CALL FOR PROPOSALS 

Value chain financing assessment into (1) beekeeping (honey), (2) tree seedlings and (3) fodder value chains.

1. Introduction to TREPA program 

Climate related financial risks have the potential to affect the safety and soundness of financial institutions and in return affect access to financial services and fair treatment of smallholder farmers.

The Transforming Eastern Province through Adaptation (TREPA) program wants to support local financial institutions to diversify agricultural products to include short term and long-term loans and diversify the loan packages considering the needs of farmers, including informal groups, produce organisation (Cooperatives)​​ and small medium enterprisers (SMEs), while stimulating climate resilient investment. The program wants to capacitate financial service providers to measure climate resilient impact in their monitoring systems and eventually link digitization to agri-lending tools, including climate sensitive risk monitoring systems and linking savings and lending to digital payment and information services and incentivising​ farmers and communities to take up climate adaptation interventions. Financial service providers will thereby increase their knowledge on the impact of climate change on their clients and learn from methods to adapt to climate change, thereby reduce financial risk, increase financial returns, and improve access to savings and credit for farmers engaged in diversified/climate resilient livelihood activities.   

TREPA is funded by Green Climate Fund and implemented by a consortium of 6 partners – IUCN (lead), Enabel, RFA, WV, ICRAF and Cordaid. The project includes a variety of components to promote climate adaptation and land restoration in Eastern Province, with Cordaid focusing on the cross-cutting need of access to finance.  This is done in close collaboration with all partners, and specifically ICRAF and WV who are responsible for supporting individuals, groups and coops to grow their climate resilient business. The following broad value chains were selected: agroforestry, beekeeping and fodder for livestock. Cordaid is responsible for the value chain finance assessment. 

Cordaid is a global, non-governmental development organization, whose mission is to end poverty and injustice. Cordaid works in the fields of climate resilience, food and income, private sector development. Our projects aim to strengthen households to generate more income from farming. Farmers are supported to increase the production of quality food to meet subsistence needs. 

2. SCOPE OF WORK 

Cordaid invites interested bidders (individuals and firms) to respond to the following call for proposals

 The Consultant needs extensive experience in value chain analysis and experience with  financial products development. The products should be based on value chains actors’ needs and fall within the limitations of financial providers such as MFIs and SACCOs. The products should stimulate climate resilience.

The scope of the project is all districts of Eastern Province: Bugesera, Rwamagana, Kayonza, Gatsibo, Nyagatare, Ngoma, Kirehe.

The assessment is expected to last a maximum of 7 weeks.  

3. Objective of this assignment 

The objective of this value chain financing analysis is to overcome the knowledge gap by identifying strengths, weaknesses and financial needs among three value chains: bee keeping, tree seedlings and fodderactors and propose appropriate adaptation measures including climate sensitive agri-finance products and services that will influence investments in the above value chains. 

3.1 Specific objectives 

This value chain finance analysis should give insights into the following: 

Value chain actors' level (Suppliers, producers, processors, traders, etc) 

1. Who are the actors in each value chain and what are their actual financial needs? (at the level of specific organisations per District and in case of farmers, differentiate for men, women, youth)
2. How do they (SMEs Coops and farmers) currently meet these financial needs ? (amounts, maturities, providers) Which financial needs are not met? In case of farmers, does this differ for men, women and youth?
3. What are other non-financial tools with potential funding opportunities such as contract farming, warehouse receipt system (WRS), leasing or paygo modalities in the targeted areas
4. What is the level of awareness and practice among each value chain actor, (SME, cooperative (and their members) on climate vulnerability (financial and non-financial), and climate risk mitigation strategies?
5. What are the current climate risk mitigation practices adopted by actors in each value chain, SME, cooperative (members)? 

Financial institutions level 

6. Identify to what level financial institutions (MFIs and SACCOs) are equipped with knowledge, products and policies to engage in beekeeping, tree seedling and fodder value chains financing (by District).
7. Mapp existing financial services and products (formal and informal) that can be utilized for investments working capital for expansion in beekeeping, tree seedling and fodder value chains. Identify the product features, strengths and weaknesses in responding to the needs of each value chain actor and inclusive.
8. Based on the relevant findings, propose potential climate resilience products and services in beekeeping, tree seedling and fodder value chains that are inclusive for women and youth?
9. Propose other technical support needed to enhance MFIs’ capacity to become more inclusive in financing value chain products that are climate resilient? 

4. SCOPE OF WORK 

Through this ToR, Cordaid is looking to hire a consultant with extensive experience in value chain analysis and climate sensitive financial products development based on value chains actors’ needs within the limitations of financial providers such as MFIs and SACCOs.

The project is being implemented in all Districts of Easter province: Bugesera, Rwamagana, Kayonza, Gatsibo, Nyagatare, Ngoma, Kirehe.The assessment is expected to last no longer than 7 weeks.  

5. METHODOLOGY 

The study should undertake a quantitative and qualitative assessment. The consultant will be responsible for designing and conducting the study including proposing appropriate methodology, designing tools, developing questionnaires, and other instruments for data collection and analysis. The consultant is responsible, but not limited to: 

• Desk study and review of all relevant documents, reports, briefs. The consultant will be recommended to study each value chain analysis reports in detail to understand the dynamics and the levels along each value chain actors.
• Consultation with Cordaid, MFIs partners, Cooperatives, concerned development partners and other government and non-government institutions for strategic direction.
• Field observations, interactions, interviews (structured, semi-structured), and consultation with stakeholders and actors along the value chains
• The consultant should ensure triangulation of various data sources to maximize the validity and reliability of the data. Analysis leading to evaluate judgement should be clearly spelled out. The limitations of the methodological framework should be also spelled out in the review reports.
• Any necessary methodologies for ensuring that the study addresses the financial needs of vulnerable groups employ a rights-based approach and takes questions around gender and youth into consideration.
• Organize debriefing sessions.

6. DELIVERABLES 

The deliverables from the assignment are as follows: 

• An inception report with detailed description of how the consultant intends to comply with each of the specific objectives in terms of data collection, data analysis, interpretation and planning, to be approved by Cordaid.
• Draft Report of Value Chain Finance as described above.
• Validation workshop where main findings will be presented.
• Final Report of Value Chain Finance

7. CONSULTANT REQUIREMENTS 

• Should have at least a master's degree in agriculture, Agriculture Economic, Economics, Finance, Investment, Business administration or related discipline.
• A minimum of 7 years relevant, practical working experience with agriculture-based value chain development having specific component on agriculture/value chain financing programs/projects.
• Experience and proven technical knowledge in designing value chain financing products and services in the agriculture sector;
• Proven knowledge and experience in green financing sector in Sub Saharan region
• Experiences with similar assignments in other countries

• Expertise, familiarity, knowledge on gender and social inclusion.

8. SUBMISSION GUIDELINES 

A soft copy of both technical and financial proposals shall be submitted through email: apollinaire.nshimiyimana@cordaid.org with a copy to inesbella.kaneza@cordaid.org by 10^th August 2023. 

9. PROPOSAL REQUIREMENTS 

The submitted proposal should contain 2 components:

• The technical proposal shall describe in detail the understanding of the consultant regarding the objective described in these Terms of Reference. The consultant should also describe the strategy and the methodology that will be used to deliver the project. CVs and responsibilities of each consulting team member should be attached to the proposal. The technical proposal should also present a similar experience conducted. 

• The financial proposal shall describe costs related to the delivery of the project and costs of service should be presented separately. This project is a lump sum contract (including VAT). Technical and financial proposals should be written in English.