Madagascar Support for the development of sustainable agribusiness framework and the elaboration of project idea notes in Madagascar ER-Program area I. Project Background and Objectives Reducing emissions from deforestation and forest degradation (REDD+) is a mechanism that aims simultaneously to mitigate climate change through forest conservation and promote sustainable development. The principle of REDD+ is to provide financial resources for forested countries that reduce the emission of greenhouse gas (GHG) emissions from deforestation and forest degradation and/or enhance forest carbon stocks. The REDD+ Readiness Plan (R-PP) of Madagascar was approved in 2014 by the Participants Committee of the FCPF Readiness Fund. This approval allowed Madagascar to access resources for its implementation. A National REDD+ Coordination Bureau (BNC REDD+) was established within the Ministry of the Environment, Ecology, and Forests with the objective of providing strategic coordination from within the government with regards to building capacity to implement REDD+ (readiness) as well as developing the overarching framework for investments that will reduce emissions from deforestation and forest degradation. The grant from the Forest Carbon Partnership Facility (FCPF) to the Government of Madagascar is being used to support several key outcomes: the development of a national REDD+ strategy and associated social and environmental assessment of the strategy, a national forest reference emissions level, a robust and transparent forest monitoring system, a grievance mechanism as well as a system for providing information for how safeguards are being addressed and respected, and a strategy for engagement of the private sector in its REDD+ Program. The government of Madagascar recognizes the important role that the private sector can play in encouraging smarter land use and reducing pressure on forests and can have a pivotal role in scaling-up sustainable practices in emerging markets. The REDD+ program seeks to maximize private sector engagement and financial leverage. Its objective is to partner with private firms to support sustainable commodities growth and redirect market forces towards more sustainable land management practices. The REDD+ program in Madagascar seeks to engage a range of private actors in targeted landscapes, from multi-national corporates and large national actors, to emerging small and medium enterprises and smallholders. A specific emphasis is placed on engaging smallholders in sustainable practices through increasing their opportunities and support in sustainable production. The program seeks to explore ways to reduce initial barriers for private sector investment in activities that are consistent with the REDD+ approach, and attract further capital and expertise from the private sector, in a highly targeted approach.
II. Scope of Work The objective of the assignment is to assist Madagascar to develop a framework for agribusiness development. The recruited firm will be expected to use the outputs of relevant thematic studies and sections of the Emission Reduction Program Document to further develop project idea notes for prospective sustainable agriculture projects that incorporate the goals, approach, and leveraging capacity of the ER Program that is under development. Specifically, the firm will be expected to prepare: A. Sustainable Agribusiness Blueprint Develop an overall strategy for engaging private sector actors and increasing private investment in sustainable agribusiness (including Non Timber-Forest Products NTFP) in the ER Program area, considering local, regional, and international markets. This strategy should include: 1. An overview of the opportunities and barriers for sustainable agribusiness development at the country level and in the ER-Program area, including production capacity estimates, and barriers (structural, environmental, market) to reaching these capacities. Potential candidate market sectors, agribusiness and NTFP value chain, locations, and methods; 2. Prospects for growth including potential local, national and global international markets, scalability, and feasibility of reaching scales for profitability; 3. Commercial opportunity based on the expected revenues and costs; 4. Development impact including women s empowerment, youth employment, and improved smallholder opportunities; 5. Links with environmental goals of ER Program, including reducing GHG emissions from deforestation and forest degradation. 6. Prioritization of 8-10 agribusiness value chain B. Project Idea Notes for 4-5 Specific Agribusiness Prospective Projects Based on the findings and strategy presented in the Blueprint, develop several specific Project Idea Notes which could be developed as sustainable agribusiness projects. These should include: 1. Proposed project design and scope; 2. Full assessment of the project s technical and financial feasibility; 3. Capacity to access local, national, and international markets; 4. Prospective partners, including: a. Input providers (seeds, irrigation providers, fertigation solution providers, agrichemicals etc.); b. Farm management companies and individual farm mangers and expert agronomists; c. Technology providers (communications, monitoring, diagnostics, etc.); d. Extension/coordination support providers for smallholders. C. Support in initial contacts and discussions with prospective partners
Based on the results of the deliverables above, and the interest of the Program and relevant stakeholders in pursuing project ideas, support the Program by providing access and preparation support for initial contact and meetings with potential private sector partners, including: 1. Drafting briefs to support government preparation for meetings with prospective partners; 2. Provide introductions and in-meeting support, as requested; 3. Based on discussions with prospective partners, draft follow-up memo with advice on next steps. III. Deliverables and Timeframe The deliverables should be: 4. Deliverable 1: A initial report including the methodology and the planning of the mission; 5. Deliverable 2: A report including the strategy for sustainable agribusiness blueprint; 6. Deliverable 3: Project Idea Notes for 4-5 agribusiness prospective projects Each deliverable will be sent 10 days before expected date of delivery shown in the table below, in order to give time to the National REDD+ Coordination Board (BNCR) BNCR to revise/validate them. Deliverable Expected date Deliverable 1 May 1, 2017 Deliverable 2 May 30, 2017 Deliverable 3 June 30, 2017 IV. Reporting Arrangements The consultant will report to: The WB Task Team, led by Erik Reed (ereed1@worldbank.org), Benjamin Garnaud (bgarnaud@worldbank.org), Tracy Johns (tjhons@worldbank.org) and Mampionona Amboarasoa (mamboarasoa@worldbank.org). BNCR, Mamitiana Andriamanjato (ngamamitiana1010@yahoo.fr), and Frédéric Baron (frederic.baron.88@gmail.com) V. Required Qualifications The firm will have a team with the following qualifications:
Strong experience in medium and large-scale agricultural projects with multiple parties along the agribusiness value chain, preferably including work experience within private sector. Strong network of companies engaged in agribusiness in Africa and in other market potential countries. Experience designing and implementing economically viable, socially inclusive and environmentally sustainable agricultural business models. Experience with carbon finance (CDM, REDD+, etc.). Experience integrating smallholders into commercial projects. Experience in natural resource use and climate resilience for food and agricultural value chains. Ability to act as a catalyst to secure commercial agribusiness companies, investors or other stakeholders to participate in or support projects that drive commercial transformation along the value chain. Experience with socially inclusive agribusiness practices. Experience in determining technical and market feasibility of agribusiness projects. Experience in applying environmental standards to natural resource use or agribusiness projects. French and English language skills. Knowledge/experience in Madagascar is an advantage.
ANNEX 1: ER Program area