CONSULTANCY TO CONDUCT CAPACITY-BUILDING TRAINING ON CONTRACT FARMING
Background:
The global crises of Covid-19, Conflict, and Climate Change pose challenges to EAC economies and business growth. The East African Business Council partnered with Sequa GmbH under the Business Scouts Fund in the project “Enhancing Competitiveness of Agri-food Industry and Mitigating the Impact of Global Crises to Improve Food Security in the EAC Region.”
EABC has concluded the studies on the Impact of Global Crises on Food Security in the EAC Region and the Profiles of investment opportunities in the selected agriculture value chain. Based on the studies Foreign Direct Investment (FDI) into the EAC region increased marginally between 2015 and 2021, primarily driven by investments from China and India. However, the majority of the FDI has been directed toward the manufacturing, construction, and services sectors, rather than the agriculture sector. Further, the studies on food security found that the EAC regional food security is persistently threatened by various challenges, including natural disasters, climate change, and ongoing global crises, such as the COVID-19 pandemic and the Russian-Ukraine war. These crises have led to volatile global and regional food prices, exacerbating the food security situation. However, there have been commendable efforts by EAC countries to adapt swiftly to the pandemic, with some nations even improving their Global Food Security (GFSI) score. Unfortunately, the cost of a healthy diet in Eastern Africa has risen due to these global shocks, estimated at USD 3.367 per person per day in 2020. Furthermore, it is noteworthy that women are disproportionately affected by these global shocks, facing challenges in economic opportunities and access to nutritious foods. The contribution of agriculture to GDP varies across EAC countries, with Burundi having the highest percentage and South Sudan the lowest. The remaining countries exhibit agriculture contributions ranging from 18.5% to 25.0% of their GDP. Although the EAC region encounters distinct climatic challenges, there are opportunities for collaboration in food production and trade during periods of surplus and deficits. The major food crops in the EAC, including maize, rice, potatoes, bananas, cassava, beans, vegetables, sugar, wheat, sorghum, millet, and pulses, play a vital role in addressing food security. Cereals contribute significantly to trade, with East African countries recording a total trade value of $182.6 million in cereals.
Rationale for the assignment
The agricultural sector has the highest economies of scale in the EAC, with products such as animal and animal products, dairy products, cereals, and food preparations leading the performance. While the aggregate Intra-industry trade has remained relatively stable, there was a decline of 32% in 2022, primarily attributed to reduced trade in grains, oilseeds, fats, and oils due to global shocks. Comparative advantage analysis reveals that each country in the EAC specializes in specific agricultural products. For instance, Rwanda excels in live animals, Uganda in milk, maize, and fish, Tanzania in fish and rice, and Kenya in fruits, nuts, vegetables, and meat. However, current reports show that the major challenges that hinder investment in the five value chains include production and productivity, technology development and transfer, post-harvest management and storage, trade and marketing, and policy-related challenges.
To effectively address the emerging global crises and enhance the resilience of EAC agri-food systems, it is imperative that the EAC takes proactive measures. These include building the capacity of different actors and players along the various value chains through increasing and diversifying food production, expanding intra and extra-regional trade in agriculture, and improving food value chains to reduce waste and enhance access to nutritious food.
The rationale for training on contract farming for agri-actors is rooted in the need to strengthen agricultural value chains, enhance productivity, and promote sustainable partnerships within the agricultural sector. Contract farming offers numerous benefits, including market access, improved production practices, risk sharing, and income stability for farmers. However, successful implementation of contract farming requires agri-actors to have a clear understanding of its principles, processes, and best practices. By providing training on contract farming, agri-actors such as farmers, processors, and buyers can acquire the necessary knowledge and skills to engage in effective contract farming arrangements. This training equips them with the ability to negotiate fair and mutually beneficial contracts, understand their rights and responsibilities, and effectively manage the various aspects of contract farming, such as quality control, pricing mechanisms, and dispute resolution. Moreover, training on contract farming fosters transparency, trust, and accountability among the parties involved, facilitating long-term partnerships, and promoting sustainable agricultural development. Additionally, by promoting good agricultural practices, resource management, and market-oriented production, the training contributes to increased productivity, improved product quality, and higher profitability for all stakeholders. Ultimately, investing in training on contract farming for agri-actors strengthens the agricultural sector, promotes inclusive growth, and contributes to food security and rural development.
