Background

1. BACKGROUND / PROJECT DESCRIPTION

The ongoing conflict in eastern Ukraine has had a direct and highly negative impact on economy, social cohesion, resilience, livelihoods, community security, and the rule of law. Recognizing the need to urgently address reconstruction, economic recovery and peacebuilding needs in areas affected both directly and indirectly by the conflict, in late 2014 the Government of Ukraine requested technical assistance and financial support from the international community to assess priority recovery needs. In late 2014, the United Nations (UN), the World Bank (WB) and the European Union (EU) conducted a Recovery and Peacebuilding Assessment, which was endorsed by the Cabinet of Ministers in mid-2015.

The United Nations Development Programme (UNDP) has been active and present in eastern Ukraine for the past decade, prior to the conflict, with a focus on community development, civil society development, and environmental protection. Work on addressing the specific conflict-related development challenges discussed above built on this earlier engagement, established partnerships, and started in 2015 through the United Nations Recovery and Peacebuilding Programme (UN RPP). The UN RPP is a multi-donor funded framework programme formulated and led by the UNDP in collaboration with the Government of Ukraine and in cooperation with a number of partnering UN agencies (UN Women, FAO, UNFPA).

The RPP was designed to respond to, and mitigate, the causes and effects of the conflict. It is based on findings of the Recovery and Peacebuilding Assessment (RPA) and is aligned to the State Target Programme for Recovery as well as to the two oblast development strategies up to 2020. It takes into account the opportunities that have arisen from the Minsk Protocol of September 2014 and the renewal of its cease-fire provisions (the latest cease-fire having been agreed in March 2018) and is also fully adjusted to the humanitarian-development nexus. It is an integral component of the UNDP Country Programme and is therefore fully aligned with the United Nations Partnership Framework (UNPF). It is closely interlinked with the Democratic Governance and Reform Programme, operating nationally and in all of Ukraine’s regions, and is consistent with the SDGs.

The Programme’s interventions are grouped under the following key Programme components, which reflect the region’s priority needs:

Component 1: Economic Recovery and Restoration of Critical Infrastructure

Component 2: Local Governance and Decentralization Reform

Component 3: Community Security and Social Cohesion.

The Programme, which operates on the basis of a pooled funding arrangement, follows a multi-sectoral programme-based approach and is implemented using an area-based methodology. It is a unifying interventions framework for 12 projects funded by 12 international partners and is worth over USD 80 million (2019-2022).

In October 2018, four UN agencies (UNDP, UN Women, FAO and the UNFPA) have countersigned a new joint project document, funded by the EU. The overall objective of the project is to restore effective governance, support economic recovery and promote reconciliation in the crisis-affected communities of Donetsk, Luhansk and Zaporizhzhia oblasts in Ukraine, thereby enhancing the credibility and legitimacy of local governments in the government-controlled areas of the regions. It will contribute to peace build and prevent further escalation of conflict in Ukraine through effective and accountable decentralization, gender-responsive recovery planning and equal access to services, as well as enhanced economic recovery and development.

This endeavor will be achieved through the pursuit of the following specific objectives:

1. Enhancing local capacity for gender-responsive decentralization and administrative reforms to improve governance, local development and the delivery of services.
2. Stimulating employment and economic growth by providing assistance to Micro, Small and Medium Enterprise (MSME) development through demand-driven business development services and professional skills training.
3. Enhancing social cohesion and reconciliation through promotion of civic initiatives.
4. Supporting sector reforms and structural adjustments in health, education and critical public infrastructure to mitigate direct impacts of the conflict and enhance the capacity of governmental authorities for national the coordination of actions to cope with emergencies arising from the conflict zone.
5. Supporting the implementation of the European Investment Bank’s Early Recovery Programme.

Under objective 2, the Programme aims to foster economic revitalization in eastern Ukraine and, specifically, stimulate employment and economic growth by providing assistance to Micro, Small and Medium Enterprises (MSMEs) development. The Programme supports demand-driven business development services, professional business skills training and strengthening institutional and educational infrastructure for the effective functioning of regional economy. Due to the conflict, bank lending, leasing and other credit (including trade credit) have been limited in the region. Tues, business owners have difficultly to access finance and connect to markets in the rest of Ukraine and beyond and expand their businesses. Inclusive economic growth needs to be advanced through support for MSMEs and trade development in the priority sectors of the prioritized value chains in the region. Such sectors have already been identified in most areas of Luhansk and Donetsk (Government-Controlled Areas, hereinafter - GCAs) oblasts as well as in the areas of Donetsk and Zaporizhzhia oblasts along the Azov sea coastline, and now those identified value chains need development strategies for further interventions.

The COVID-19 outbreak is an aggravating factor that is challenging people, households, and businesses in the conflict-affected regions. While containing the pandemic and protecting people is the top priority, disrupted supply chains, containment measures that are limiting economic and social interactions and falling demand put people’s jobs and income-generation opportunities at risk. According to ILO, the economic and labour crisis created by the COVID-19 pandemic could increase global unemployment by almost 25 million people (7.4 million people in middle-income countries) and the overall losses in labour income might reach USD 3.4 trillion (USD 14.8 billion in middle-income countries). According to Ukraine’s leading investment bank, national GDP will decline by 4% if the countrywide lockdown lasts up to three months and by 9% if it lasts longer. The crisis especially affects MSMEs that have significantly lower reserves and resilience than large business. Ukrainian Chamber of Commerce and Industry reported that up to 700 000 enterprises, which give employment to 3,5 – 4 million people, have already stopped their business activity due to the lockdown. These figures constitute some 25% of all businesses and labour workers active in Ukraine.

