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RFP: Development of a Sustainable Market-led business Model for Community- based Agricultural inputs market in Kagera and Kigoma Regions

Synopsis of the Request for Proposal (Individual Consultant)

Solicitation Reference No.RFP/058/TANZ/2021
Title of SolicitationDevelopment of a Sustainable Market-led business Model for Community- based Agricultural inputs market in Kagera and Kigoma Regions.
Issuing Office & AddressAlliance for a Green Revolution in Africa (AGRA) Website: www.agra.org
Point of contact for clarifications, questions and ammendmentsProcurement@agra.org
Email Address for submission of Proposals/ QuotesProcurement@agra.org
Solicitation Issue DateSepetmber 21, 2021
Deadline for Submission of QuestionsSepetmber 28, 2021 17:00 hours, East African Time
Deadline for Submission of AnswersSepetmber 30, 2021 17:00 hours, East African Time
Deadline for Submission of ProposalsOctober 5, 2021 17:00 hours, East African Time
Please include the subject line “RFP/058/TANZ/2021” in the email
Anticipated Award TypeINDIVIDUAL CONSULTANT ONLY
Submission and Evaluation CriteriaBidder must provide below listed information in the submitted proposal:

Evaluation Criteria
1. Consultants Qualification and Experience in similar assignments-50%
2. Technical Approach/ Methodology-40%
3. Assignment Workplan-10%  

NB. Only the best candidate above 75% of the technical score shall be considered for financial negotiations

Development of a Sustainable Market-led business Model for Community- based Agricultural inputs market in Kagera and Kigoma Regions.

Consultancy task: To develop/propose Sustainable Market-led business Model for Community- based Agricultural inputs market in Kagera and Kigoma Regions to enhance use of improved seed and other yield enhancing technologies

1.1.      Background

Founded in 2006, the Alliance for a Green Revolution in Africa (AGRA), is an African-led African-based organization that seeks to catalyze Agriculture Transformation in Africa. AGRA is focused on putting smallholder farmers at the center of the continent’s growing economy by transforming agriculture from a solitary struggle to survive into farming as a business that thrives. As the sector that employs the majority of Africa’s people, nearly all of them small-scale farmers, AGRA recognizes that developing smallholder agriculture into a productive, efficient, and sustainable system is essential to ensuring food security, lifting millions out of poverty, and driving equitable growth across the continent.

In November 2017, AGRA Tanzania rolled out consortium-based approach in Kagera and Kigoma Regions with  interventions that seek to strengthen input supply systems and linkages to output markets to facilitate the uptake of improved seed and yield-enhancing agricultural technologies, while at the same time ensuring farmers are linked to structured markets.. The interventions respond to the opportunity presented by the underdeveloped input and market systems in Kagera and Kigoma and AGRA’s comparative advantage in areas of seed system development, fertilizer supply chain optimization and structured agricultural market development.

Since the inception of consortium interventions in Kagera and Kigoma Regions, the regions have seen an improvement in agricultural productivity driven by increased usage of improved seed, fertilizer and other inputs, along with better agronomic practices. The increased adoption of productivity-boosting inputs has been largely driven by private, local agri-businesses, including  seed companies, fertilizer importers and distributors, retail agrodealers and village-based agro-dealers who have learned to view smallholder farmers as potential customers for their products and services.

Prior to the consortium interventions, there were very few agrodealers and very limited presence of seed companies thus very narrow range of available products. For instance, in Kagera and Kigoma Regions reports shows that there were only three companies (named Seed co, Pannar, IFFA Seed) supplying inputs in those regions. Currently there are more than 10 companies (named Meru Agro, Suba Agro, IFFA Seed, Kibo, SeedCo, Corteva, Bayer/DK, Zamseed, ETG and GSM) This has turned around with more players coming into the field, expanding the network of agrodealers to hitherto inaccessible areas. A major intervention was the use of Village based Agrodealers linked to retail and hub agrodealers.  The use of improved seeds and fertilizers has grown in the regions. For instance, in Kagera Region fertilizers sales recorded by AGRO dealers increased from 15MT in year 2017 to 1029MT in year 2020, while seed sales increased from 10MT to 166.9MT.  Despite the growth, challenges still prevail including weak distribution systems, financial accessibility thus limiting amount of stocks purchased, therefore  a strong distribution system is still required to be put in place and sustained to  ensure that farmers continue to access quality  inputs at a local point of sale, in a timely manner. That is why assessment of the prevailing business arrangements and practices including challenges, opportunities and factors/framework  to enhance sustainable market-led business model is vital to scale up and sustain the use of improved seed, fertilizer and other yield enhancing technologies in the two regions.

