B. Request for business proposals to be supported under Commercialization challenge Fund:
The Uganda Government through the Ministry of Agriculture, Animal Industry & Fisheries (MAAIF) is implementing the ATAAS project which comprises of National Agricultural Advisory Services (NAADS) phase II and Agricultural Research and Training Project (ARTP) III during the period 2010/2011 to 2014/2015. ATAAS Project is jointly financed by the GoU, and DPs including IDA, GEF, IFAD, EU and DANIDA. Component four of ATAAS is “Supporting Agribusiness Services and Market linkages”. The objective of this component is to promote the integration of smallholders in commodity value chains by supporting collaboration between Agribusiness, Farmers, Agricultural Advisory Service providers, and Researchers to create viable, sustainable Market and Agribusiness Linkages.
Farmer associations, Nuclear Farmers, Agro-processors, Traders, and other Agribusinesses will be eligible to compete for matching grants under Commercialization Challenge Fund (CCF window I) and will offer specialized professional advisory services as well as provide improved technologies, bulking and storage facilities, value addition and agro processing services, and linking small holders to niche markets along value chains.
The basic principles underlying the eligibility and evaluation criteria will include:
- Farmer outreach: A contractual arrangement with farmers/farmer groups for the partnership needs to be made before the submission of the proposal with a number of small scale farmers participating in the value chain.
- Innovative features: The proposals must be innovative in one or more aspects: technological innovation, institutional arrangement, or pubic goods element translating farmers’ challenges into opportunities.
- Economic/Financial/Technical aspects: The business and investment plan demonstrates long term economic gains and is financially and technically sound, viable and sustainable.
- Environmental aspects: Positive environmental impacts would earn extra points for project proposals (e.g., for the use of environmentally friendly technologies, erosion control measures, safeguard against activities that may lead to negative environmental impacts like increased soil erosion, excessive use of chemicals or have mitigation plans in place to ensure the environmental safeguard policy is complied with).
- Social inclusion: The proposal evaluation criteria would give extra points for the following socials aspects: gender development, targeting the poor and disadvantaged groups. For example, eligible proposals from women headed businesses and households would be given extra points in the evaluation weighting system.
- The matching grants would meet, on an incremental basis, the costs of advisory services and training for farmer organizations/farmers and the respective agribusiness partners; goods, materials and on-farm works to increase production and productivity, and post-harvest handling undertaken by smallholder farmer organizations/farmers. Ineligible expenditures would include expenses related to (farm) land, family labor contribution, working capital, recurrent expenses, normal business costs, tobacco and its related products/services, alcohol and narcotic drugs and their related products/services, gambling and its related products/services, and technologies which infringe with the existing laws and regulations on patents and copyrights.
NAADS wishes to invite suitable business proposals from agribusinesses to be considered for matching grants during this F/Y under the following two categories:
- Nucleus farmers – Medium to large scale Public Private Partnerships (PPP).
The project will support 10 medium to larger-scale PPPs, during this F/Y of implementation. Each PPP is expected to have a three year implementation cycle to allow long-term partnership to be formed and maintained. The average grant is projected to be US$ 100,000, ranging from US$ 50,000 to US$ 200,000.
Only Agribusinesses who are current participants in Poultry, Diary, Coffee, Tea, Horticulture, Fish, Rice and Maize enterprise based value chains will be considered during this F/Y.
All eligible agribusinesses under this category should submit their Sealed Project Proposals directly to the Executive Director, NAADS SECRETARIAT, National Agricultural Advisory Service, Plot 39A, Lumumba Avenue, Mukwasi House, 2nd Floor, P. O. Box 25235, Kampala by 30th August 2011.
For more information please contact the Technical Services Manager – NAADS secretariat.
2. Nucleus Farmers: Small-scale Public Private Partnerships (PPP).
The project will support 100 nucleus farmers through small-scale PPP, during this F/Y of implementation. These partnerships will also be expected to span a 3 year period to foster sustainable integration of farmers into value chains. The average grant is projected to be US$ 15,000, ranging from US$ 10,000 to US$ 20,000.
Small scale agribusinesses dealing in priority enterprises in different districts will be eligible to be considered for support under this category during this F/Y.
All eligible Agribusinesses under category II above should submit their sealed Project proposals to the Executive Director NAADS SECRETARIAT, National Agricultural Advisory Service, Plot 39A, Lumumba Avenue, Mukwasi House, 2nd Floor, P.O.Box 25235, Kampala by 30th August 2011 through their respective CAOs. Each district should prioritize projects and should in any case not submit more than three proposals for consideration.
For more information please contact your respective CAOs of the district
All projects will be appraised and selected by an independent selection whose decision will be final.