The Ogun State Government is requesting assistance from the World Bank to fund the Ogun State Economic Transformation Program (OGSTEP) through an Investment Project Financing instrument. The funds will support the Ogun State Development Plan (SDP) (2018-2030) with a focus on business environment, skills development and public sector governance.

The ministry of budget and planning has the responsibility for project implementation and ensuring that the project development objectives are met and coordinated by the Project Implementation Unit (PIU).

Below is a critical role / activities that are needed to be filled or carried out for the preparation and implementation of the program:

Job Title: Consultant, Engagement of Value Chain Development Firms (VCDF)

Reference No: OG/CS/PPA/43/2020
Location: Abeokuta, Ogun State
Project Title: Ogun State Economic Transformation Project (OGSTEP) – Agric Sector
Reports to: Project Manager OGSTEP – Agric & Honourable Commissioner for Agriculture
Duration of Employment: Twelve (12) Weeks

Project Development Objective

  • The Project Development Objective is to increase agricultural production and stimulate private sector participation in the agricultural, industrial and skills sectors of the Ogun State economy.

The project consists of two main components. The project components include:
Component 1: Increasing Agricultural Production and Industrialization:

  • Sub-Component 1.1: increasing Agricultural Production
  • Sub-Component 1.2: Improving Business Environment.
  • Sub-Component 1.3 Developing Skills.

Component 2: Technical Assistance to Strengthen Capacity to Implement the Program:

  • Component 2.1 Agriculture
  • Component 2.2 Business Environment
  • Component 2.3 Skills
  • Component 2.4 Public Sector Reform and PFM
  • Component 2.5 Project Implementation support

Background Information

  • The Ogun State Government through the Federal Government of Nigeria is applying for a USD 250 million credit from the International Development Association (hereinafter referred to as IDA)/ World Bank towards the financing of the OGUN STATE ECONOMIC TRANSFORMATION PROJECT (OGSTEP). The Project Coordinating Office of OGSTEP intends to apply part of the proceeds of this credit to payments under contracts for the Consultancy Services.
  • The OGSTEP is in line with the Ogun State Development Plan 2017-2030 (SDP) reform agenda to accelerate strategic reforms and foster public investment to enable greater private sector participation in the State’s economy which is organised around five cardinal programs covering agriculture production and industrialization, infrastructure and rural development, education, health, and affordable housing and urban renewal.
  • Agriculture plays a major economic role in Ogun state, providing income and employment for about 70 percent of the labour force, while contributing 30 percent of the State GDP over the 2013-2017 period. Significant potential exists in the State to increase productivity and improve competitiveness to meet the growing demand of the agri-food industry. In order to grow the sector, multiple consultations with the private sector have confirmed the private sector’s high interest in investing in the agri-food sector.
  • In conjunction with World Bank-financed projects in Nigeria, OGSTEP Agriculture component seeks to help address the key constraints to increased private sector participation in Agriculture working closely with Ogun farmers. The Agriculture component will support three types of activities: First, support the development and implementation of the international best practice Framework for Responsible and Inclusive Land-Intensive Agricultural Investments (FRILIA) in Ogun State ; Second, foster the engagement of Value Chain Development Firms (VCDF), and finally, develop critical infrastructure to strengthen market linkages to production areas where value chain development alliances are being promoted.
  • The idea is to support smallholder farmers at farming communities in Ogun State to participate in production effort in the following priority value chains: 1. Food crops; 2. Horticulture and; 3. Livestock; 4. Fiber
  • In line with the OGSTEP project development objective, in the first instance and in line with best practices, OGSTEP working with the Ministry of Agriculture, therefore seeks to engage Value Chain Development Firms (VCDF’s) to work with farmers across the identified Value Chains Segment, among others in the State.
  • This Terms of Reference (TOR) therefore intends to set the minimum requirements and the scope of work.

