Morocco - Forestry Project

Document of ox The World Bank FILl COPY FOR OFFICIAL USE ONLY Report No. P-3212-MOR REPORT AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED LOAN TO THE KINGDOM OF MOROCCO FOR A FORESTRY PROJECT February 16, 1982 This document has a restricted distribution and may be used by recipients only in the perforn~nce of| their officit duties. Its contents may not otherwise be disclosed without World Bank aotborbstion.  KINGDOM OF MOROCCO CURRENCY EQUIVALENT Currency Unit - Dirham (DH) US$1 = DH5.32 DHl = us$o.188 FISCAL YEAR January 1 - December 31 GLOSSARY OF ABBREVIATIONS FAO Food and Agriculture Organization LPG Liquefied Petroleum Gas  FOR OFFICIAL USE ONLY KINGDOM OF MOROCCO FORESTRY PROJECT LOAN AND PROJECT SUMMARY Borrower: The Kingdom of Morocco. Amount: US$27.5 million. Terms: Arortization over 17 years including 4 years of grace at 11.6 percent interest per annum. Front-etnd fee of 1.5 percent. Project Objectives and Description: The project area covers about 212,000 ha of forests along the Atlantic coast east and northeast of Kenitra. The project consists of destumping of about 30,000 ha of eucalyptus plantations and degraded cork oak forests and replanting with fast growing species of eucalyptus, pines and acacia; upgrading of 140 km of access roads, construction of 40 km of new roads, road maintenance and extension of the firebreak network; pasture improvement over 2,600 ha; studies on technical, institutional and financial issues; administrative and logistical support; technical assistance and training. The project would boost wood production in the area, enabling the Sidi Yahia pulpmill to increase exports by $6.3 milliont per year, substitute for about $1.6 million per year of industrial wood imports, and produce fuelwood equivalent to $1.4 million per year of Liquefied Petroleum Gas (LPG). Employment generation over the 35 year life of the project would armunt to about 28,100 man-years, mst of which for unskilled workers. There are no significant risks. This document has a restricted distribution and may be used by recipients only in the performaof their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  - ii - Project Cost Estimates: ----------uS$ million---------