1.2.      Objectives of the Assignment

The objective of the consultancy is to undertake a  detailed analysis of existing agricultural inputs distribution systems in Kagera and Kigoma Regions of Tanzania and propose a model(s) for a sustainable agricultural inputs market-led business system  that will scale up and sustain the use of improved seed, fertilizer and other yield enhancing technologies. In providing the consultancy services, the consultants are expected to work closely with public and private sector, local agri-businesses, including independent seed companies, fertilizer distributors, Hub and village-based agro-dealers, as well as village based agricultural advisors (VBA).

1.3.      Scope of work (Specific ToR)

The consultancy will include but not limited to the following tasks:

  1. Review the existing agricultural inputs business models, arrangements (i.e model executed by Grameen foundation – AGRA funded project in Kagera and Kigoma Regions, Hub & spoke agro dealer model ..etc) and establish  challenges, gaps and derive lesson  in order to gain a complete understanding of current model of operation and identify improvements going forward
  2. Recommend changes required to enhance efficiency and performance of existing input distribution businesses (including financial sustainability …etc)
  3. Work out on a best practice and propose a workable market-led business model for agricultural inputs market
  4. Identify opportunities for replicating the model (i.e., reasons for underdevelopment, challenges faced, technology requirements, market linkages)
  5. Advice on the sustainable market-led business model that will scale up and sustain access of agricultural inputs to smallholder farmers
  6. Recommend on requirements/factors for a model to be successful in agricultural inputs business including policy, financial and support from various actors including local governments
  7. Compile a brief report of the

1.4.      Deliverable (Outputs)

The Consultant is expected to deliver the following:

  • Raw data, including interview notes and contact lists
  • A draft report which will identify a workable market-led business model for agricultural inputs market (causes, solutions and recommendations to address the workable market-led business for agricultural inputs market)
  • Prepare a power-point presentation that summarize the procedures and best practice of effective operationalization of market-led business model for agricultural inputs market
  • A final report which will identify a workable market-led business model for agricultural inputs market including costing for such a mode

1.5.      Consultant Qualifications

The Consultant must have the following qualifications:

  1. A minimum of University degree in business administration /commerce /economics. A Master’s degree in any of the above disciplines and experience in agribusiness is added advantage
  2. Analytical and critical thinking skills to identify key factors and understand how they interrelate.
  3. Excellent understanding of business planning and management, financial analysis, human resources and governance, marketing and sales.
  4. Knowledge of the private sector and its associations is desirable.
  5. Excellent report writing and presentation skills

1.6.      Proposal Submission

Interested and qualified consultants are invited to submit their proposal(s) comprising of the following:

  1. An understanding of the consultancy requirements
  2. Methodology and work-plan for performing the assignment
  3. Project delivery plan
  4. Team composition and tasks assignment
  5. Relevant services undertaken in the past three (3) years
  6. Registration and other relevant statutory documents

1.7.      Time frame and coverage area

The duration of the study is two months and is scheduled shall cover Kagera and Kigoma Regions.

1.8 Evaluation Criteria

  1. Consultants Qualification and Experience in similar assignments-50%
  2. Technical Approach/ Methodology-40%
  3. Assignment Workplan-10%

1.9 Proposal Submission

Interested and qualified individual consultants are invited to submit their proposal(s) comprising of the following:

  • Detailed CV of the consultant
  • Academic and Technical certificates
  • Technical Proposal and workplan
  • Financial Proposal-Filled in Biodata Form

1.10. Submission

  1. Detailed CV and Financial Proposals must be submitted separately to procurement@agra.org by the deadline indicated in the synopsis
  2. Technical and Financial proposals will need to be submitted as separate documents.
  1. Only the financial proposal of the best candidate will be opened and negotiated.
  2. Neither technical nor financial proposals should exceed 10MB.
  3. The financial proposal-Filled in Biodata form
  4. The Financial proposals shall include all applicable withholding taxes. If taxes are not mentioned in the financial proposal, AGRA shall consider them as included in the prices provided.

1.11 Disclaimer

AGRA reserves the right to determine the structure of the process, number of short-listed candidates and the right to withdraw from this process at any time without prior notice and without liability to compensate and/or reimburse any party.

Download full RFP:
https://agra.org/wp-content/uploads/2021/09/RFP-058-TANZ-2021-SME-Business-model.docx