RFP-IRQ-DIY-2022-002- Capacity Building and Technical Support Market System Development.

Terms of Reference

Capacity Building and Technical Support

Market System Development

Organization

Danish Refugee Council

Country

Iraq

Project Title

Enhanced economic and social inclusion of vulnerable Iraqi people through equitable and sustainable agriculture and food market systems’ growth

Position type

Consultancy Services

Consultancy type

Capacity building of DRC’s Iraq Economic Recovery staff on “Market Systems Development”

Duration

TBD as per training course requirement

Working with

Economic Recovery Coordinator

Application deadline

CONTEXT

As major military operations against the Islamic State in Iraq concluded in late 2017, the situation in Iraq entered a new stage. National and regional authorities, as well as humanitarian agencies began focusing on rebuilding the economy and destroyed infrastructure to facilitate returns of internally displaced persons (IDPs) to their areas of origin. Although over 4.8 million Iraqis have returned home as of July 2021, 1.19 million Iraqis are still internally displaced (IOM, 2021) and significant challenges remain. Rebuilding infrastructure and supporting livelihoods are key priorities for both national and international actors. This is particularly true in the most conflict-affected governorates and districts, many of which were core agricultural areas before the conflict.

The agricultural sector in Iraq is the second largest contributor to the GDP, bested only by the oil. In 2017, agriculture contributed 4.8 percent to Iraq’s GDP and employed 19 percent of the workforce (WB, 2020). Thus, agriculture development is critical to allow Iraq to achieve their vision of a more diversified economy, in addition to generating employment and boosting private sector engagement. Small-scale farming systems dominate the sector and are typically characterized by traditional methods and minimal capital investments, resulting in low productivity. There is also limited social capital and positive outcomes from group interactions, causing poor integration along the supply chain.

Approximately 30 percent of Iraq’s population lives in rural areas. These populations are usually more vulnerable to food insecurity than urban households. According to the 2016 Comprehensive Food Security and Vulnerability Analysis (CFSVA) (WFP, 2012), 80 percent of the poorest quintile in rural areas were classified as either food insecure or vulnerable to food insecurity compared to 67 percent of those in the poorest quintile in urban areas. According to FAO, agriculture is the largest source of employment for those living in rural areas (FAO, 2017). Agriculture is also an important sector for female employment; 23 percent of women working in Iraq are employed in the sector (WB, 2020).

DRC recently conducted labor market assessment shows high level of unemployment among the returnee’s population in their areas of return. In one of the districts, Al-Khalis of Diyala Governorate, unemployment rate was recorded up to 48%, among which 81% are women (DRC LMA Al-Khalis, July 2021). The reasons for this high unemployment are attributed to lack of jobs in local markets, lack of access to finance to re/start any income generating activities and low level of technical skills. Lack of access to employment and financial hardships are compelling people to adopt harmful coping strategies which puts them into greater risks in longer term.

INTRODUCTION

DRC is a longstanding INGO in Iraq, with an extensive program providing consumption and economic recovery support to conflict affected populations across the country. The beneficiary profile of the economic recovery program includes all categories of population, i.e., IDPs, refugees, returnees, and host communities. The program portfolio on economic recovery is divided into two major areas, i.e., relief and recovery.

1. Relief: Under this, DRC provides consumption support to extremely vulnerable displacement and conflict affected population. The assistance is provided through multi-purpose cash grants to households who are selected based on the criteria measured using proxy means text methodology (PMT)
2. Recovery: Through its economic recovery interventions, DRC uses multiple programming approaches which are further divided into two areas: i. self-employment, and ii. wage employment.

DRC’s program is designed to serve as a bridge between humanitarian assistance and longer-term recovery and development strategies by identifying entry-points to assistance for households at different vulnerability stages: addressing basic needs and reducing reliance on negative coping strategies for extremely vulnerable households, and job creation and income generation for vulnerable households for sustainable livelihoods.

DRC’s Iraq economic recovery program strategy is transitioning toward longer term recovery and development with application of market systems development approaches. Agriculture is one priority sector identified for recovery and longer-term development which has potential to create employment and provide sustainable income opportunities for poor and vulnerable people.

DRC ECONOMIC RECOVERY PROGRAM OVERVIEW

DRC has implemented major economic recovery project in Iraq which were focused on economic relief and recovery activities with response modalities includes are emergency cash transfers, Cash for Work (CfW), business grants to MSMEs, vocational trainings, and facilitating access to job placement opportunities for vulnerable individuals through private sector engagement. Through these projects, DRC has been able to reach thousands of vulnerable communities including IDPs, host communities, Syrian Refugees, and returnees. These interventions have contributed to building the resilience of target communities as they rebuild their homes, recover livelihoods, restore public infrastructure, and restart local economies. Guided by its economic recovery program country strategy for Iraq, DRC is building its future programming with strong focus on market systems development (MSD) approaches for longer term economic empowerment. DRC has recently launched a pilot program with MSD approach which defines its objective as, ‘’inclusive agriculture and food market systems’ growth contributes to strengthen economic and social wellbeing and resilience of vulnerable Iraqi men, women, and youths through increased access to income and employment opportunities’’

The MSD program on agriculture market systems has following core areas:

