Announcement of World Bank Provides Eighteen Million Five Hundred Thousand US Dollars for Irrigation in Morocco on May 7, 1975

INTERNA<wrt NAL BANK FOR • RECONST'R AND DEVELOPMENT 1818 H STREET, N.W., WASHINGTON D. C. 20433 TELEPHONE: EXECUTIVE 3-6360 Bank News Release No. 75/32 May 7, 1975 WORLD BANK PROVIDES $18.5 MILLION FOR IRR~GATION IN MOROCCO The World Bank is providing $18.5 million for an irrigation project in Morocco, aimed at a substantial increase of agricultural production and to improve rural income distribution in the Souss Valley in Morocco. The project, with an estimated total. cost of $39 million, is located in southwestern Morocco, east of the town of Taroudant. The project is expected to help increase agricultural production by providing a rational development of irrigated agriculture based on the use of groundwater resources. It will also ensure that a substantial share of the benefits accrue.to the poorest members of the local population. It · consists mainly of land tenure reorganization of over 7,300 ha. and the construction of: a) a modern sprinkler irrigation system over • 6,300,ha. and a rehabilitated gravity irrigation system over 100 ha•. ;b) 148 km of farm access roads and 36 km of open drains; c) about 80 km of 22 kv transmission lines, and d) seven milk collecting centers. To facilitate access of farmers to markets and create an improved rural environment, the project will also provide village infrastructure for 11 new and nine existing vi'llages in the form of main streets, street lighting, domestic water supply, schools and health and community centers. The :project will make a major contribution to meeting local demand for live- stock products and cereals, equivalent to an annual net foreign exchange saving of about $6 million equivalent. The main crops to be grown under the project are alfalfa, berseem, wheat, maize, citrus, olives, pulses and almonds. The main livestock products will be fattened lambs and milk. The project has been designed to meet the Government's orjective of allocating a major share of the remaining water resources in the upstream valley to the poorest farmers, and through its land reform component, will stabilize farm size in viable holdings and improve land conservation and use. The project will provide full employment to the approximately 1,700 beneficiaries and their families and· stimulate employment opportunities in related activities, notably crop processing. 'Iypical per capita incomes of the project beneficiaries will be increased from $100 to $400 as a result of the project, a total increase of about $4 million a year. The Bank loan to Morocco will be for a term of 20 years, including a 5-year grace period, with annual interest at 8 1/2 per cent • • Note: Money figures are expressed in US dollar equivalents.  • T E C HN I CAL DAT A PROJECT: Souss Groundwater Project COUNTRY: Morocco TOTAL COST: $39 m.i. J.li on BANK PINARCJNG: $18.5 million, 20 years, including 5 years of grace, at 8 1/2% per annum. OTHER FINANCING: Government of Morocco and farmers. IMPLEMENTING ORGANIZATION: Office Regional de Mise en Valeur de Sousa - Massa, Agadir, Morocco. PROJECT DESCRIPTION: The project will develop irrigation of 7,300 ha., of which about 1,000 ha. are presently irrigated by tradi tiona1· methods. The currently unirrigated area of 6,300 ha. will be provided with sprinkler irrigation. Water will be pumped from wells. The project will aJ.so provide village infrastructure for 11 new and 9 existing villages in the form of streets, street lighting, domes:t.ic water supply, schools and health and community c.enters. The project will include a) land consolidation, distribution and preparation; b) 49 tubewells with supmerged elec- tric pumps and appurtenant~ pressure regulating installations, and pumps and equipment for ~4 exist'ing wells; c) buried asbestos cement pipe distribution systems and mobile. • sprinkler equipment serving 6,300 ha.; d) rehabilitation of an existing gravity distri- bution system serving 1,000 ha.; e) 36 km of open drains to intercept surface runoff from adj.acent areas; f) 80 km of 22 kV power transmission lines for pumping stations; g) village infrastructure; h) farm access roads and windbreaks; i) buildings and equip~ ment for extension, training operation and maintenance services and milk collection centers; j) consultants to assist in project engineering. PROCUREMENT: Contracts for civil works and equipment for the irriga- tion network will be divided into seven contracts; (a) tubewells;(b) one transformer and power connecting lines; (c) irrigation distribution system and associated works; ( d.) access roads, irrigation, drainage and protection chan- nels and land preparation; (e) electromechanical equipment; (f) mobile sprinkler equipment and hydrants; and (g) agricultural equipment. The total estimated value cf these seven contracts is US$25.4 million equivalent. These contracts will be tendered under international competitive bidding according to the Bank's guidelines. Construction of village inf?'astructure, miscellaneous ad.mini strati ve buildings , civil vtorks for pumping stations and windbreaks, estimated to cost a total of US$ 8. 7 million will be let in small contracts after local competitive bidding following normal Government :procedures. Equip- ment for supervision, operation, maintenance and agricultural extension, estimated to cost a total of US$3.3 million, will be procured a~er international competitive bidding in accordance with Bank guidelines except for purchases not exceeding us$4o,ooo equiva- lent, when pro9urement will be in ac·cordance with the normal Government procurement pro . - ceduree, prqvided that such purchases do not exceed an aggregate of US$250,000. A 15% preference margin, 'or the prevailing custom duty, whichever is lower, will be extended to local Dla.Ilufacturers in the evaluation of bids for equipment. CONSULTANTS: ORMVASM will employ engineering consultants to provide advice on the design, start-up and maintenance of the irrigation network. • ESTIMATED CQMPLETlON DATE: December 1979.