E-275 Vol.1 Public Disclosure Authorized CILENA ANNINGVALLEY AGRICULTUREDEVELOPME:NT PROJECT CN-PE 49665-CEIA Public Disclosure Authorized EnvironmentalImpact AssessmentReport July 1998 Public Disclosure Authorized For the World Bank Public Disclosure Authorized Prepared by David E. Gue, Agro-industriesConsultant Branstead,Higher Erith Road, Torquay, TQ1 2NQ ENGLAND Phone: ++44 1803 294 679 Fax :++44 1803296 294 Longmang Mineral Fodder Corp. Environmental impactAssessment Report. : TABLE OF CONTENTS Foreword .............................. 3 General Environmental Impacts .3 Waste Water .3 Air Emissions .4 Solid Waste ,..4 Chemicals..4 Noise emissions ,. ... 4 Land Acquisition, Resettlement and Compensation.5 Non-Agricultural Land ..................... 5 Land Purchase and Compensation .5 List of Environmental Reports .6 Page 2 of 6 I I Longmang Mineral Fodder Corp. Environmental Impact Assessment Report. FOREWORD .1 An environmental impact assessment report was developed by the PPMO in Chengdu, and was translated into English during Pre-Appraisal of the project in October 1997. The report was reviewed by the Bank mission and some modifications incorporated by the PPMO. The revised document was presented to the Project Appraisal Mission in June 1998 incorporating all of the ~1 changesthat were requestedby the Bank mission. All processing plants on the project are covered in the report including Agro-Industries and 1 Sericulture components, and there are separate data sheets for each processing plant. GENERALENVIRONMENTAL IMPACTS. The project would not be expected to produce any detrimental environmental impacts in the project area. Each company has detailed the environmental aspects of their component, and indicated that their proposal is within the National environmental guidelines and regulations. There is no component of the project that poses an environmental risk. The processing plants have a limited potential for localised water, air and noise pollution within and around the plant buildings, but procurement specifications for processing equipment would :include full environmental protection measures to maintain pollution within national EPB standards. Waste Water. The project proposes to treat the effluents of all processing plants and administrative and marketing buildings in septic tanks where necessary, or to discharge effluents to municipal sewers where possible. The design objective would be in compliance with Chinese standard GB8978-88 for discharge of effluents, stipulating minimum discharge standards of: BOD5 200 mg/l and SS 200 mg/I. The combined effluent at all seven project processing plants is estimated to be < 3,000 m3/d with BOD concentration of 3 50-500 ppm. The capital cost of environment protection is included in the investment costs for equipment and civil works for each enterprise. The unit cost of treating the effluent is included in the general power consumption requirermentsfor each enterprise and has been included in the financial analysis of the project. Page 3 of 6 Longmang Mineral Fodder Corp. Environmental Impact Assessment Report. Air Emissions. Design of boilers and processing systems would provide for compliance with the relevant particulate emission standard. Cyclone dust collectors would be installed on all seed and rice handling systems to maintain particulate matter discharge <10 mg/m3. Solid Waste. The domestic heating system boilers and grain and seed dryers will generate ash and clinker, and it has been standard practice to use this in road construction and as an extender in brick manufacture. The disposal of theses negligible volumes of ash and clinker should not pose any problem. Water softening plant sludge, boiler blowdown sludge and septic tank sludge would be negligible in volume, and would be generated in widely dissipated locations. Disposal of sludge would be on local agricultural land. Chemicals. None of the processing plants use strong acid or alkali chemicals or materials with a high concentration of COD. The Xicheng seed processing plant will use seed coating chemicals in very small volumes, but this is a common chemical used throughout the seed industry in China, and is not likely to be discharged from the plant in any way, other than as a component of the finished products. Agricultural chemicals. The fertilisers and agricultural chemicals used in the production of seeds, rice, grain, fruit and vegetables would be standard fertilisers, pesticides, herbicides etc., as used in major agricultural economies for similar type of agricultural and horticultural production. All farm chemicals procured through the project would be Bank approved products. Optimal farm chemical use will be determined during the project with the aid of technical assistance, and would be