Scope of Assignment/ Service Description
The objective of the assignment is to conduct training on Contract Farming in EAC in a bid to Enhance the competitiveness of the Agri-food Industry and Mitigate the Impact of Global Crises to Improve Food Security in the EAC Region.
The Consultant will work in partnership with the EABC Secretariat, its Focal points, and sector associations in all the EAC Partner States.
Duties
The Consultant is expected to
- Prepare Contract Farming in East Africa Community (EAC) capacity building manual/contents and identification of the right tools and methodology to transfer know-how to the target groups. The following could be considered but not restricted to:
- Lectures and knowledge transfer,
- Presentation including PowerPoint, PDF, Video, etc.,
- Case studies & training material,
- Individual and group assignments when applicable, and
- Question and answer session.
- Provide inputs and deliver a physical session to the identified target group/25 stakeholders on Contract Farming.
- In collaboration with EABC and its partners to share best practices on contract farming both socio-economic and environmental benefits.
- Develop a draft contract to be used by agri-business actors.
- Conduct the evaluation assessment of the capacity-building training.
Deliverables
Key deliverables for the assignment include:
- Training contents. This should provide a detailed presentation of the landscape of legal and regulatory structure of contract farming in the region. The presentation will also provide best practices on contract farming while offering a framework for contract farming in the region.
- A model contract. To enable stakeholders to develop contracts and negotiate terms.
- Reference material that trainees can refer to as resources for further capacity building.
- Report on key highlights and recommendations following the training.
- Duly filled evaluation of the capacity-building training.
Other tangible/measurable Outputs/Expected Deliverables:
- Understanding of contract farming schemes and types of contracts.
- How to implement contract farming with best practice examples from across the EAC and beyond.
- Understanding of potential funding opportunities and other relevant resources/access to information for successful implement contract farming.
- Understanding of social economic and environmental benefits of contract farming.
Qualifications and Experience
A suitable consortium should hold the following qualifications and key competencies Consultant:
- Academic and Professional Qualifications: A Postgraduate in, Agriculture, Food Sciences, Law, International Trade, or any other relevant field is required.
- Work Experience: Demonstratable experience in the legal and regulatory framework, agriculture development, negotiations, and or other relevant areas in the EAC.
- Recent experience in conducting similar work/assignments.
- Knowledge of EAC Integration is a must.
- Languages: Fluency in oral and written English is required as it is the main EAC working language. Good working knowledge of Kiswahili will be an advantage.
- Additional Skills: Communications, strategic development, and Contract Enforcement/Management/Dispute Resolution mechanisms.
- Nationality: The position is only open to Nationals of any of the EAC Partner States (Burundi, DRC, Kenya, Rwanda, Tanzania, Uganda, and South Sudan).
Budget
The assignment is expected to be conducted for 10 days at a rate of 140 Euros per man day. Air ticket(s) and travel accommodation shall be provided. EABC will cover any other additional costs.
Evaluation Criteria
| Technical Evaluation: | Maximum |
| Academic and Professional Qualifications: A Postgraduate in, Agricultural or Food Sciences, Law, International Trade any other relevant field is required. | 30 |
| Work Experience: Demonstrable experience in agriculture development or any other relevant areas. | 20 |
| Demonstration of recent experience in conducting a similar assignment | 25 |
| Demonstrated knowledge of contract development and enforcement of agricultural operations, and farming. | 25 |
| Total technical score | 100 |
The Application Process
All interested consultants/firms should send curriculum vitae and related documents to:
The Executive Director / CEO
East African Business Council (EABC)
Ninth Floor, Mafao House, Old Moshi Road P. O. Box 2617 Arusha, Tanzania.
Email: procurement@eabc-online.com with a copy to director@eabc-online.com
Clearly marked “CONSULTANCY TO CONDUCT CAPACITY-BUILDING TRAINING ON CONTRACT FARMING.”
Applications close on 29 June 2023 at (5.00 p.m.)
EABC is an equal opportunity employer thus recruitment is on merit and with no regard to one’s age, colour, gender, marital status, disability or impairment, race, or creed.
Canvassing shall lead to automatic disqualification.
Environmental aspects will be taken into consideration.