Announcement of Eleven Million Six Hundred Thousand US Dollars Loan to the United Republic of Cameroon to Help Finance a Livestock Development Project on March 28, 1974

• 1818 H STREET. N.W .. WASHINGTON D. C. 20433 TELEPHONE: ,, ~' . EXECUTIVE 3-6360 Bank Press Release 74/18 Subject: $11.6 million loan to the March 28, 1974 United Republic of Cameroon to help finance a livestock development project The World Bank has approved a $11.6 million loan to the United Republic of Cameroon to help finance a livestock development project. The project will enable the Government to implement the first phase of its live- stock development program. It comprises establishing and operating three 20,000- hectare state ranches and two slaughter plants, modernizing 12 butcher shops, developing livestock production on 150 private ranches and farms, and eradicating tsetse flies from 800,000 hectares of good pasture land. In addition the project will provide for training of Cameroonians in livestock production, credit and tsetse fly extermination technique. The project, scheduled for completion in 1979, • will lay the ground for the preparation of a follow-up project. The project will be carried out in part by the Ministry of Livestock which will plan and administer the tsetse fly extermination campaign and training program for Cameroonians in livestock production and preparation of further proposals in the livestock subsector. To administer the credit operations to private ranches, farms and butchers, Government will be assisted by the Fonds National de Developpement Rural (FONADER), recently created to promote agricultural projects and rural develop- ment infrastructure. To develop and operate the state owned farms, the Government has created the Societe de Developpement et d•Exploitation des Productions Animaies (SODEPA). SODEPA will also assist FONADER in making credits to private farmers and ranchers. The loan will be made to the Government for a term of 21 years, including six years of grace, and the proceeds of the loan will be used as follows: $0.9 million will be onlent to FONADER to finance credits to sub-borrowers, and $0.3 million granted to FONADER for the administration of this credit program; $5. 2 million will be onlent to SODEPA to finance its ranch and sL.mghter plants development; $2.4 million and $0.4 million, respectively, will be passed on as budgetary alloca- • tions to the Ministry of Livestock for tsetse fly extermination, and for training and studies; $2.4 million will be retained as contingencies. Note: Money figures are expressed in U.S. dollar equivalents.  • TECHNICAL DATA PE.OJECT: Li vest ock Development Project COUNTRY: United Republic of Cameroon TOTAL COST: $14.6 million BANK FINANCING: $11.6 million, for a term of 21 years, including six years of grace OTHER FINANCING: Government $2.8 million,private sub-borrowers $0.2 million IMPLEMENTING ORGANIZATION: - Ministry of Livestock - Fonds National de·D~veloppement Rural (FONADER) - Societe de Developpement et d'Exploitation des Productions Animales (SODEPA) PROJECT DESCRIPTION: The project would comprise establishing and operating three. 20,000 hectar state~owned ranches and two slaughter plants, modernizing 12 butcher shops, developing 150 private ranches and farms, eradicating tsetse-flies from 800,000 hectares of good potential pasture land, training Cameroonians in livestock production and credit and tsetse-fly extermina- tion techniques, and preparing a follow-up project. PROCUREMENT: Contracts in excess of US$50,000 for all goods and services, except for livestock purchases, will be awaided on the basis of international competitive bidding. Slaughter plants and equipment will be procured on a turnkey contract basis. CONSULTANTS: To be selected ESTIMATED COMPLETION DATE: December 1979 •