Bank approved products where relevant. Noise emissions. All equipment procured for the project would be specified to be within the National Standards for noise emission. Page 4 of 6 Longmang Mineral Fodder Corp. Environmental Impact Assessment Report. LANDACQUISITION, RESETTLEMENT AND COMPENSATION. The project would acquire a total land area of 2.0 ha for commercial activities, all of which for the Xicheng Wholesale Market and is located about 0.5 km from Xicheng city centre. It is currently agricultural land, and has 15 farming families (about 75 persons) using the land for income and sustenance. Details have been provided of the land to be acquired, compensation arrangements, and families affected by the project, and this data is summarised in Table-18 : Land Acquisition attached. Non-Agricultural Land. All enterprises have been requested to select land for commercial development that is not designated as agricultural land, and that does not currently have any occupants or dwellings. Xicheng Panxi Foods have selected such land for the rice mill and seed processing plant, where they already own the land. The four silk reeling mills will mainly expand their operations by upgrading existing buildings and installing modem processing machinery, and will not need to acquire additional land for these operations. Land Purchase and Compensation. Crop Compensation and Relocation Expenses: The crop compensation and relocation expenses paid to farmers would be in line with local regulations, and is dependent on the current crop being produced, and the crop value. The total crop compensation costs to be paid under the project would be Y1.2 million for 2 ha of land, an average of Y600,000 per ha, and relocation expenses 0.15 million. The Xicheng municipal government are committed to ensure that relocated farmers receive land that is at least as good quality as their existing land. This will be quite simple to achieve as the project will develop large tracts of land around Xicheng under the irrigation and land base developments of the project. Land Purchase: Land purchase prices vary depending on the location, but the project would pay a total land purchase price of Y4.65 million for 30 mu of land near down town Xicheng for the wholesale market. Building Compensation: None of the enterprises has any buildings on acquired land that will need to be compensated. Page 5 of 6 I Longmang Mineral Fodder Corp. Environmental Impact Assessment Report. ! -I LIST OF ENVIRONMENTAL REPORTS. Seed Processing Mill of Panxi Foods Co. Ltd.. Xichang Yuchang Silk Industry Co. Ltd. Xicheng Wholesale Market. Rice Processing mill of Panxi Foods Co. Ltd.. Ningnan Silk Reeling Mill. Huidong Silk Reeling Mill. Yanbian County Silk Reeling Mill. Page 6 of 6 ind CHINA: Seeds Sector Commercialisation Project. Seed Processing : Investment in facilities and equipment Table-18 : Land Acquisition Land Acquiredfor Proje Familiesinvolved in Compensation Ha _ _ Landacquisition Arran ementsY'000 ompany Comtercial Industrlal Farm Number affected Loss of Voluntary Crop Land Building Relocation New Land Land or waste land Land Famtiles Persons Dwellings Income Acceptance Compenstalon turchase Compensation Expenses Allocated Comment angshanPrefecture cheng Rice Mill 1.16 0 0 0 0 0 0 0 0 0 Existingcommercial land cheng SeedProcessing Plant 1.16 0 0 0 0 0 0 0 0 0 Existing commercial land cheng WholesaleMarket 2.00 15 75 0 15 15 1,200 4,650 0 150 2 ha Land to be acquired under projec cheng Silk Mill Expansion 0 No additional land acquired ingnan Silk Mill Expansion - 0 --- No additional land acquired uidong Silk Mill Expansion _ 0 No additional land acquired anzhihuaMunicipality anbian Silk Reeling Mill --- --- 0 --- --- --- --- --- --- No additional land acquired TOTALS 2.32 0.00 2.00 15 75 0 15 15 1,200 4,650 0 150 2 ha 08-Jul-98 F Environmental Impact Assessment on Seed Processing Mlill of Panxi Foods Co., Ltd. Summarv 1. Environmental background Seed Processing Mill of PatLi Foods Co., Ltd. Is locatod in -XichangMiunicipality of LiangshanYi NationalityAutonomy Region and coversa area of 1.16 ha. The mainproducts of the proposedproject will be the seeds of hybnidrice, hybrid maize,hybrid wheat and some kinds of vegetableseeds. In the projectarea there are not any riverspassing through there. There is usually a fresh wind in Xichang city, the average wind speed throighout the year is 6-7 Mnec. 2. Wastewaterdischarge and pollution load The wasteNw-aterdischarged from the companyis mainlycome frotn householdbuildinas with a disclhaxgeamount of 10 t/d. The pollutionload of domesticwastewater will be be is follows: BOD: 2kgid COD: 4kg/d NH3-N3 - 0.4 kg/d SS: 2.2 kicgd The wastewaterfrom householdwill be pre-treatedby septic tanik botom it is discharged into muniicipalscwage