National Consultant for Resilience Marketplace- Edible Oil Manufacturing Designing


Location : Dhaka, BANGLADESH
Application Deadline :14-Oct-20 (Midnight New York, USA)
Additional Category :Climate & Disaster Resilience
Type of Contract :Individual Contract
Post Level :National Consultant
Languages Required :
English  
Starting Date :
(date when the selected candidate is expected to start)
22-Oct-2020
Duration of Initial Contract :40 workind days
Expected Duration of Assignment :40 working days over a period of 2 months (October to December 2020)

UNDP is committed to achieving workforce diversity in terms of gender, nationality and culture. Individuals from minority groups, indigenous groups and persons with disabilities are equally encouraged to apply. All applications will be treated with the strictest confidence.

UNDP does not tolerate sexual exploitation and abuse, any kind of harassment, including sexual harassment, and discrimination. All selected candidates will, therefore, undergo rigorous reference and background checks.


Background

UNDP Bangladesh is looking for young talent with passion to contribute to Bangladesh at this exciting and transitional time when country is becoming a middle income and prosperous society; and being recognized as champion of the Sustainable Development Goals (SDGs). This is an excellent opportunity for young talent to learn from the country’s top thematic leaders and grow as professionals within the development sector. UNDP Bangladesh’s Country Programme Document (2017-2020) seeks to assist the Government of Bangladesh and its development partners to implement Sustainable Development Goals by 2030. In the context of the Bangladesh 7th Five Year Plan (7FYP) and the government’s vision to graduate from Least Developed Country status, UNDP will aim to ensure a more resilient and inclusive society that shares its increasing prosperity with all. UNDP will leverage its unique position and experience to deliver tactical policy and programme expertise that supports implementation of the 7FYP and cements UNDP as a strategic partner of the government on the sustainable development agenda. Within UNDP, the Resilience and Inclusive Growth Portfolio leads its programme and policy advisory support in climate change mitigation and adaptation; urban poverty and urbanization; social protection; disaster management and environmental sustainability, with a key focus on gender. We support the country by providing high quality policy advice, mobilizing resources, developing capacity; knowledge management and innovation, and fostering south-south cooperation.

Within UNDP, the Resilience and Inclusive Growth Portfolio leads its programme and policy advisory support in climate change mitigation and adaptation; urban poverty and urbanization; social protection; disaster management and environmental sustainability, with a key focus on gender. The cluster provides support by giving high-quality policy advice, mobilizing resources, developing capacity; knowledge management and innovation, and fostering south-south cooperation. The Resilience and Inclusive Growth cluster encourages new ideas and innovation through idea generation, design thinking and bringing in various expertise. Resilience Marketplace is UNDP’s new venture with a narrative of making a shift from piloting and innovation towards scaled up adaptation action through a market led approach. As such, resilience marketplace aims to remove barriers for market to offer solutions to the climate vulnerable people.

The goal of the ‘resilience marketplace’ is to enhance resilience of climate vulnerable population, economy and assets (social, human, financial, physical, natural, institutional) with market as the key driver/provider to meet the right balance of demand and supply side actors and interests.

This ‘resilience marketplace’ is a multi-stakeholder platform (mostly virtual) where demand side actors (vulnerable people and their agents) will be able to be connected with all supply side actors to meet their demand in a market structure. UNDP will facilitate such platform, where north actors will be able to explore their resilience market in south, and vice versa, where South (Bangladesh) can also play critical role in exporting net benefits (knowledge and technology) to north to solve many such problem. It can be a south-north and south-south platform for reducing market gaps (gaps between demand and supply) in building resilience.

The resilience marketplace concept targets the 2 climate vulnerable communities facing multidimensional challenges, in various forms including access to market, natural disasters driven by climate change, survival opportunities etc. The idea of resilience market stems from (3) problem statements under the current climate change dynamics in Bangladesh: In the current dynamic of climate change and promoting low carbon, nature based, climate resilient means of living (income, energy, production, water, shelters, food, health and education), there is a lack of knowledge about the demand and supply side actors and networks within an ‘inclusive market’. In addition, there is knowledge gap about current and future market size, structures and stakeholders and market gaps (i.e. gaps between demand and supply). Also, there is also a lack of multi-stakeholder platform to promote a well-informed, well-represented market actor in a transparent way to reduce the gaps between demand and supply.

