Egypt: Egyptian Indian Polyester Company- Sokhna-02

Date Filed
20 Aug 2017
Status
Closed
Phase
Dispute Resolution (DR)
Country
Egypt

Case Tracker

Eligibility
Eligibility
Assessment
Assessment
Dispute Resolution
Mediation
Monitoring
Closed
Compliance
CURRENT Status
Closed(DISPUTE RESOLUTION)

Complaint Overview

Complainant

Former worker

Concerns

Labor- unpaid wages

Cross-Cutting Issues
Labor

Project Information

Region
Middle East & North Africa
Institution
IFC
Name & Number
Egyptian Indian Polyester Company – Sokhna 28878
Company
Egyptian Indian Polyester Company SAE
Sector
Manufacturing
Department
Manufacturing, Agribusiness & Services
Category
B
Commitment

$35 million A Loan

Synopsis

Project Overview

The IFC project with the Egyptian Indian Polyester Company (EIPET) comprises the establishment of a 420,000 tons per annum greenfield Polyethylene Terephthalate (PET) resin plant in the Eldorado Integrated Development and Free Zone S.A.E. in Ain Sokhna, Egypt.  EIPET is a joint venture between South Asian Petrochem Limited (SAPL), an Indian based manufacturer of PET which merged with its holding company Dhunseri Tea & Industries, and the Egyptian Petrochemical Holding Company (Echem), an agency of the Government of Egypt. IFC’s commitment to the project is $35 million A Loan.

Complaint

In August 2017, CAO received a complaint from a former worker of EIPET raising concerns about unpaid wages and the company’s obligations to fulfill the terms of his consultancy contract, particularly with regards to due notice and termination. 

CAO Action

CAO found the complaint eligible for further assessment in October 2017, and initiated its assessment. During CAO’s assessment of the complaint, the parties agreed to engage in a dialogue process to address the issues. CAO Assessment Report is available under “View Documents” below. 

As a result of CAO’s dispute resolution process, the parties reached an agreement in July 2018 to address the issues of concern raised in the complaint. The agreement has been kept confidential at the parties’ request. CAO monitored the full implementation of the agreement. 

 

Status

Upon completion of the monitoring phase, CAO issued a conclusion report in January 2019 which summarizes the dispute resolution process and marks the closure of the case. See “View Documents” for documents related to this case.   


Status as of January 15, 2019.

Case Documents

  • Dispute Resolution

    Complaint
    Egypt EIPC-02 Complaint - redacted
    Aug 20, 2017
    English
    Egypt EIPC-02 Complaint - redacted
    Assessment Report(s)
    Egypt EIPC-02 Assessment Report
    Apr 01, 2018
    English
    Egypt EIPC-02 Assessment Report
    IFC's Response to CAO Assessment Report
    Apr 30, 2018
    English
    IFC's Response to CAO Assessment Report
    Close-out Report(s)
    Egypt EIPC-02 Conclusion Report
    Jan 01, 2019
    English
    Egypt EIPC-02 Conclusion Report