Organic oil palm block farming & zero waste processing, Sierra Leone Dutch applicant and palm oil producer/trader Natural Habitats Investment Fund 1 B.V. will become a shareholder of the local partner and palm oil producer NedOil Ltd to upgrade the palm oil mill in Yele to produce organic certified crude palm oil.To satisfy the increased capacity of the mill, NedOil will set up a 200 ha block farm for oil palms and will source additional palm fruit from farmers in Sierra Leone. A bridge will be built to link the land of the block farm to the mill. The block farm will provide work to 200 farmers which will receive extensive training. For the supply of palm fruit next to the block farm, MoUs have been signed with two suppliers which supply enough fruit to satisfy 60% of the capacity of the mill. There is a good prospects list for suppliers which can supply the remaining 40%.The palm oil will be sold to Natural Habitats Investment Fund 1 B.V. which will export it to Europe. The demand for organic CPO is on de rise and the Fair for Life certification gives the joint venture a competitive advantage and ensures a good treatment of the farmers which supply palm fruit to the joint venture.Corporate Social Responsibility (CSR)The project will use the following certifications:1. CO2 neutral,2. fair for life,3. organic,4. rainforest alliance and5. Round Table on Sustainable Palm Oil.The certifications cover most, if not all, CSR principles. In addition, the joint venture is committed to donating an annual sum of up to USD 150,000 to the local hospital.Impact•	Employment and working conditionsIn total 41 new staff will be employed under fixed contracts with living wages which are at least eighteen times higher than the Sierra Leonean minimum wage (which is very low at 3.56 euro per month). About 50% of the staff are women. Besides the salary the project will offer fringe benefits like: health and other insurance (e.g. a disability insurance); staff will get paid on sick leave; a staff pension scheme; travel costs compensation; extra time will be rewarded; work clothing free of charge; employees will have a voice in the organisation and participation in the social dialogue. These benefits are consistently better than what is legally required in Sierra Leone.•	Innovation / Transfer of knowledgePalm oil is not new for Sierra Leone. The country is full of oil palms and there are two processors in the Kailahun province of Sierra Leone. Goldtree has an active mill with a capacity of 20 tons per hour and produces for the export market. Bio-United Ltd (approved in the previous PSI round) is setting up two mills with a combined capacity of 2 tons per hour and produces for the local market.The innovation of this project are the following:1. The 200 ha block farming system in which 200 farmers will work for the joint venture and will become the owner of the farmland. Goldtree mainly works with a large plantation and Bio-United Ltd sources from small farmers on village level;2. The solar power drip irrigating system which will be used in the block farm;3. The use of the tricanter for direct oil processing after pressing. The tricanter separates the palm oil, water and solids very efficiently and will result in 60% less water consumption, 50% less waste solids, shorter process time, 0.5% higher oil extraction and 10% less energy use;4. The project will use the following certifications: (a) CO2 neutral, (b) fair for life, (c) organic, (d) rainforest alliance and (e) Round Table on Sustainable Palm Oil.•	Chain effectsImpact on local suppliersAbout ten long-term local input and service suppliers are expected to benefit: these include SME for packaging materials, for providing (organic) farming inputs, farming tools and materials.The 200 farmers which will participate in the block farming scheme will be trained for 21 days during the project period, resulting in an additional 4,200 training days. The applicant states that the other supplying farmers will also receive training but this is dependent on budget from other, not specified, sources. Next to the block farm many other farmers will have the opportunity to sell their FFB to the joint venture.Impact on local customersVery limited. All palm oil is exported, however the palm kernels of the palm fruit are sold locally.•	Impact on the sectorLimited impact.Applicant is stating that more contacts with Bio-United Ltd and Goldtree in Kailahun are expected to exchange information on R&D other topics. NedOil Ltd’s former shareholder Lion Heart Foundation is an NGO who has good relationship with all kind of NGOs in the Netherlands and Sierra Leone, and with Lion Heart Foundation, NedOil Ltd will continue to seek collaboration to assist their outgrowers in better deals.•	EnvironmentPositive impact.Due to the use of the tricanter, the oil extraction process produces 50% less solid waste and is carbon neutral as well. Furthermore, the project also produces compost.•	Position of womenThe block farm is open for all, including women and including landless women. An active approach to include women and women groups is planned.•	Impact on food safetyThe 200 ha of block farming land can be used by the farmers for food production until canopy closing of the oil palms. The expansion of the palm oil processing capacity of NedOil Ltd to 5 tons per hour and the set-up of a 200 ha block farm, including an 80 m bridge to produce 3,065 tons of organic certified crude palm oil per year.