Resilience marketplace therefore aims to strive towards sustainable environment, natural resource management, low-carbon climate resilient urbanization, waste management, comprehensive disaster response towards a sustainable economy. The poor and climate vulnerable communities need and have demand for climate-resilient solution (especially in the sectors of agriculture, fisheries, livestock) and develop a case where there will be long-term socioeconomic and environmental security of assets. These demands can be met through means of innovative technology, innovative financial tools, capacity building, resources etc. that will have resilient livelihood, agriculture, water and infrastructure. The scope of resilience marketplace will span across climate change mitigation and adaptation, low-carbon climate resilient urbanization, disaster prevention and mitigation, disaster preparedness and response, disaster early recovery, natural resource management, pollution control, waste management and also contribute to green growth, economy and jobs. However, resilience marketplace will take into consideration the case of climate change adaptation in its prototype phase, owing to the existing projects in place that aims to execute a number of resilient livelihood option.


Duties and Responsibilities

Despite being a highly bankable agricultural cash-crop, the domestic oil-seed market in Bangladesh remains a largely untapped sector, as edible oil consumption is largely fulfilled by an increasing dependence on edible oil, as well as oilseed import. Presently, at clearing and forwarding (C & F) level, Bangladesh spends about US$ 1.6 billion annually for import of edible oils while yearly spending against import of oilseeds is about US$ 450 million, on an average. (The Financial Express, 2019). Given the dearth of incisive market research into domestic prospects, absence of large-scale investment interests and existence of tacit cartels formed by oil-importers, fiscal expenditure on import of edible oil/oil-seed has been rising continually over the years.

With the overarching aim of implementing climate resilient and adaptive practices, resilience marketplace plans target communities facing multidimensional challenges, two of which emerges, in the form of market exclusion and vulnerability to climate change driven disasters.  As per sectoral analysis, the edible oil/oilseed market has been identified not just as a domestic agricultural industry with untouched possibilities, but also a climate resilient product whose widespread production has the ability to contribute to Bangladesh’s existing supply-side of edible oil, thereby challenging import dependency in the long run.  Therefore, with the combined attribute of being a resilient crop cum profit-making venture for the marginalized population in coastal areas, the Oil Seed Market (OSM) presents a final product line consisting of sunflower, sesame and ground-nut-all of which are varieties of saline-tolerant crops. Additionally, resilience marketplace concept stems from a necessary shift from grant-based to a market-driven approach towards resilience, thus foreseeing a successful and sustainable business case centering around OSM, where actors who receive their initial seed funds from grant providers can eventually develop a full-fledged profitable enterprise. 

Relevance of building a Refinery:

Before elaborating upon the relevance of oil-refineries, it must be explicated that the idea of resilience market stems from 3 problem statements shaped by the current climate change dynamics in Bangladesh:

As mentioned earlier, the prospects for establishing a robust domestic edible oil industry of Bangladesh is greatly unmapped, due to over-reliance on imports. With reference to statistical findings, it was forecasted that edible oil imports might grow 6 percent year-on-year to 28 lakh tonnes in the fiscal year of 2019-20 (The Daily Star, 2010). Despite the lack of research into domestic supply-side potentials of oilseed which may be responsible for the impeded growth of the local oil-industry, continuing population increase, rapid urbanization and changing customer needs and inclination to switch to healthy alternatives have driven the consumption of oil varieties such as sunflower oil. The need for an augmentation of local oil refineries thus originates from rising domestic demand, which, given the specific context encompassed by the resilient marketplace can include vulnerable populations whose employment opportunities will be boosted by establishment of medium and large-scale oil-refineries in coastal areas. Refined oil manufactured in these areas will be connected to suppliers and distribution points across Bangladesh, thus connecting them to the larger audience, i.e., customer base across the country.

Secondly, there is a knowledge gap about current and future market size, structures and stakeholders and market gaps. As a pre-requisite to supporting a horizontal expansion of oil-refineries, stakeholder mapping and risk analysis, along with a comprehensive of market infrastructures and policies are mandatory for grant providers (UNDP and other financing partners), with a key emphasis on identifying private sector players willing to invest in this novel venture.

Finally, there is also a lack of multi-stakeholder platform to promote a well-informed, well-represented market actor in a transparent way, so as to reduce the gaps between demand and supply. The resilience marketplace will thus facilitate interaction amongst demand side actors (oil-seed cultivators, refinery/plant investors and workers) and supply side actors (private sector stakeholders, UNDP and other financing agents) within a market structure. UNDP, being the key facilitator will create a conducive investment environment where external actors will be able to explore markets in southern coastal areas thus ensuring that vulnerable population are on the receiving end of sustainable employment and income generation opportunities, in line with the  scope of resilience marketplace  which spans across climate change mitigation and adaptation, disaster prevention and mitigation, disaster preparedness and response, resource management, and also contributions to green growth, economy and jobs.

