Project Name:Peru - RansaRegion:Latin America and CaribbeanSector:Project No:009248Projected Board Date:June 24, 1999Company Name:Ransa Commercial S.A.Technical Partner and/or Major Shareholders RANSA is wholly owned by the Romero group, one of Peru''s top business groups with major business interests in the agribusiness and banking sectors. The Romero group has a large interest in the largest Commercial Bank of Peru, Banco de Credito. It has a majority control in Alicorp, an Agribusiness conglomerate with activities in edible oil, wheat, flour, pasta and related products. The Romero group wholly owns Palmas del Espino with palm oil plantations (4,600 ha), extraction plants and refineries, and also Industria de Aceitas in Bolivia with soybean plantations (7,000 ha), crushing plants and refinery.Project Cost Including proposed IFC investment Total Project Cost is US$20 million and IFC has been requested to provide a US$10 million loan to Ransa.Location of project and Description of site Callao, Peru The site is located in Callao, close to the airport and the sea port and represents a total area of 600,000 sqare meters.Description of Company and Purpose of Project RANSA is an integrated logistic service operator based in Lima, which specializes in handling, storage and distribution of grains, frozen food and other general cargoes. The company is expanding its activities by developing a new modern distribution center at a new site Environmental Category and Issues This is a category B project according to IFC’s environmental review procedure. The review of this project consisted of appraising technical and environmental information submitted by the project sponsor as well as site visits by environment division staff . The following potential environmental, social, health and safety impacts of the project were analyzed: site selection issues, compliance with World Bank Group environmental and health and safety requirements, employee working conditions, and handling and storage of any hazardous chemicals. The company intends to relocate its existing warehousing and logistics center from Av. Argentina to a new purpose built site (acquired in 1997) near the port of Callao. Previous land use included horticulture and in addition there were 15 households who had settled on the land without the permission of the then owner. A compensation package was developed for both the tenant farmers and also the squatter households. This package was fully documented and subsequently formed the basis of a resettlement plan (RP) prepared for IFC. A summary of the RP is attached to the ERS and the entire document is available at the World Bank infoshop in Washington DC and also locally in Lima as part of the disclosure process for this project. The project will be in compliance with relevant World Bank Group environmental guidelines with regard to air emissions, liquid effluents and solid waste. No hazardous materials will be stored on site and the small quantities of pesticide used to control vermin and insects are well managed and used in compliance with WBG requirements. The company complies with Health and Fire Department regulations in respect of health and safety at work. Staff receive appropriate training and the company is in compliance with World Bank Group requirements.The is from the InfoShop.Host country location of environmental documentsPeruDate SPI sent to InfoShop: May 5, 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).