China, People's Republic of: Integrated and Sustainable Livestock Value Chain Project

Nonsovereign Project | 53027-001

Project Details

  • Project Officer
    Wang, Xiaole
    Private Sector Operations Department
    Request for information
  • Approval Date
    6 December 2019
  • Country/Economy
    China, People's Republic of
  • Sector
    • Agriculture, natural resources and rural development
Project Name Integrated and Sustainable Livestock Value Chain Project
Project Number 53027-001
Borrower / Company New Hope Liuhe Co., Ltd.
Country / Economy China, People's Republic of
Location Nation-wide
Type or Modality of Assistance
3884 Loan Ordinary capital resources USD 40.00 million Committed
CF91 B-Loan Other USD 35.00 million Approved
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Partnerships
Private sector development
Sector / Subsector

Agriculture, natural resources and rural development / Livestock

Gender Equity and Mainstreaming Effective gender mainstreaming
Responsible ADB Department Private Sector Operations Department
Responsible ADB Division Office of the Director General, PSOD
Responsible ADB Officer Wang, Xiaole
Project Sponsor(s)
Description The project includes the construction of: (i) a hog farm in Huanghua, Hebei Province, (ii) a hog farm in Xiangzhou, Guangxi Province , and (iii) a meat processing facility in Pinggu District of Beijing .
Objectives and Scope ADB provides a long-term loan to support NHLs integrated food and agribusiness value chain in the PRC, including animal feeds, livestock farming, slaughtering, meat processing and distribution. The project will (i) improve the resource efficiency of hog farming in the PRC by increasing the number of hogs per sow, improving the feed conversion ratio, and reducing water usage; (ii) promote an inclusive business model through an increase in the income of farm workers and contract farmers; and (iii) mitigate climate change by adopting waste management systems such as the biogas digester facility.
Linkage to Country/Regional Strategy

The project is aligned with Strategy 2030 which calls for ADB to scale up its financing for agribusiness and to promote gender equality in at least 75% of the number of ADBs committed operations by 2030_. The project is also consistent with ADBs PRC country partnership strategy (2016 to 2020) which supports (i) promoting rural development and food security by improving market connectivity and agricultural value chain linkages, (ii) increasing agricultural productivity, (iii) enhancing food safety, and (iv) promoting innovative technology.

The project is consistent with Strategy 2030 Operational Plan for Priority 5 (Promoting Rural Development and Food Security, 2019 to 2024) which calls for: (i) modern, sustainable, and responsible corporate farming models; (ii) the integration of farmers, agribusinesses, and consumers into efficient and sustainable value chains ; (iii) the reduction in agriculture's contribution to GHG emissions through improved farming and livestock practices; and (iv) food safety and traceability systems development .

Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects Environmental impact assessments (EIAs) were prepared for the two hog farms and an Initial Environmental Examination (IEE) was prepared for the meat processing plant. ADB has undertaken a corporate and site level compliance audit at due diligence stage as all subprojects were under construction, all subprojects have completed construction as of October 2021. During operation phase there would be generation of manure and animal carcasses, wastewater, odor and noise nuisance, as well as waste including veterinary waste. Effective measures manage identified impacts have been incorporated in the environmental and social management plans. New Hope has developed a formal environmental and social management system at corporate level. An environmental and social monitoring report has been submitted to ADB reporting on its compliance and environmental performance, New Hope will continue to submit monitoring report on an annual basis.
Involuntary Resettlement The project is classified as C for involuntary resettlement in compliance with ADB's Safeguard Policy Statement (2009). Establishment and operation of the 3 subprojects in different provinces of PRC will not lead to involuntary resettlement impact. New Hope adopts an ESMS which embodies the policies and principles of land acquisition and involuntary resettlement compliant with the applicable national and local laws and regulations and ADB SPS (2009).
Indigenous Peoples The project is classified as C for Indigenous Peoples (IPs). The construction and operation of the 3 subprojects will not lead to any adverse impact on IPs. New Hope's ESMS embodies the policies and principles of indigenous peoples compliant with the applicable national and local laws and regulations and ADB Safeguard Policy Statement (2009).
Stakeholder Communication, Participation, and Consultation Consultation was carried out during the EIA and IEE preparation. Additional consultation has been conducted during the audit with local villagers. A formal Grievance Redress Mechanism (GRM) has been established and adopted to ensure that grievances are communicated and addressed appropriately, if any.
Timetable for assistance design, processing and implementation
Concept Clearance 03 Oct 2019
Credit Committee Meeting 31 Oct 2019
Approval 06 Dec 2019
Last PDS Update 09 Nov 2021

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

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Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

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Evaluation Documents See also: Independent Evaluation

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Related Publications

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