1. Establishing system actors’ partnership for shared resources, responsibilities, and risks to create synergies and contribute toward improving the market enabling environment.
2. Increased farm level productivity in selected agriculture value chains through market led initiatives which ultimately is expected to contribute toward increased income by small holder farmers in these value chains.
3. Applying MSD approaches to selected value chains with potential in creating increased employment opportunities for vulnerable and poor households who are supported through activities like, skill development, financial support, and linkages for their increased capacities to benefit from market development activities.
4. Improve functioning and performance of micro-finance services through formal mechanisms by working closely with MFIs to increase their capacities, coverage, and expanded product, services.
5. Build private sector partnership with lead market actors in selected value chains with the purpose to develop and introduce improved business models which are inclusive of small-scale producers and vulnerable households.
6. Create spaces for women, youths, person with disabilities within the market systems with their improved functioning and active participation.
7. Increased market level activity which has the capacity to create opportunities and ease the entry for new micro-small enterprises and create potential of growth of existing enterprises.
8. Diversifying the livelihood options for the poor households through investing in small scale businesses related to agri-entrepreneurship, and other innovative approaches.

OBJECTIVE & SCOPE OF THE ASSESSMENT

The overall objective of the consultancy assignment is to build the MSD programming capacity, design internal systems and structures, and strengthen technical capacity of DRC’s staff on market systems development approaches.

DRC aims to work with a team of technical experts (trainers and coaches) from reputable training institute with strong expertise on providing capacity building and technical support on market system development

The specific objectives and scope of the consultancy work include,

1. Strengthening the conceptional understanding, system analysis, interventions design, implementation modalities and monitoring & evaluation skills and expertise of DRC Iraq’s economic recovery team on market systems development approaches.
2. Conducting analysis of organizational and market readiness to apply market systems development approaches.
3. Provide technical support in conducting detailed market systems’ diagnostics and build analytical capacities of the staff in market system and value chain development work.
4. Provide continuous coaching and mentorship support to program team in implementing the market system development approaches in selected value chains.
5. Technical support to program team in in private sector engagement, establishing partnership relationships and building facilitation skills with systems’ actors.
6. Supporting the development of impactful business models with potential to bring desired changes in selected market system.
7. Developing market systems tool kit and training of staff in application of toolkit through mentoring, coaching and simulation exercises and using other practical means.
8. Staff developed the capacities to identify and work with relevant market players in potential market systems.
9. Staff developed clear understanding of linking vulnerabilities, poverty, gender inequalities to market system development.

METHODOLOGY

Applicants needs to provide details on proposed methodology of capacity building. DRC will give preference to mix methodologies, i.e., in-person delivery of trainings with remote coaching support over an extended period in early phases of project implementation cycle. The proposed methodology at application stage at minimum will include.

1. In-person training plan with list of modules to be covered and practical work.
2. Frequency of coaching and mentoring plan, duration, and specific topics to be covered. In addition, flexibility on providing ad-hoc and need based technical facilitation will be given preference.
3. Describe methodology of conducting system level diagnostics.
4. Development of market system facilitation and implementation toolkit with development of practical tools and templates to be used in program’s implementation.

DELIVERABLES

1. Inception meeting and inception report with DRC’s senior management program team on the overall process of capacity building project. The inception reports include detailed work-plan and methodology of delivering the outputs of the assignment.
2. Key DRC staff are trained in conceptual, implementation, and monitoring tactics of MSD as described in scope of work section.
3. Provided technical support to program team in detailed study of selected market system and produced a report with recommended interventions, design modalities, and MSD framework refined/improved based on the study findings.
4. Market system toolkit (tools and templates) developed for DRC and contextualized to be used throughout program implementation stages and training providing on application of tools.
5. Coaching and mentorship sessions delivered to program staff during the implementation phase.
6. Revised MSD MEAL framework developed together with program team.

CONSULTANCY PERIOD

The consultancy period initially is expected to be of six months, starting from last week July 2022 till December 2022. Applicant needs to provide tentative schedule of activities required to complete the overall scope of the work. Therefore, the estimated overall completion period to be within 150 calendar days.

REQUIRED QUALIFICATION, EXPERIENCE AND SKILL

Applicant, organizations/institutes or firms, with individuals specialized and highly experts in market system development with proven experience of MSD work in different context. The proposed team for this assignment is expected to have strong technical expertise and practical experience required to deliver the scope of work and deliverables tailored to needs and professional capacities of the target group. The consultancy service provider should have:

• Individuals with a minimum master’s degree in business management, banking, finance, social-sciences, development studies or equivalent.
• Strong technical skills and experience on MSD programs, institutional capacity building and organizations system development, and provision of technical assistance.
• Expertise and proven capacities in designing MSD toolkits comprised of all necessary tools required in entire MSD program cycle. List of tools to be part of toolkit should be provided in the proposal.
• Demonstrated technical skills and knowledge of MSD data analytics, both quantitative and qualitative.
• Individuals with proven capacity and experience of developing successful business models in MSD programming.
• Demonstrated availability of existing MSD training programs.
• Demonstrated capacity through experience and successful negotiation of working with private sector companies in MSD programs.
• Strong facilitation and capacity development techniques proven through existing training delivery approaches.
• Proven experience and skills in providing coaching and mentorship to programs with MSD approaches.
• Familiarity with the local context, security situation and agriculture sector development in Iraq, particularly in targeted Governorate
• Only registered reputable companies/firms can apply with team of experts with proven experience and expertise.
• Awareness of cultural and social sensitivity of Iraq.