DAT ToR - Business-Accelerator

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Ministry of Agriculture and Livestock Development

State Department for Agriculture.


REPUBLIC OF KENYA

Project Name: National Agricultural Value Chain


Development Project (NAVCDP)

TERMS OF REFERENCE (TOR)

FOR

BUSINESS ACCELERATION SERVICES FOR DISRUPTIVE AGRICULTRAL


TECHNOLOGIES (DATs) FOR THE NATIONAL AGRICULTURAL VALUE
CHANIN PROJECT (NAVCDP)

December, 2023

Client:

The Principal Secretary

The Ministry of Agriculture and Livestock Development (MoALD)

P.O Box 30028-00100

Nairobi

Kilimo House, Cathedral Road

Nairobi

Email: [email protected]
1. Background information

1.1. Introduction
The National Agricultural Value Chain Development Project (NAVCDP) is a Government of
Kenya project with co-funding from the World Bank and the National Government. The project
will be implemented in 32 counties targeting to increase market participation and value addition
for farmers in select value chains selected for NAVCDP and coordinated by the NPCU. The
project will be implemented over 5 years commencing September 2022 to December 2027.
NAVCDP will build on the strong foundation laid by NARIGP and KCSAP. The project will
deepen investments in existing interventions around productivity enhancement, community-led
farmer extension, water management investments, and data-driven value chain services.
Additionally, the project will introduce intensified infrastructure investments into select value
chains to support aggregation and commercialization, scale up value addition and market linkages
with agribusiness off-takers and SMEs, support FLID, enhance access to credit and financial
services and develop proof of concept around Urban Food Systems and peri-urban agriculture in
select clusters. The project will leverage the strong community institutions comprising over
37,000 farmer CIGs, trained Community Driven Development Committees (CDDCs), 500 FPOs,
and strong implementation capacity at the national and county levels. Project investments such
as access to credit, climate information services, and development of irrigation and market
infrastructure are envisaged to be value chain neutral and will universally support smallholder
transition towards commercial agriculture.

1.2. Project Development Objectives and Indicators

The development objective of NVCDP is to “increase market participation and value addition for
targeted1farmers in select value chains in project areas”. Progress towards achievement of this
objective will be monitored with following three indicators:
i. Farmers reached with agricultural assets or services under the project of which at least
50 % are female farmers
ii. Percentage increase in farmers selling more than 50 percent of their produce in the
market
iii. Percentage increase in farmers selling produce in value added form (both on farm and off
farm)

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1.3. Project Components

Component 1: Building Producer Capacity for Climate Resilient Stronger Value Chains.
Interventions and activities in Component 1 will be geared towards building producer-level
capacity for enhanced market participation and transition towards commercial agriculture with
farmer groups and farmer producer organizations (FPOs) as primary platforms for program
delivery. The component will drive sustainable productivity enhancement, climate-resilient and
nutrition-sensitive production, and increased market participation for project farmers through
improved access to credit, inputs, and digital extension services while linking them to high-
capacity Producer Organizations (FPOs). Leveraging the existing institutional base of farmer
CIGs/VMGs already mobilized under NARIGP and KCSAP, the project will build producer-level
capacity for transition to high-value crops, adoption of climate resilient production technologies,
and increased value addition at the primary level. Linkage of CIGs to FPOs will be universalized
for stronger market participation and high-quality technical assistance support will be extended
to FPOs for building long-term agri-business capacity. Inclusion of women smallholders will be a
key focus area with at least 50 percent of CIG members supported under the project estimated
to be women farmers.
Component-2: Climate Smart Value Chain Ecosystem Investments- This component will focus on
supporting enabling ecosystem investments identified as part of county level, regional level
(spanning several counties), and national value chain development plans. These ecosystem
investments, aimed at improving access to irrigation, boosting market participation of small
farmers, and catalyzing higher value addition, will include; a) Water resource management
interventions comprising of Farmer-led irrigation development (FLID) interventions and
investments including those related to water harvesting and water use, b) Investments into
market support and value addition infrastructure at county level, c) Investment support for wide-
scale adoption of Digital Agriculture Technologies and integration of Big Data platform for farmer
services, and d) Investment support for active linkages with agriculture research institutions,
technical assistance and private sector linkages. Considering the level of operation and potential
scale, ecosystem investments have been categorized under four sub-components. In addition to
project resources, this component will strongly focus on crowding in relevant investments from
ongoing development initiatives, government programs, and private-sector partnerships.
Component 3: Piloting Safer Urban Food Systems- The overall objective of this component is to
strengthen: (i) urban and peri-urban agriculture and (ii) urban market infrastructure. The
component will support the rollout of Urban Food System pilots in Nairobi and parts of Kiambu
and Machakos as the peri-urban areas. The focus will be to demonstrate proof of concept of an
efficient, climate-smart, and safe urban food system. The component will support the
development of safer food production systems, enable stronger linkages between peri-urban
clusters and urban markets, improve direct farmer-to-urban consumer linkages, build higher
consumer awareness around food safety and nutrition, and facilitate improved institutional

