Request For Application, REF: MCK-RANGE-RFA-001 _ Strengthening the live animal and meat trade in the RANGE programme target areas 147 views0 applications

1. Background of the project

The Resilient Approaches in Natural RanGeland Ecosystems (RANGE) program is a five-year initiative funded by the Dutch Ministry of Foreign Affairs and implemented by a consortium led by Mercy Corps, the Frontier Counties Development Council (FCDC), and the University of Twente (ITC)​. RANGE operates in the three counties of Isiolo, Samburu and Marsabit, which are dominated by pastoral and Agro-pastoral livelihoods. The program seeks to strengthen the resilience of the ASAL communities that contribute to sustainable economic and social development in a well-managed landscape by enhancing livestock productivity and driving inclusive local economies. Livestock is the most important asset for ASAL communities; however, periodic challenges, including climate shocks, land degradation, weak market systems, and poor access to quality feed and fodder, continue to limit livestock productivity and resilience​.

RANGE Programme is implementing a Market Systems Development (MSD) approach to stimulate sustainable, systemic change on a large scale. This will involve multiple partnerships with the private sector to ensure the Livestock market actors have efficient and profitable engagement with domestic and international markets. The RANGE programme is issuing a Request for Application (RFA) for potential partnership with live animal and meat trade private investors within and outside the targeted area to facilitate intervention to catalyse livestock and meat trade through co-investment with private partners. This RFA is intended for existing livestock businesses (small and medium scale live animal trade in sheep and goats, cattle, and camels) and small and medium scale meat trade.

2. Objective of Call for Applications

This request for application aims to catalyse livestock markets large scale commercial linkages with pastoral and Agro-pastoral communities for quality, efficient and profitable livestock supply for both domestic and international markets. RANGE seeks to facilitate viable business relationship models between domestic and international livestock market actors and producers in Isiolo, Marsabit and Samburu through addressing critical constraints in the supply chains and unlock the potential of livestock producers. To achieve this, the RANGE programme proposes to facilitate producers from 12 Wards to set up producer aggregation units to ensure year-round supply of livestock to interested buyers and build the capacity of the producers in the supply chain to producer required quality of animals (as per the buyer’s specification).

The RANGE Programme is welcoming applications from existing commercial livestock aggregation enterprises, feedlots or commercial fattening enterprises, aggregators, livestock exporters, meat traders/enterprises, and export abattoirs that are interested in expanding their business through support to establish the commercial supply chains for goat, sheep, cattle and camel.

3. Program Target Areas.

Mercy Corps- The RANGE programme is open to receiving applications from qualified businesses operating in the following RANGE programme-targeted wards.

Isiolo County:

• Burat ward
• Ngaremara ward
• Chari ward
• Kinna ward

Samburu County.

• Waso ward
• Wamba West ward
• Lodokejek ward
• Baawa ward

Marsabit County

• Laisamis ward
• Sagante/Jaldesa ward
• Maikona ward
• Gobo ward.

The selected company/business will sign a partnership agreement detailing roles and responsibilities in the supply chain establishment. The selection criteria are criteria described below. The successful companies/market actor will work with RANGE programme and producers to realize their supply chain requirement on the supply chain investment cost share basis (could be cash or in Kind).

4. Eligibility Criteria for Application

RANGE programme seeks to engage existing and operational livestock (live animal) and meat enterprises that fulfil the following ELIGIBILITY criteria for the above RANGE Programme partnership either to support their business expansion and/or growth or establish quality animal supply chains in the long run and benefit economically the program target beneficiaries better:

• Existing and operational livestock (live animal) and/or meat enterprises interested in investing in establishing commercial livestock supply chain in any of the programme target Wards.
• At a minimum, the applicant should be in operation of the business for at least 12 consecutive months before the date of the application.
• Should be legally registered under Kenyan laws and policies and should have renewed business licenses.
• Committed and willing to contribute financially or in kind towards establishing a viable supply chain business model with producers.
• Commitment/interest to work with livestock aggregators, producers, and other producer groups in the 12 target Wards.
• Clear understanding of livestock (live animal) and/or meat enterprises and have clear business model that engages communities’ at large scale.
• Commitment to share information related to the service and the business operation (if and when required) with the Mercy Corps- RANGE Programme.

  5. Potential activities that could be supported

Proposed activities should be based on a sustainable private sector-led livestock (live animal) and/or meat enterprises model/ Market system resilience framework. The applicant is responsible for organising and managing activities with technical and/or cost-share financial support from Mercy Corps- RANGE programme. Examples of activities that could be supported include, but are not limited to, the following:

• Co-creation of the supply business model and exploring risk mitigation measures to ensure the models works for different companies and communities.
• Mobilising producers into units that producer the calibre of livestock the company requires and facilitating business agreements that ensure constant supply.
• Initial producer capacity building of producers through relevant market actors support and exploring embedded service models for inputs and animal health services e.g. engaging Sidai for animal health and genetic improvements.
• Linkages of the aggregation enterprises with SME enterprise incubators to ensure maturity of their enterprise model
• Technical support and facilitating enabling environment for the business models to thrive and replicate.

The lists above are non-exhaustive and only provide examples of some potential areas the RANGE programme could support. However, any additional ideas or a combination of these activities are encouraged, and all ideas will be considered.

6. Areas not eligible for funding

• Financial support for working capital costs, regular employee salaries for existing permanent staff, and business operational costs, such as transportation.

7. Maximum amount of award and cost share requirements

• The maximum amount of award that RANGE contributes about $10,000 for business enterprise linked to a minimum of 100 livestock producers being provided producer capacity building with official established supply linkage with company. Criteria for selecting/recruiting livestock producers involved in supply chain will be crucial. The actual financial contribution will depend on the nature of the proposed business.
• The applicant should contribute at least 50% of the total investment costs for firms only focused on expanding livestock (live animals) and/or meat enterprises without additional networking with small/medium-scale livestock aggregators and producers. However, for those business ideas planned to create extended business relationships and networking through building the capacities of small/medium-scale livestock aggregators and producers, the program could contribute up to 50% of the total investment costs, depending on the specific context.
• The business enterprise that contributes/is willing to cost share above the minimum proposed based on the specific nature of the business idea (50% – 70%) will be encouraged and prioritised during the selection process.
• The maximum number of business enterprises to be awarded will depend on the amount of funding, but by this call, the program is planned to reach up to 3 businesses. The final number of firms to be supported will depend on the available budget.

  Evaluation steps:

• Initial screening for eligibility
• Technical evaluation and scoring
• Site visit verification (for shortlisted applicants)
• Business plan development and final award selection
• Access evaluation criteria HERE

Annexe: Application Evaluation Criteria (Criteria & Weight(%))

Alignment with the RANGE programme objectives – 10%

Feasibility and sustainability of the proposed model – 15%

Inclusivity (women, youth, marginalised groups) – 15%

Business viability, innovation, and co-investment commitment – 25%

Record and experience – 15%

Expected impact – 20%