Potential for Resilience Marketplace:

Developed by the aforementioned cluster, the concept of resilience marketplace puts core issues such as environmental sustainability, natural resource management, climate resilience and comprehensive disaster response. The target beneficiaries of the venture are mainly the poor and vulnerable communities situated in the coastal belt who are facing multidimensional challenges, in various forms including access to market, natural disasters driven by climate change, survival opportunities etc. and in need of climate resilient solutions (especially in the sectors of agriculture, fisheries, livestock). Given the multi-tiered gap between demand and supply side within the existing market for oil processing and production, resilience marketplace can help establish a backward and forward linkage with demand and supply side actors by building a common platform. Through this intervention, sunflower cultivators across several districts will be able to connect directly with oil refinery investors and owners processing plants, as a result of which both beneficiaries can have access to financial instruments offered by banks, thus building an inclusive market where private sector will play the role of a key stakeholder.

Documents:

The final report from the consultant should include a comprehensive overview of the edible oil options and industry in Bangladesh, including a background information of historical performance, challenges and opportunities in the future, elaborate review of the technical, structural and working capital needed to develop the refinery. The report will also contain a well-defined defined timeline for the proposed design with specified activity lines and time required to break-even of edible oil plant. This should be accompanied by a market study assessment and actor mapping including the key stakeholders and players in the sector. The assessment should be based on a rigorous market overview of the key potential private sectors who would be willing to partner in the Resilience Marketplace initiative.

Along with a detailed overview of the raw material requirement for setting up the plant and actor mapping of the supplier and manufacturers of the raw materials, the consultant must include a list of potential suppliers and manufacturers of machinery needed for setting up the plant. A detailed outline of the machinery and equipment and the sources from where they can be availed, both local and international sources must be included as well. A detailed list of local supplier and distributors who can be approached for successful marketing is needed as well. A detailed financial proposal with the total cost of the project for setting up the refinery including working capital, human resource, operating costs etc; other details including profitability ratios of the edible oil plant, projected pay-back period and IRR , Requirement of utilities and overheads for setting up the plant, statistics of import and export, Income and expenditure must be prepared, with projects balance sheets in line with UNDP’s ongoing climate change projects for Resilience Marketplace. The report must contain a detailed overview of the entire manufacturing process with step by step guidance and flowchart to show from source to sink along with an approximate measurement for the total land size and cost for setting up business. A list of local suppliers of sustainable and cost-effective factory architecture must be attached along with a recyclability plan of the biproducts from the oil manufacturing process. The report must include a sensitivity analysis done by the consultant along with an analysis of long-run export potential of the finished product (oil) based on predicted levels of industry growth. Other miscellaneous details including personnel requirement and details of the manpower needed (including salary structure of factory officials and workers) along with an annex containing all relevant details must be incorporated as well.

The above points are summarized in the points below; the final report should include, inter alia:

  • A comprehensive overview of the edible oil options and industry in Bangladesh
  • Background information of historical performance,
  • challenges and opportunities in the future
  • Elaborate review of the technical, structural and working capital needed to develop the refinery
  • Well defined timeline for the proposed design with specified activity lines; time required to break-even of edible oil plant
  • Market study assessment: Actor mapping including the key stakeholders and players in the sector, defining potential scopes of collaboration and how so. This should be based on a rigorous market overview of the key potential private sectors who would be willing to partner in the Resilience Marketplace initiative
  • Potential suppliers and manufacturers of the plant and machinery for setting up the plant
  • A detailed overview of the raw material requirement for setting up the plant and actor mapping of the supplier and manufacturers of the raw materials
  • A detailed financial proposal with the total cost of the project for setting up the refinery including working capital, human resource, operating costs etc; other details including profitability ratios of the edible oil plant, projected pay-back period and IRR , Requirement of utilities and overheads for setting up the plant, statistics of import and export, Income and expenditure, projects balance sheets in line with UNDP’s ongoing climate change projects for Resilience Marketplace
  • Detailed outline of the machinery and equipment and the sources from where they can be availed, both local and international sources
  •  A detailed overview of the entire manufacturing process with step by step guidance and flowchart to show from source to sink.
  • Detailed list of local supplier and distributors who can be approached for successful marketing
  • Total size of the land and built-up area requirement and cost for setting up the business
  • Sustainable and cost-effective factory architecture keeping in mind the threat of frequent natural disasters
  • Recyclability plan of the biproducts from the oil manufacturing process
  • Other details including Personnel requirement and details of the manpower needed (including salary structure of factory officials and workers)
  • Sensitivity analysis or volume of oil plant
  • Analysis of long-run export potential based on predicted levels of industry growth
  • Risk and risk mitigation section
  • Well volume annex with all relevant details of the abovementioned