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coordination and policy environment for urban food safety. The component will build on the
recently completed Nairobi City County Food System Strategy and Implementation Plan (the
strategy was supported by the Food and Agricultural Organization (FAO).
Component 4: Project Coordination and Management- This component will finance activities
related to national and county-level project coordination, including planning, fiduciary (financial
management and procurement), staffing and human resource (HR) management at the national
level, environmental and social safeguards implementation, monitoring and compliance,
development of the MIS and ICT, regular M&E, impact evaluation, communication, knowledge
management, and citizen engagement. In addition, in the event of a national disaster affecting the
agricultural sector, the project through this component

1.4. Project Target and Coverage


Project beneficiaries: NAVCDP aims to support mainly 500,000 small scale farmers who will be
transitioning or have potential to transition from being subsistence farmers to commercial
farmers or are selling only a small percentage of their produce commercially. Other beneficiaries
of the project include value chain actors at various levels including extension workers,
aggregators, logistics support providers and SMEs operating within the value chain. The project
will place a strong focus on inclusion of women farmers within the supported value chains.
Value chains to be supported: 9 value chains have been selected based on a thorough qualitative
and quantitative assessment. The selected value chains based on their ranking are: Dairy, Coffee,
Chicken, Fruits (Avocado, Banana, Mango), Vegetables (Irish potatoes, Tomato), Apiculture,
Pyrethrum, Cashew nut and Cotton.
NAVCDP will be implemented in 32 counties spread across 7 geographical clusters. The selected
counties and regions are as below:
(i) Central (5): Nyeri, Muranga, Kirinyaga, Kiambu, Nyandarua
(ii) Eastern (6): Machakos, Kitui, Makueni, Embu, Meru, Tharaka Nithi
(iii) Rift Valley (8): Nandi, Uasin Gishu, Trans Nzoia, Narok, Kajiado, Nakuru, Bomet, Kericho
(iv) Western (4): Kakamega, Busia, Bungoma, Vihiga
(v) Nyanza (6): Homa Bay, Migori, Kisii, Kisumu, Siaya, Nyamira
(vi) Coast (3): Taita Taveta, Kilifi, Kwale

Under component-2: Climate Smart Value Chain Ecosystem Investments, sub component 2.3
Investment support for wide scale adoption of Digital Agriculture Technologies and integration
of Big Data platform for farmer services, the project envisages to onboard a business accelerator
to provide various resources, mentorship, and networking opportunities to accelerate the

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growth/ scale of the agripreneur model and increase their chances of success through building
entrepreneurial skills to enable them generate income streams towards sustainability.
The inception of agripreneurs was achieved through the profiling and mapping of farmers and
agricultural value chain stakeholders. The objective of this initiative was to develop a
comprehensive and centralized dataset that would facilitate effective agricultural planning, farmer
identification, resource allocation, disaster preparedness and response, market access, research
development, and policy formulation. Agripreneurs were recruited from forty-five counties, and
selection was done at the ward level. The counties underwent the first level of sensitization on
the role of agripreneurs beyond data collection.

