Burapha Agro-Forestry Co., Ltd (MIGA-14820)

Countries
  • Laos
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Multilateral Investment Guarantee Agency (MIGA)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
A
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Borrower
Land Degradation Neutrality Fund SLP
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Agriculture and Forestry
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Guarantee
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 8.10 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 9.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ MIGA website

Updated in EWS Feb 14, 2023

Disclosed by Bank May 20, 2022

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, Burapha Agro-Forestry Co., Ltd, is an agroforestry and wood processing company operating in the greater Vientiane area in Laos. Burapha has developed forest landscape restoration activities on an area of approximately 6,000 hectares (ha) of private land under various land lease agreements with farmers and village cooperation. It also has operated a sawmill and a furniture factory to process sawn wood products and furniture for the export and Laos domestic market by sourcing wood from its plantations.

Burapha has developed an inclusive agroforestry model, including local communities in its activities in the creation and maintenance of plantations, and is committed to respecting very high responsible and sustainable forestry standards (FSC certified). This innovative model contributes to creating jobs, improving incomes for local communities, fighting against climate change and land degradation, and developing a replicable and sustainable forestry model. Villagers can also intercrop annual crops, improving food security and resilience.

Burapha's current plan is to scale up its business through (i) the new Production Forestry Area (PFA) concession on a total area of 60,000 ha of the land of the Government of Laos and (ii) the operation of a new plywood mill with a 50,000 m3 annual capacity. To support Burapha's business expansion plan Burapha sought the financing of US$9.0 million from Land Degradation Neutrality Fund (LDN Fund).

LDN Fundhas applied for MIGA's guarantee to cover its equity investment into Burapha against the risk of Expropriation for up to 15 years.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Burapha Agro-Forestry Co., Ltd Undisclosed -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

Burapha Agroforestry Co. Ltd.
P.O. Box 118 34
Kaysone Phomvihane Rd 46
Vientiane, Lao PDR.
Tel: +856 21 451 841
Fax: +856 21 451 844

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://www.miga.org/contact/access_to_information

You can also request general information about MIGA and for information on guarantees by emailing: migainquiry@worldbank.org

ACCOUNTABILITY MECHANISM OF IFC/MIGA

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org

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