Roles and responsibilities:

The consultant is expected to review national documents, policy papers and the concept note of Resilience Marketplace. Alongside, the project documents of the ongoing climate change projects will have to be reviewed as a part of the assignment.  The assignment is intended to develop a comprehensive structural and technical design of edible oil manufacturing refinery which would be established in coastal Bangladesh. The poor and marginalized population in the region, particularly the beneficiaries of UNDP’s ongoing GCF and LoGIC projects, will be benefitted from this permanent establishment as a pathway towards enhanced market inclusion and access, which in the long-term will help develop business case ensuring profitability and market exchange for the vulnerable populations as a climate resilient livelihood option. As such, the Consultant will work with UNDP to provide support to the development of the Country Programme Framework. The purpose of the assignment is to provide readiness support that will contribute to strengthening Bangladesh’s capacity at the national level.

Based on the project’s potential (as explained above), the consultant is expected to develop the report based on market survey, consultation with local and international relevant actors in the field and rigorous review of available national level documents. The consultant must conduct one-on-one interviews (preferably KII) with existing and interested investors, owners of oil-refineries, engineers, industry experts and (or) architects with previous experience in refinery design, seasoned agro-entrepreneurs and market analysts.

Deliverables, Timeframe, Supervision and Financial Proposal:

  1. Contract based on Lump Sum
  2. The consultant will directly report to Climate Change Specialist of the UNDP.
  3. The consultants will be paid in lump sum contract in monthly basis based on the report of the supervisor if following documents are delivered and accepted:

Serial

no.

Deliverables

No. of working days required

Deadline

1.

Final Report on edible oil manufacturing refinery

40

14 December 2020

Travel and Daily Subsistence Allowance (DSA)

No DSA will be paid at the duty station. If unforeseen travel outside the duty station not required by the Terms of Reference is requested by UNDP, and upon prior agreement/approval, such travel shall be UNDP’s expenses and the individual contractor shall receive a per-diem not to exceed United Nations daily subsistence allowance (DSA) rate in such other location(s).


Competencies

  1. COMPETENCIES:
  • Good writing and drafting ability in English;
  • Experience and skills in facilitation or multi-stakeholder workshops and broad-based consultative processes;
  • Detailed technical knowledge of relevant field

FINANCIAL PROPOSAL

Sl.

No.

Deliverable

Deadline of deliverable

Payment terms or status

1

Final Report on edible oil manufacturing refinery

 14 December 2020

100% of the total contract amount

EVALUATION

Individual Consultant will be evaluated based on the following methodologies:

Cumulative analysis

When using this weighted scoring method, the award of the contract should be made to the individual Consultant whose offer has been evaluated and determined as:

  1. responsive/compliant/acceptable, and
  2. Having received the highest score out of a pre-determined set of weighted technical and financial criteria specific to the solicitation.

* Technical Criteria weight; 70%

* Financial Criteria weight; 30%

Only candidates obtaining a minimum of 49% point in technical criteria would be considered for the Financial Evaluation

Criteria

Weight

Max. Point

Technical

70%

70

Bachelor’s degree in Mechanical Engineering, Chemical Engineering or relevant subjects in any other related field

30%

30

Minimum five (5) years of work experience in the edible oil manufacturing sector or refinery industry

25%

25

Experience of working in a project related to specified field with knowledge of machinery fabrication, erection, installation, production and O & M (operations and management)

15%

15

Financial

30%

30


Required Skills and Experience

Academic qualification: Bachelor’s degree in Mechanical Engineering, Chemical Engineering or relevant subjects in any other related field

Language requirement: Fluent over communicating in both English and Bangla, both written and verbal.

Experience:

The qualification requirements for the consultant are as follows:

  • Minimum five (5) years of work experience in the edible oil manufacturing sector or refinery industry
  • Minimum two (2) years of experience in project design preferably with a national/international NGO;
  • Minimum one (1) year experience of working in a project related to specified field and has experience and knowledge of machinery fabrication, erection, installation, production and O & M (operations and management)
  • Extensive knowledge of oil seed production process
  • Experience working with NGOs and exhibit capacity to work with a variety of stakeholders
  • Experience working and coordinating with multiple partners, work well under pressure and meet deadlines;



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