The inception of agripreneurs was achieved through the profiling and mapping of farmers and
agricultural value chain stakeholders. The objective of this profiling and mapping exercise was to
develop a comprehensive and centralized dataset that would facilitate effective agricultural
planning, farmer identification, resource allocation, disaster preparedness and response, market
access, research development, and policy formulation. The recruitment of agripreneurs from
forty-five counties has been a crucial step towards achieving this objective. The agripreneurs
undergo a rigorous selection process at the ward level to ensure that the most qualified
candidates are selected. The counties have also undergone a sensitization process to equip them
with knowledge on the role of agripreneurs beyond data collection.

2. Objective of the Assignment

NAVCDP’s Coordination Unit (NPCU) is thus seeking applications for qualified private sector
institutions with relevant track record and experience in Disruptive Agricultural Technologies
(DAT) to provide the services of a Business Accelerator (BA) to support project implementation
and enhance the achievement of the project results.

NAVCDP will roll out the Agripreneur model in the 32 counties. The Agripreneurs who were
recruited in the counties will be screened through a participatory process by the implementing
counties and the BA.

The Business Accelerator (BA) is a national-level service provider that caters to Agripreneurs at
the national, regional, and county levels. The BA delivers mentorship support to enable
Agripreneurs to sustainably provide e-extension services. This initiative is backed by resources
and tools that help to inculcate agribusiness and networking skills in the Agripreneurs. The BA
additionally offers demand generation services for agro-inputs, services, and market linkages. The
BA's expertise extends to the fulfillment of products and services, record-keeping, payment
management, commission generation, and output management for a set of 500 farmers per
Agripreneur.

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To provide further support, the BA deploys Business coaches in every county to provide
backstopping support to Agripreneurs. This initiative helps create linkages and connections with
Agtechs, value chain actors, SACCOs, FPOs, and others to grow their businesses for long-term
sustainability. This kind of support is critical to Agripreneurs as it helps to improve their business
acumen and create a lasting impact on the agricultural sector.

3. Scope of the consulting services and specific tasks


The scope shall include the following tasks:

• Developing and implementing the Agripreneur model in the 32 targeted counties with full
support.
• Providing Agripreneurs with top-notch incubation services, including business
development, coaching, and mentorship to empower them to succeed in the agriculture
industry.
• Equipping Agripreneurs with a thorough understanding of their customers (farmers),
competitors, market, products, services, pricing, customer service, and financial
management to enable them to stay ahead of the curve.
• Conducting a thorough assessment of the training provided by agtechs and value chain
actors on their respective innovations, technologies, sales process, pricing
terms/conditions, after-sales service, troubleshooting, and commissions paid to
Agripreneurs.
• Bundling services at the last mile to improve overall efficiency.
• Enhancing access, dissemination, and assessment of data services in the Big Data platform
at the National, County (CPCU, Agripreneurs), and community level (smallholder
farmers, community structures, and business entities).
• Developing a quality assurance mechanism for Agripreneurs for real-time evaluation and
appraisals in partnership with the CPCU.
• Deploying county mentors in every implementing ward in every county to provide
Agripreneurs with unwavering support and help create linkages and connections with the
Agtechs, value chain actors, SACCOs, FPOs, and others to grow their businesses for long-
term sustainability.

3.1. Specific Tasks

The Business Accelerator shall:

In order to ensure the successful implementation of the agricultural agripreneur model, the
development of a comprehensive work plan is necessary. The work plan must provide a clear
outline of the activities that will be undertaken, with an emphasis on their respective timelines.
Additionally, it should include a detailed approach to the rollout of these activities, as well as an

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incubation and mentorship plan. Lastly, a monitoring and evaluation assessment tool/plan should
be incorporated to ensure that the outcomes of the program are accurately measured.

In parallel to the development of the work plan, it is also crucial to establish a database of
agripreneurs. The database should be created with a profiled and mapped approach, with gender
disaggregation as a priority. Similarly, digital ecosystem actors, both existing and potential, should
be recorded within the database.

