IFC Offers $108m Loan To OCP For Fertiliser Production

As part of measures to improve food security in Africa through enhanced fertiliser production, the International Finance Corporation (IFC) has offered OCP Group a $108 million loan to boost sustainable water supply for fertiliser production in Morocco.

The loan will support the construction of a 219-kilometre water pipeline and pumping station to transport desalinated water from OCP Group’s existing and planned desalination plants in Jorf Lasfar on the Atlantic Ocean to the company’s production operations in Khouribga in central Morocco.

Construction is at an advanced stage, and when completed, the pipeline will have an annual capacity of 80 million cubic meters, equivalent to the water in more than 32,000 Olympic-sized swimming pools.

The project is expected to provide OCP Group with a sustainable and reliable source of water and will free up water for use by farmers, businesses, and consumers in and around Khouribga.
Speaking on the loan, the chief executive officer of OCP Group, Mostafa Terrab said, “We are grateful for IFC’s support in addressing one of the most pressing challenges of our time – water scarcity

“This project is a testament to OCP Group’s commitment to sustainable development and innovation. By securing a reliable source of desalinated water, we are not only enabling the continued growth of our operations but, at the same time, also providing essential resources to local communities.

“This initiative aligns perfectly with our vision of fostering African resilience and food security. Together with IFC, we are paving the way for a sustainable and prosperous future” he noted.

For his part, IFC’s managing director, Maktar Diop said “Water scarcity is a major obstacle to economic development in Africa – and this innovative project by OCP Group demonstrates how businesses can develop solutions that tackle complex development challenges.

“By supporting the construction of this pipeline, IFC is enabling OCP Group to not only address its own water needs but provide vital water resources to communities and support the production of high-value crops, contributing to a more resilient and food-secure future for Africa”, he added.

The pipeline is part of OCP Group’s Water Program, delivered by its specialised subsidiary, OCP Green Water, which is dedicated to supplying 100 per cent non-conventional water to the Group by the end of 2024.

OCP Group is the world leader in plant nutrition solutions and phosphate-based fertilisers.