Announcement of World Bank Lends Forty-One Million Dollars for Morocco’s Irrigation on May 5, 1977

.World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. • Telephone: (202) 393'.'6360 · BANK NEWS RELEASE NO~ 77/98 MAY 5, 1977 WORLD BANK LENDS $41 MILLION FOR MOROCCO'S IRRIGATION The World Bank has approved a $41 mil lion loan for the Doukkala second irrigation project in Morocco. Together with the first Doukkala and Beni Amir projects, • the second Doukkala irrigation project is part of a long-term program for irrigation development in the Oum-er-Rbia river basin. It will result in a substantial increase in agricul- tural production and in meeting the domestic demand for sugar, milk, meat, cereals and vegetables. At full development the project is expected to benefit 20,000 persons, 77% of whom are presently living below the absolute poverty level. In addition, about 5,500 man-years of family labor wil 1 be created annually by the project. The Bank's loan to Morocco will be for 30 years, including 6-1/2 years of grace, at 8.2% interest per annu~. • Note: Money figures are expressed in U.S. dollar equivalents . FORM NO. 1121 (5-76) T E C HN I CA L DA T A PROJECT: COUNTRY: TOTAL COST: Doukkala I I Irrigation Project Morocco $121 mi 11 ion • BANK FINANCING: $41 mill ion for 30 years, 6-1/2 years of grace, at 8.2% interest per year. OTHER FINANCING: $3.2 million, National Agricultural Credit Bank $76.8 million, Government IMPLEMENTING ORGANIZATION: Regional Irrigated Land Development Agency of Doukkala (ORMVAD) B. P. 58 El Jadida 1 Morocco PROJECT DESCRIPTION: The project will equip 16,600 net hectares (ha.) for irriga- tion and includes enlargement of the main supply canal over 22 kilometers (km.), construction of about 10 km. of feeder canals and installation of automatic flow regulators; construction of 6 pumping stations with a total installed capacity of 11,300 kilowatts, each with an elevated equalizing reservoir; construction of 31 km. of 60 kilovolts(kV.) and 62 km. of 22 kV. power transmission 1 ines and a substation for pumping stations; land preparation and consolidation including farm roads, windbreaks and drainage; installation of 450 km. of buried pipe distribution system including hydrants, each serving about 16 ha. and associated mobile sprinkler equipment; construction of main drainage channels entailing. about 300,000 cubic meter excavation; construction of 108 km. of roads, reinforcement of 64 km. of e·x is ting roads; construction of bu i 1dings, provision of equipment for exten- sion, operation, maintenance, artificial insemination, and telecommunications between the El Jadida headquarters of ORMVAD and the project area; construction of 4 milk collec- tion centers; provision of village infrastructure for 5 villages; provision of farm in- puts, credit and extension services; strengthening of applied agricultural resea~ch activities; and rrovision of consulting engineering services for project implementation. PROCUREMENT: All goods to be financed by the Bank loan with the excep- tion of selected equipment items notexceeding $250,000 in the aggregate, will be procured through international competitive bidding in accordance with Bank guidelines, and will be grouped as far as practicable into 21 lots for tender- ing purposes. A preference margin of 15% or the prevailing customs duty, whichever is less, wi 11 be extended to local manufacturers in the evaluation of bids for equipment. Consultant services will be procured in accordance with Bank guidelines. CONSULTANTS: Engineering consultants to the Regional Office for Agricul- tural Development in the Doukkala will amount to 186 man- months at an average cost of $6,800 per man-month. 11.6%, • ECONOMIC RATE OF RETURN: ESTIMATED COMPLETION DATE: December 31, 1982 - 0 -