To support the development of key business skills and knowledge among agripreneurs, a calendar
of educational events should be developed. These events can include workshops, seminars, and
training sessions. Furthermore, access to networks and potential partners must be granted to
support business development and farmers' engagement. To create a collaborative and supportive
environment for the various levels of the digital ecosystem, it is essential to foster engagement
at all levels of the program.

To provide income stream opportunities, a validated service catalog should be developed. This
catalog should include products and services that are relevant to the program's objectives.

To ensure the sustained impact of the program, the development of an exit strategy and a post-
acceleration support plan is essential. The plan should outline how the program's impact will be
measured and sustained after its conclusion.

To track the program's progress, monthly reports should be submitted. These reports should
provide a detailed overview of the program's progress, including any gaps and learnings.
Additionally, the report should include the number of agripreneurs screened with gender
disaggregation, the number of agripreneurs fully developed with gender disaggregation, and the
profiled and mapped data and digital ecosystem players. Finally, the reports should indicate the
number of farmers' engagements and the linkages created.

4. Duration of assignment

The term of this contractual agreement is set for a period of eighteen (18) calendar months,
commencing from the date of commencement of the contract. The agreement is subject to
renewal based on the performance of the parties involved.

5. Reporting requirements and timelines for deliverables/reports

The Business Accelerator, working closely with the Client, will be responsible for writing all
reports, including the inception report, progress reports, and final report. These will be formally
submitted to the Principal Secretary, State department of Agriculture, Ministry of Agriculture and
Livestock Development (MOALD) through the National Project Coordinator.

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The Business Accelerator shall submit all draft and final outputs/reports to the Client in
accordance with the schedule indicated in Table 1 below:

Table 1: Reporting requirements and timelines for deliverables/reports

S/No. Deliverables/Reports Timeline for Format of presentation of


submission of Deliverables/Reports
deliverable/report
after signing the
contract
1. Inception report of the 3 hard copies and 1 soft copy
Work Plan to include: an in pdf format
2 weeks
incubation and mentorship
plan; calendar of events
2. Draft strategy on 3 hard copies and 1 soft copy
mobilization/ screening and in pdf format
4 weeks
incubating the agripreneurs

3. Database of Agripreneurs 3 hard copies and 1 soft copy


and) ecosystem partners ( 8 weeks in pdf format
mapped per at ward level)
3.1. Assign wards and setting
targets of assessing farmers
engagements - creating/
strengthening linkages

3.2. Mapping of public/private


sector actors and engaging 20 weeks
them to the ecosystem

3.3. Recruit, Select and on-board


Business Coaches to mentor
at county level

4. Develop an exit strategy and 3 hard copies and 1 soft copy


22 weeks
a post-acceleration Support in pdf format
5. Project management No. of update reports Quarterly
with lessons learnt

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All reports shall be submitted to:

The NAVCDP National Project Coordinator email [email protected] and copied


National Digital Agricultural Lead

6. Payment schedule
The proposed payment schedules based on satisfactory performance of the contract which will
be negotiated with the successful Business Accelerator will be as presented in Table 2 below.

Table 2: Proposed payment schedule

S/N Percentage of the


Deliverable/Reports
contract amount
1 Submission and acceptance of Inception report 20 %
2 Roll-out of the activities / kick-off and completion of
Agripreneur incubation 50 %

3 Submission of final report – Achieved milestones 30 %

Upon submission of every report, the Business Accelerator is expected to make a presentation
of the submitted report to the Client in a scheduled meeting. The acceptance of the report shall
be recorded in the minutes of the meeting.

7. Minimum Business Accelerator’s qualifications and experience requirements

The shortlisting criteria are:

a) Core business and years in business: The firm shall be registered/incorporated as a


consulting firm with vast experience in disseminating/ enhancing interaction and use of digital
and disruptive Agricultural technologies dissemination, agripreneur building and
strengthening and or related field for a period of at least eight (8) years.
b) Relevant experience: The firm shall demonstrate as having successfully executed and
completed at least one assignment of similar nature, complexity and in a similar operating
environment in the last five (5) years. Details of similar Assignments-Name and address of
the client, scope, value, and period should be provided and submitted Expression of Interest
should include enumeration of these similar past assignments.