Objective

  • The objective of the engagement of the Value Chain Development Firms (VCDF’s) is to develop and promote further the commodity value chains to be promoted in the State. Further, the engagement of VCDF’s seeks to facilitate timely linkage between producers, input suppliers and service providers, and off-takers; and well as identify relevant value chain Service Providers across the Value Chains Segment, among others in the State.

Scope of Work
The firm will assist Ogun State Government through the Ministry of Agriculture, OGSTEP Sector Technical Team, working closely with the farmers to develop and strengthen the target agricultural value chains in Ogun State. The Scope of work will have two phases as follows;

  • Pre Investment Phase, and
  • Investment Phase

Pre-investment Phase:

  • Aggregate farmers into groups and clusters to facilitate their access to inputs, services and markets, and the support to groups to move toward formal business entities, such as cooperatives;
  • Identification and analysis of value chain in selected areas;
  • Identify various options for value chain improvement/development that promote inclusiveness.
  • Put in place value chain coordination model that builds trust and promote innovation and opportunities and communication.
  • Assessment of business and partnership opportunities including buyers, suppliers of inputs and services, and related public institutions;
  • Assist farmer groups /cooperatives to engage with off takers and input suppliers with a view to form productive alliances with these parties ;
  • Assist farmers groups/cooperatives to prepare business plans that’s enable them meet the quality and quantities required by off takers while enabling the farmer groups/cooperatives move up the value chain to provide post-harvest management services;
  • Support the farmers to bargain specifically for better prices and more generally for better terms of engagement with off-takers and input suppliers as part of the productive alliance relationship;
  • Mainstream climate smart agriculture, nutrition, and gender into the business plans using evaluation criteria that give additional credits to business plans that promote gender, nutrition, and the use of climate-resilient and low-emission innovations;
  • Preparation, evaluation, and approval of proposals;
  • Evaluation of business plans and sub-projects out of successful proposals;
  • Identify public sector supports needed from the OGSTEP project and other public institutions to enable the productive alliance relationships work for the farmers and other partners, off-takers and providers of inputs and services

Investment Phase:

  • Facilitate timely linkage between producers and off-takers;
  • Support business-related plan activities covered by project ;
  • Assist the farmers in the administration of the matching grants which will be provided to farmers, guided by the projects grants manual;
  • Assist farmers to adopt low-emission practices in the crops and aquaculture sectors; xv. Work towards improved agricultural productivity and profitability of small farm/holder production systems for targeted value chains.

Others:

  • Provide overall value chain coordination that promotes inclusiveness in supply of primary products in respective value chains;
  • Assist/build capacity of enrolled off-takers in taking charge of source of raw materials and maintaining relationship, and building trust among actors;
  • Identify the main actors and other stakeholders (supporters and influencer) and how they are linked/interact; assessing the flow of products, information and financial resources along the value chains.
  • Identify lead firms that are likely to invest in activities along the value chain;
  • Work with the key actors involved to analyse their roles, contribution to value creation and/or addition and the inherent risk along the chain relative value to the chain.
  • Work with the actors to describe and quantify the sequence of operations regarding its production, processing and marketing.
  • Provide Training and extension support to farmers and beneficiaries
  • Train extension agents.
  • Provide evidence-based information and decision support for interventions and intervention programmes design.
  • Provide reports that revalidate selected value chains and data update as well as incorporation of sustainable coordination of value chains.

