Terms of Reference for consultancy services. 

Project background 

Promoting Smallholder Agro-Export Competitiveness Project (PSAC) is a six-year project funded by the International Fund for Agriculture Development with co-financing contributions from Government of Rwanda, Government of Spain, CORDAID and Heifer International. The project is implemented through the Ministry of Agriculture and Animal Resources (MINAGRI) and the lead Implementation Agency is the National Agriculture Export Board (NAEB). The district authorities along with district and sector agriculture staff under the authority of Ministry of Local Government (MINALOC) will play a key role to ensure smooth implementation (including provision of extension services), monitoring and coordination of PSAC interventions at field level. 

The project goal of the PSAC is: “to increase incomes of the rural poor, by supporting inclusive and sustainable agro-exports Value Chains while the Project Development Objective (PDO) is “to support the inclusion of rural poor in targeted export-driven VCs (value chains), by increasing their climate resilient productive capacity and market access.” The project outcomes are (a) Smallholders’ climate-smart production and productivity in selected export-driven value chains have increased (ii) Stakeholders’ access to advisory services, market and financial services has improved to facilitate their inclusion in sustainable export-driven value chains (iii) Institutional and policy environment of selected export-driven VCs is improved 

CORDAID was identified among the  key implementing partner with the requisite expertise and experience to offer following service : (I) value chain development, including capacity building of producers’ organizations and business development service; (ii) mobilizing youth for equipment maintenance; (iii) development of range of financial products considering smallholder needs and FIs constraints; (iv) access to  agricultural finance with a focus on digital agro-credit assessment tool and capacity building of financial institutions; (v) digital solutions for agriculture and (vi) Programme embedded reflection and learning to influence policies and practices. 

Core objectives of the project 

A. To strengthen the smallholder farmers in 108 cooperatives operating in tea, coffee and horticulture value chains and link them to financial services.

The project will follow a Markets system development approach. For each selected value chain, a capacity needs assessment will be conducted, including VC (value chains) actors, supporters and governance, viability analysis and relevance of financial services at each level in the chain before the value chain development activities start. This involves all relevant stakeholders and includes the integration of Value Chain Partnerships (VCPs). All chain actors will be included in this process. Capacities at the PO (Producer organizations) level will be developed to support farmers while developing good business models for BDS (Business development service) providers to continue delivering services (on a fee base) to farmers and PO’s. 

B. To broaden the evidence base in rural agricultural finance, value chain development and disseminate lessons learned

The approaches, business models and learnings need to be identified, shared, and replicated within and outside of the target countries.

Scope of assignment 

The consultant will assess the capacity skills gaps in targeted cooperatives, financial institutions, and other Value chain actors in the sector, while proposing areas of improvement and relevant recommendations. This assessment is expected to cover all Districts the project will be implemented in. These are included Rulindo and Musanze in the North, Rwamagana and Busegera in the East; Ruhango, Nyanza, Huye, Nyamagabe and Nyaruguru in the South and Rusizi, Nyamasheke, Karongi, Rutsiro, and Nyabihu in the West.

The assignment is expected to start on the 2^nd of April and be completed on 15^th of May 2024. The scope of the services to be delivered is expected to cover two workstreams:

Workstream 1: Comprehensively assess cooperatives needs assessment with specific attention to;

• Assessing Cooperative capacity levels in terms of internal management, business planning, marketing, financial management, sustainability and external risks in order to strengthen their agro-exports Value Chains.
• Assess the digital and non-digital financial literacy level and business skills (entrepreneurship skills and farming as business skills) among cooperative members.
• Assess the level/status of the working structure between cooperative, microfinance institutionsand other value chain actors in the Export area;
• Assess the current and potential role and participation for Women, Youth in the targeted value chains.
• Assess the comprehensiveness and the completeness of existing manuals and materials for knowledge development and the possibility to introduce digital services for knowledge development.
• Assess the level of access and use of non and digital financial products including account opening and usage, saving level and loan repayment level.
• Identify gender mainstreaming gaps in financial inclusion
• Assess the level of access and use of labor-saving technology/ Agri-equipment maintenance (disaggregated by gender and age)
• Identify and assess the effectiveness and sustainability of the existing business development services

Workstream 2: Broadly examine gaps at the financial institutions level with specific attention to;

• Assessing current risks/challenges faced by FIs/SACCOS or other financial services providers including fintech companies in financing of these agro-export VCs cooperatives.
• Assess the available financial products and services whether they are appropriate to serve farmers (both non and digital) and their inclusiveness to climate resiliency.
• Assess the level of Gender inclusion into MFIs strategy/SACCOS/fintech to better serve women and youth. For instance, availability of designed financial service considering gendered needs, preferences, and constraints to ensure that women and youth can benefit from the service.
• Assess the process used in analyzing the loans requested by Cooperatives to monitor repayment and follow default procedures and provide recommendations

Methodology  

The assessor is requested to present a detailed work plan, budget, and a study proposal, detailing how the assessor intended to comply with each of the specific objectives in terms of data collection, data analysis and interpretation and implementation plan. The project is looking for a mixed-methods approach combining qualitative and quantitative information and a participatory approach involving and empowering stakeholders to provide information relevant to them. In every methodology gender inclusive approach must be applied. The assessor shall include in their work: A desk review of the available secondary data and, data collection tools development.

Expected deliverables 

The assignment includes the submission of a series of deliverables:

• An inception report detailing methodology, approach to every specific objective will be addressed, questionnaires and timeline on the deliverables to be approved by Cordaid.
• A financial proposal to be approved by Cordaid
• Debriefing weekly meetings on the progress and the preliminary findings
• Comprehensive draft report designed in a way that it is easy to read including images, graphs, and icons where possible.
• Annexes: Supporting documentation/field work records /minutes of meetings, raw data, and summary of contextual analysis process
• A validation workshops.
• Draft report addressing all inputs and comments made by the Cordaid on the 1^st draft report.
• Final report ready to be published. 

Targets 

The study shall be completed by the 15 of May 2024. The data collection part of this assignment shall be sampled from:  

• Population: 108 Cooperatives in the mentioned District
• Financial Institutions: As Identified in the assessment.
• Other VC actors: As Identified in the assessment.
• Insurance compagnies: As I identified in the assessment.
• Government Entity: As Identified in the assessment.

Proposal submission:

Assessors interested in doing this assignment are asked to submit a technical and financial proposal no later than 22nd March 2024. A team of assessors will demonstrate a diverse range of expertise (especially in saving groups and cooperatives). While potential assessors are encouraged to apply, each of one of them will be required to present the following:

• Expertise in organizational and the ability to utilize and interpret both quantitative and qualitative data sources.
• A list of relevant work done in this area
• Technical approach and Methodology
• Detailed work plan with timeline.
• Estimated cost and timeline of the activities
• Expected deliverables
• Declaration of potential conflicts of interest 

Consultants profile:

Both firms and individuals are eligible to apply.

Full Proposals including a financial proposal should be submitted electronically only to the following email addresses: apollinaire.nshimiyimana@cordaid.org and jeanfrancoisregis.mutsinzi@cordaid.org.

Please note: Full Proposals which do not comply with the content requirements may be excluded from the proposal evaluation.

Done in Kigali

Cordaid Rwanda