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c) Technical and managerial capability of the firm: The firm shall demonstrate as having
the requisite technical capacity including relevant equipment, tools, software etc and
managerial (to include human resource architecture) capacity to undertake the assignment
in the submitted company profile(s).

7.1. Qualifications and Required Personnel


The firm should possess a combination of education, skills, and practical experience and be
responsive to the dynamism of the digital business and entrepreneurship.
The successful institution should have experience in starting and managing a business; participate
in startup programs, incubators, or accelerators can provide hands-on experience; proficiency in
digital technologies, online marketing, e-commerce, and understanding of digital trends; familiar
with emerging technologies like artificial intelligence, and data analytics; understand the
agricultural and related sectors to support the digital business acceleration; knowledge of market
trends, customer behavior, and competitive landscape; Strong networking skills to build
relationships with startups, investors, mentors, and other key stakeholders; effective
communication skills for presenting ideas and interacting with diverse team; ability to analyze
market data, assess business models, and develop effective strategies for startup growth;
problem-solving skills and the ability to adapt to changing market conditions; and a commitment
to continuous learning and staying updated on industry trends is crucial.

7.2. Team Composition and Minimum Qualification and Experience Requirements


for the Key Experts

The Firm or Institution is required to demonstrate its capacity to provide the services described
in this TOR by presenting a team of well-qualified and experienced professionals. The
professionals should possess the necessary resources, including equipment and software, to
undertake assignments of such nature. The key professionals, along with any other experts
deemed appropriate, shall personally carry out the services as described in this TOR. It is
imperative to note that the quality of the services provided will depend on the experience and
expertise of the team, and the availability of resources. The key experts to be provided by the
Business Accelerator for this assignment are as follows: -

7.2.1. Team Leader (Data and Digital Specialist)

The Lead Consultant/ expert should have a minimum of a Masters’ degree qualification in degree
in business administration, entrepreneurship, economics, computer science, or a related field.
Specialized courses or certifications in digital marketing, data analytics, technology management,
or startup acceleration is an added advantage.

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7.2.2. Extension/ Community Development Specialist

The expert must meet the minimum qualifications outlined below:


i. A bachelor's or master's degree in community development, sociology, anthropology,
rural development, public administration, social work, or a related field. Training or
certifications in community development, digital extension education, or related areas
is an added advantage.
ii. Practical experience in community development projects, outreach, or related fields.
iii. The ability to facilitate workshops, conduct presentations, and engage in public
speaking.
iv. Strong networking skills to build relationships with farmers, suppliers, distributors,
and other stakeholders in the agricultural value chain, ability to collaborate with
government agencies, agricultural organizations, and industry partners.
v. Ability to build positive relationships with community members, leaders, and partner
organizations.
vi. Cultural competence and sensitivity to work effectively in diverse settings.
vii. Understanding of local, regional, and national policies affecting communities and the
ability to navigate relevant regulations.

7.2.3. Monitoring and Evaluation Specialist

The expert must meet the minimum qualifications outlined below to ensures that data-driven
decisions contribute to the overall success of projects and programs.:

i. Bachelor’s degree in M & E studies, community development or related social sciences.


ii. Familiarity with digital monitoring tools and platforms, including data collection apps,
online surveys, and other software solutions.
iii. Knowledge of databases and information systems used in M&E. skills in data analysis
and interpretation, with the ability to derive actionable insights from agricultural data.
iv. Skills in conducting community needs assessments, analysing data, and identifying key
issues affecting communities.
v. Strong understanding of agricultural practices, crop management, livestock
management, and overall knowledge of the agricultural value chain.

7.2.4. Agricultural Digital Innovations Specialist

The specialist is expected to apply cutting-edge solutions to address challenges and enhance the
sustainability and productivity of agricultural practices.

