Project detail - Societe Camerounaise de Purification de Sel SA

Who is our customer

SOCAPURSEL S.A is the leading producer of refined salt in Cameroon. Socapursel imports raw salt into Cameroon and processes it into refined salt that is sold in the country and in the wider region. Over half of refined salt is used for livestock production.

What is our funding objective?

Purpose of the EUR 10 mln loan is the purchase of equipment to expand Socapursel's processing capacity. The new equipment will allow Socapursel to turn the waste stream from its existing processing line into refined salt.

Why do we fund this investment?

The financing will allow Socapursel to grow its activities, hence creating employment and local value and decreasing Cameroon's import bill. The new equipment will increase the efficiency of the production process and contribute to waste reduction. Finally, FMO is providing support to the company on different topics to support its further institutionalization and professionalization.

What is the Environmental and Social categorization rationale?

Socapursel’s E&S risk category is B+. The risks from the company’s own operations are medium to low, but they are accentuated by the contextual / Human Rights risks, and by the company’s lack of E&S experience and management systems. The following IFC Performance Standards are applicable: PS 1 (assessment and management Environmental & Social risks and impacts), PS 2 (labour and working conditions), PS 3 (Resource Efficiency and Pollution Prevention), PS 4 (Community Health Safety and Security), and 6 (Biodiversity conservation and sustainable management of living natural resources). Socapursel is willing to improve its E&S structure and practices, and a lot needs to be done to establish and strengthen the systems and resources that will help reach compliance with the relevant IFC PS. PS 5 (Land Acquisition and Involuntary Resettlement) is not relevant applicable as the vendors currently active on the project expansion area are aware that the location was only temporarily available, and they agreed with that situation in writing. Although they are not rights holders, the company will support their relocation in the way the vendors themselves deem adequate. PS 7 (Indigenous People) and 8 (Cultural heritage) are not applicable, since there are no indigenous groups within or adjacent to the clients’ activities nor is there cultural heritage expected at the location which is in an industrial area. General World Bank / IFC EHS Guidelines are relevant as well as the Food and Beverage Processing Guidelines

More investments

Date	Total FMO financing
11/23/2023	EUR 0.03 MLN