Call for Consultancies - Implementation of Exemplary Business Models in the GCF Knuckles project area

The
overall objective of the assignment is to develop and operationalize
location-specific, commercially viable, and climate-resilient exemplary
Business Models at enterprise level in value chains of coffee, spices
(including pepper), herbs, rice, tourism, and processed foods within the GCF
Knuckles Project area, thereby strengthening the livelihoods and climate
resilience of subsistence farmers and agricultural plantation communities,
while contributing to the conservation of the Knuckles Mountain Range
catchment.

Geographic coverage

The assignment shall cover the GCF Knuckles Project
area in its entirety.

Scope

The scope of work shall specifically encompass:

- Implementation
of the exemplary coffee and pepper Business Models at enterprise-level in the
Hulu Ganga sub-watershed and other priority areas of the project to be combined
with Payment for Ecosystem Services (PES) mechanisms, Sustainable Land
Management (SLM) and Green Value-Chain (GVC) development, where appropriate and
feasible; and
- Incubation
of twelve (12) Business Models at enterprise-level in value chains of tourism,
specialty rice, processed foods, spices and herbs, within the priority areas
previously identified within the Project boundaries.

Role of ICRAF

ICRAF, as the Executing Entity, shall provide the Consultant with the
following:

- Share
knowledge gained through previous studies conducted under sub-contractors of
ICRAF, including Farmer-specific constraints and issues affecting efficient
cultivation and productivity, market information in relation to supply and
demand trends, aggregation, processing, quality, and market access
requirements, details of existing farmer/producer groups, community-based organizations
(CBOs), and other relevant value chain actors and resources; climate risk
analysis and technical information on value-chain level business models
developed under the Project.
- Necessary
technical and finance assistance for required infrastructure as agreed upon .

Summary of
responsibilities

1.

2.

The
Consultant shall undertake, but shall not be limited to, the following tasks:

Development of Location-Specific
Business Models

- Facilitate
existing business models to scale up benefiting the local communities,
streamlining business activities, making them more inclusive, and catering to
the project objectives.
- Based
on the value chain-level Business Models identified previously, support
enterprise-level business model incubation among cooperatives and other SMEs.
It involves smallholders transforming early-stage, innovative ideas into
independent, scalable ventures which respond to the market opportunities
identified and are adapted to local conditions and opportunities.
- Map and
connect existing resources, capacities, infrastructure, services, knowledge,
finance, and market opportunities optimizing the operations in the value chain
developments liaising with enterprise forums and other relevant governance
structures in operation (including what to be established).
- Facilitate
beneficiaries to develop their own bankable business plans, co-designing each
Business Model’s value proposition, target beneficiaries, products/services,
revenue streams, and cost structure.
- Identify
gaps between the resources/capacities and market requirements to be met and
develop a capacity building program to address these gaps.
- Implement
the capacity building program through delivery of technical assistance and
training and, where appropriate and feasible, connecting to governmental and
non-governmental organizations offering complementary capacity building.
- Identify
opportunities and needs for mobilizing responsible finance for the start-up and
maturation phases, including private-sector investment and Payments for
Ecosystem Services or other forms of co-financing.
- Identify
the conditions required for each incubated Business Model to achieve economic,
social and environmental sustainability beyond the period of Project support.
- Identify
the specific gaps that must be addressed to operationalize the Business Models.

Identification of Key Players and
Beneficiaries

- Identify
and map all key actors, including but not limited to farmers/producer groups,
CBOs, input suppliers, service providers (technical, business, financial),
aggregators/processors, traders/buyers, financial institutions, responsible
investors, government agencies, and intermediaries.
- Define
the roles, responsibilities, incentives, and expected benefits of each actor.
- Identify
the direct and indirect beneficiaries of each Business Model.