Profile of the Consultancy Firm
Experience:

  • The Firm is expected to be fully registered business concerns, Non-Governmental Organisations (NGO) and qualified civil associations registered in Nigeria.
  • The firm will be required to have at least ten (10) years of relevant, demonstrable and verifiable experience in management of complex projects on value chain, rural business development and agricultural marketing in Nigeria

Others:

  • Demonstrate the capacity to aggregate large number of farmers, form them into groups and manage the groups, demonstrate organizational capacity of the organization and experience carrying out similar project of activities and handling large groups of farmers, including woman and youths ;
  • Experience on facilitating linkage between producers, input suppliers and service providers, and off-takers;
  • Evidence of close working relationships with farmers and rural and community-based organisations;
  • Have proven records of ability to facilitate and coordinate: linkage and access to technology, market information and management of out-growers, in relation to responsibilities to off-takers and vice versa; and management of emerging and unforeseen circumstances likely to disrupt value chain activities;
  • Working relationship and partnership with small and medium enterprises;
  • Experience researching trends in end markets, and supporting firms to meet the requirements of end markets, competitors and buyers regionally or internationally;
  • Experience in conducting value chain assessments and determining appropriate interventions to enhance agricultural productivity and market access for farmers, agro-pastoralist and pastoralist.
  • Strong working experience with key-value chain stakeholders (producers, traders, enterprise groups, rural financing institutions/banks, and research/policy associations);
  • Be capable of facilitating value chain studies and shared learning platforms needing sound reporting and sharing for use within the productive period of the project; and
  • Have experience in providing or facilitating the required logistics and managing the issues arising from linkage and the development of effective management and control of the emerging opportunities;
  • Experience in developing and managing capacity building activities for enterprise groups and local institutions.
  • Proven ability to work in a cross-cultural and multidisciplinary environment;
  • Evidence of providing similar services for national and international value chain development exercise;
  • Familiarity with Ogun State, its rural environment and local institutions and rural governance structures might be an advantage.

Key Consultants / Technical Resource(s) Experience
Lead Consultant:

  • Minimum MSc degree in Economics, Agricultural Economics, Agribusiness Management, Rural Development, Development Studies or related fields. and a minimum of 15 years’ (post-grad) working experience working in a related field.

The lead consultant is expected to have:

  • Excellent knowledge of value chains, marketing systems and private sector development and minimum ten years of proven ability to design and implement programmes that create market opportunities for small holder farmers, small scale processors, and other value chain actors; 2) Demonstrated experience achieving increased competitiveness in the developing country context
  • Compelling (verbal and written) communication skills including ability to prepare reports, formulate and defend sound recommendations and articulate opinions concisely conveying maximum necessary information;
  • Outstanding oral and written communication and presentation skills in English.
  • Formal training/certification in value chain studies/development will be an advantage

The lead consultant is expected to show evidence of leading similar activities of services for other national and international value chain development exercise. He / she will be expected to perform the following core responsibilities among others:

  • Lead and supervise activities of other consultants / technical resources involved in the specific value chains. 2) Review all relevant primary and secondary sources of data and any relevant information to the study.
  • Develop all necessary data collection, plans tools and present them for review before use.
  • Participate in training of research assistants/data collectors, where necessary;
  • Identify interface issues and risks, and develop tools to record and manage the interface, issues and risks;
  • Author regular detailed progress reports as required.

Other Consultants / Technical Resources:

  • Minimum BSc degree in Economics, Agricultural Economics, Agribusiness Management, Rural Development, Development Studies or related fields. and minimum of 5 years’ (post-grad) working experience working in a related field.

The consultant / technical resources to be engaged are expected to have;

  • Demonstrable knowledge of Agricultural value chains and commodities;
  • Experience in conducting thorough and clearly referenced literature review on the value chain approach for priority value chains;
  • Experience providing hand-on support to smallholder farmers and other downstream value chain actors;
  • Experience in the design and implementation programmes that create market opportunities for smallholder farmers, small scale processors, and other value chain actors;
  • Experience with value chain analysis and development for priority value chain area;
  • Experience in poverty reduction initiatives through livelihood development for rural communities;
  • Sound communication skills including ability to prepare reports.

Language Requirements:

  • Fluency in English language and ability by critical staff to communicate in Yoruba

Institutional and Organization Arrangements:

  • The firm will liaise with the Project Manager OGSTEP Agric, work closely with the relevant stakeholders, in particular the technical team composed by the Sector lead, and report to the Project Manager OGSTEP and Honourable Commissioner who is the sector lead.