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Identify and develop digital innovations to reduce operational inefficiencies and transform work
processes. Facilitate understanding of good digital experience and use data-driven methods to
enhance customer digital engagement
The expert must meet the minimum qualifications outlined below:

i. Bachelor’s degree in a relevant field such as Information Technology, as digital innovation,


design thinking,
ii. Relevant work experience in digital innovation, technology, or related fields; Experience
in developing and implementing digital strategies or solutions; Familiarity with emerging
technologies and trends in the digital space.
iii. Knowledge of farm management software, data analytics, and other digital tools used in
agriculture.

8. Estimated Time Inputs for Key Experts


The number of key experts and the estimated time input for each key expert for the assignment
are presented in Table 3.

Table 3: Estimated Time Inputs for Key Experts


Key Experts Time-inputs in person-months
Team Leader – Data and Digital Specialist 6 months
Extension/ Community Development Specialist 12 months
Monitoring and Evaluation and Learning Specialist 4 months
Agricultural Digital Innovations Specialist 12 months
Total person months 34 Months

9. Management and accountability of the assignment

Throughout the course of the consultancy process, the Business Accelerator will provide the
client with regular updates regarding the assignment. These updates will contain a summary of
the assignment's status, including the progress of tasks, allocation of resources, schedule updates,
coordination with county governments, and other key factors. Additionally, any issues that
require attention will be highlighted. It is imperative that the client and Business Accelerator are
in agreement regarding the scope and progress of the assignment, and that there is an opportunity
to review any challenges or support needed for the assignment's successful completion.

The assignment will be conducted with MoALD and SDA as the clients, with the Principal
Secretary MoALD serving as the clients' representative. The Project Coordinator - NAVCDP,
under which this assignment will be housed, will oversee overall quality control and coordinate
various aspects of the project. The Business Accelerator will report to the NDAL, who in turn

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will report to the Project Coordinator. The NPC will share updates on the consultancy's progress
and activities with the World Bank.

The Project Digital Agricultural Lead, on behalf of the client, will manage the day-to-day
coordination of the consultancy, while the Business Accelerator will appoint a counterpart. These
two individuals will serve as the primary points of contact for coordinating logistics and
administrative details for events such as field excursions for data collection, as well as consultative
and dissemination workshops.

10. Obligations of the Client

The Client shall assume the following responsibilities:

i. The day-to-day management of the contract, including the processing of funds for
disbursement to the consultancy.
ii. Provision of secondary data source(s) required by the Business Accelerator.
iii. Facilitation of activities as arranged by the Business Accelerator through liaison with key
stakeholders.
iv. Provision of operational support where necessary for technical inputs, obtaining approval
as required.
v. Ensuring quality of the consultancy outputs through timely review of reports.

In fulfilling these duties, the Client will contribute significantly towards the success of the project.
The timely and efficient administration of contractual obligations is essential to maintaining the
project's momentum and achieving its objectives. The Client's efforts will be instrumental in
ensuring the Business Accelerator receives the necessary support to deliver a successful
outcome.

11. Obligations of the Business Accelerator

The Business Accelerator assumes responsibility for the costs of transportation, accommodation,
insurance, airtime, and any other related expenditures. The Business Accelerator is expected to
undertake activities that ensure the outputs are consistent with professional and legal
requirements. Furthermore, the data must be generated through a consultative process that
guarantees authenticity and ownership.

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12. Propriety rights of Client in reports and records

The Business Accelerator is tasked with submitting the requisite reports to the NAVCDP NDAL
within the stipulated schedule. The NAVCDP shall be regarded as the substantive owner of the
study reports and shall hold copyright ownership thereof. All data and information that are
obtained during the assignment from respondents, the MoALD, and the World Bank, are to be
treated with utmost confidentiality and are to be used solely in connection with the execution of
these Terms of Reference. All intellectual property rights that arise from the execution of these
Terms of Reference are assigned to the MoALD. The content of written materials that are
obtained or prepared in the course of this assignment shall not be disclosed to any third parties
without the expressed advance written authorization of the MoALD and/or the World Bank.

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