Capacity Building, Intermediary
Mechanism and Institutional Arrangements

- Develop
road maps for the incubation for each selected cooperative or other SME for the
project lifetime and beyond. This may include both the technical and financial
training modules including financial literacy improving the financial acumen of
the beneficiaries.
- Determine
which identified Capacity Development (CapDev) needs can be addressed through
own delivery of technical assistance and training, and which require the
involvement of complementary intermediary/facilitating entities (governmental
or non-governmental service providers).
- Establish
linkages between farmers/CBOs and relevant value chain actors through the
intermediary entities.
- Define
the roles, responsibilities, incentives, and accountability, and modalities of
the intermediary entities.
- Facilitate
the operationalization of, and coordination among, participating actors.
- Develop
appropriate governance, decision-making and monitoring mechanisms.

Resource-Gap Assessment and
Costing

- Identify
gaps in infrastructure, equipment, working capital, market information,
technical services, and institutional arrangements.
- Develop
detailed costing for the establishment and operation of the incubated Business
Models.
- Clearly
distinguish between existing resources/contributions; contributions expected
from actors; initial Project investment; recurring operational costs; and
potential future financing.
- Prepare
the proposed Project support package for ICRAF’s review and approval.

Monitoring, Evaluation and
Learning (MEL) Framework

Develop and implement a Monitoring, Evaluation and Learning (MEL)
framework to assess, inter alia :

- Business
Model performance and financial viability.
- Farmer
participation and benefits.
- Number
of households benefiting.
- Number
of people with additional full-time and partial employment.
- Production
and productivity improvements.
- Market
access and sales (volumes and values).
- Income/value
captured by different actors.
- Performance
of the intermediary entities.
- Resource
utilization.
- Environmental
and watershed-related outcomes, where relevant.
- Lessons
learned and adaptations required during implementation.

Risk Assessment, Mitigation and
Adaptive Management

- Identify
technical, climatic, market, financial, institutional, and social risks.
- Develop
a risk matrix comprising risk description; likelihood and impact; early-warning
indicators; mitigation measures; and responsible party.
- Establish
an adaptive management mechanism to modify Business Models based on incubation
experience and climate vulnerabilities.
- Include
contingency measures for major disruptions.

Implementation

- Ensure
the expansion of existing business models and establishment and up-running of
the incubated Business Models successfully over a period of eighteen (18)
months with.
- Co-create
bankable business plans, theory of change, activity plan, and business
mentoring plan
- Facilitation
to establish required infrastructure as agreed.
- Establishing
intermediary mechanisms and institutional linkages.
- Provision
of capacity-development support as required.

Expected outcomes of the
assignment

- Providing
scaling up support for at least ten (10) lead firms in each business
category—spices and herbs, tourism, and food processing—and support at least
three (3) lead firms under the rice business model.
- Provide
incubation support for at least fifteen (15) start-ups in each business
category and at least three (3) start-ups under the rice business model.
- Create
at least twenty (20) employment opportunities in each business, with a
satisfactory level of women’s participation.
- Engage
at least eight (8) households in each business category.

Documentation, Learning and
Knowledge Management

- Document
the implementation process, challenges, innovations, and lessons learned.
- Training
modules, curriculars, handbooks, trainer guides in local languages.
- Business
cases, capturing evidence of what works and what does not work under different
local conditions.
- Promotional
materials developed for beneficiary enterprises.
- Maintain
records of costs, revenues, partnerships, and outcomes.

Scale-Up and Exit Strategy

- Define
criteria for continuation, modification, replication, scaling-up, or
discontinuation of each incubated Business Model.
- Develop
a scale-up pathway for successful Business Models.
- Define
how ownership and responsibility will transition to local/private-sector actors
following the conclusion of Project support.
- Ensure
that each Business Model has a clear pathway toward financial and institutional
sustainability.

Key coordination/interactions

- Internally
with ICRAF project team.
- Externally
with the staff of Project Management Unit of MoALLI, other partner ministries,
consultants and stakeholders.