Report and Schedule of Deliveries
The firm will work directly with the Technical Team in the Ministry of Agriculture constituted by the sector lead to deliver on the following:

  • Aggregate farmers into groups and clusters to facilitate their access to inputs, services and markets, and the support to groups to move toward formal business entities, such as cooperatives;
  • Identify various options for value chain improvement/development that promote inclusiveness, as well as value chain coordination model that builds trust and promote innovation and opportunities and communication.
  • Assessment of business and partnership opportunities including buyers, suppliers of inputs and services, and related public institutions;
  • Assist farmers groups/cooperatives to prepare business plans related to project and have better engagement with off-takers and input suppliers within a productive alliance relationship and assist farmers achieve improved agricultural productivity and profitability for targeted value chains.;
  • Administration of the matching grants to be provided to farmers;
  • The VCDF will ensure that those farmer groups are connected to off-takers and input suppliers through productive alliances.
  • The VCDF will have a minimum of 1,000 farmers under it in year 1, and is expected to have the capacity to grow and increase the number of farmers progressively over a five year period to a maximum of 10,000 farmers across the following value chains: cassava, rice, maize, sesame, soybean and horticulture crops, poultry and aquaculture;
  • Implementation of VCDF contracts and deliver progressively 20% , 30%,60% & 80% of these contracts from Year 2 to Year 5.
  • Report summarising the process, activities of value chain, the business models – 3 hard and soft copies. Soft copies of analysed data and filled datasheets/tools shall also be handed in. , quarterly. The report format will be agreed by technical team and signed off by the Project Manager and Sector Lead.

Services to be provided by the Client:

  • The Ogun State Ministry of Agriculture shall provide all relevant documents available to the firm. It will also provide necessary institutional support for operations of the consultant. It is the sole responsibility of the firm to search for and collect all required information.
  • The firm will organise all necessary travel and other resources, subject to reimbursement as stipulated in the contract.

Payment Schedule:

  • The VCDF’s will be engaged by the Ogun State Government and will be paid by Government operational expenses (farmers aggregation, group formation, incremental operational cost, preparation of business plans , recruitment of service providers, office running etc.) as stipulated in the projects implementation plan (PIM).
  • The payment of the firm will be based on sign off, of deliverables by the Technical Team within the Ogun State Ministry of Agriculture as appointed by the Honourable Commissioner / Sector lead, with the final sign off by the Honourable Commissioner / Sector lead.

Application Closing Date
16th September, 2020.

Method of Application
Interested and qualified candidates should submit their Applications with the subject: “Consultancy for Engagement of Value Chain Development Firms (VCDF)” using the following email address: ogstep@ogunstate.gov.ng
And
Three (3) Hard Copies, delivered along with soft copy at the address below during office hours 10:00am – 4:00pm (Mondays – Fridays):
The Project Coordinator (PC),
Project Implementation Unit (PIU),
Ogun State Economic Transformation Project (OGSTEP),
C/o Permanent Secretary’s Office,
Ogun State Ministry of Budget & Planning,
State Secretariat, Oke Mosan,
Abeokuta, Ogun State, Nigeria.

Applications should include:

  • A brief proposal outlining your methodology,
  • Copies of certificate of registration/ incorporation (for firms).
  • Company profile with names and contacts of Directors (for firms).
  • Curriculum Vitae of project team members and contact details of three referees.
  • Profile of previous work done related to this project.
  • Certificates of completion of previous work.
  • Contact details (office address, telephone numbers and e-mail addresses).

Click Here to Download Term of Reference

Note

  • The above submissions document will be followed (upon invitation) by submission of ‘Expression of Interest’ from Value Chain Development Firms, following a selection process.
  • Application materials are non-returnable, and we thank you in advance for understanding that only short-listed firms will be contacted for the next step in the application process.

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