To support the economic revitalization and implementation of planned interventions, UN RPP is seeking a National Consultant to develop a strategy for Textile value chain at the regional level and thus to support the progress of this value chain in government-controlled areas of Luhansk, Donetsk and Zaporizhzhia oblasts (hereinafter, the targeted regions).

2. MAIN OBJECTIVES OF THE ASSIGNMENT

The main objective of the assignment is to perform 1) drafting the Textile Production market review and  value chain development strategy at regional level in each of the three sub-regions (namely Luhansk, Donetsk and Zaporizhzhia oblast), 2) elaborating a series of recommendations on Textile Production value chain development at micro-level with the aim to recommend interventions, thus ensuring systematic and comprehensive development of the prioritized sector of economy in the targeted regions. 

Duties and Responsibilities

3. DESCRIPTION OF RESPONSIBILITIES / SCOPE OF WORK

Under the direct supervision of Programme Coordinator, Economic Recovery and Restoration of Critical Infrastructure, National Consultant to develop a strategy for Textile value chain at the regional level  (hereinafter – the Consultant) will be responsible for the implementation of the following tasks:

1. Conduct desk review of the baseline and develop a detailed work plan and methodology to design strategy for the Textile Production value chain development in each of the three targeted sub-regions, and agree with the direct supervisor. The influence of COVID-19 outbreak should be taken into consideration for developing the work plan and methodology;
2. Collect the data that would allow to trace the dynamics and identify the patterns and trends in the development of Textile Production value chain at regional and at micro levels;
3. Develop a questionnaire for in-depth interviews with key sector stakeholders and VC representatives, agree with the direct supervisor;
4. Conduct in-depth interviews (at least 25 in each oblast, in-person format) based on the preliminary developed questionnaire with representatives of Textile Production micro, small and medium-sized enterprises, local and regional authorities, representatives of business associations and business service organizations that would allow to compile aggregated analysis of Textile Production value chain capacity and further strategy development at regional and at micro levels. The list of interviewees should be approved by UNDP before the implementation stage;
5. Identify the Textile Production value chain players’ opportunities, constraints, needs, etc. to reflect the revealed data as the key points of the Textile Production value chain development strategy. The opportunities, constraints, needs causing by the COVID-19 pandemic should be determined;
6. Elaborate and submit the first draft of the Textile Production value chain development strategy (single spacing, Noto Sans or Arial font, size 11, Ukrainian language, up to 70 pages without annexes) at regional level and a series of recommendations on Textile Production value chain development at the micro level. The document should be based on the collected data, should include statistical and other kinds of information from different sources, methodology, should be illustrated by graphical, tabular materials and appendices including the references to the sources of the collected data at the regional and micro-levels. The draft of the Strategy should include but not be limited to the following:

• Baseline – brief economic background, up-to-date place of the Textile Production in the target regions’ economy and its current state (legislative framework relevant for possible interventions, major issues, structural barriers, challenges and risks, main tasks of the Strategy at Regional Level and at Micro-Level, etc.);
• Strategic objectives of the Textile Production value chain development in the target regions: overall prospects, outcomes, priorities;
• Action plan  with specific mechanisms for enhancing the capacity, effectiveness and efficiency of Textile Production value chain at regional level and at micro-level in the targeted regions (updating relevant regulatory framework; balancing the business development activities in the targeted region; optimization and digitalization of business processes; networking and cooperation of MSMEs engaged; improvement of the staff training and re-skilling system; financial support programmes; development of inter-regional and international partnerships within the prioritized sector of economy – Textile Production, etc.) discussed and approved with the stakeholders;
• Strategy communications plan; 
• Strategy implementation monitoring and assessment plan;
• Risks mitigation plan in the strategy implementation process;
• Expected short-, mid- and long-term results of the implementation of Textile Production value chain development strategy at regional level in the targeted regions.

Requirements to the document: single spacing, Noto Sans or Arial font, size 11, Ukrainian language. The document should be illustrated by graphical, tabular materials and relevant annexes.

7. Prepare a PowerPoint Presentation (at least 20 slides, Ukrainian and English language that includes: background information; key points of the Strategy, etc.) and Executive Summary (at least 10 pages, Ukrainian and English language) to the draft of the Strategy; conduct at least one presentation of results in each of the target regions (one presentation in Severodonetsk, one – in Kramatorsk, one – in Berdiansk), facilitate discussions of the draft Strategy among the stakeholders and duly collect recommendations received from the stakeholders. Costs of conference services related to the arrangement of presentations will be covered by UN RPP.

8. Analyze and incorporate all stakeholders’ comments and recommendations received as a result of discussions, finalize and submit the final report on the Textile Production value chain development strategy at the regional and micro level with a series of recommendations on Textile Production value chain development to UN RPP (considering UN RPP mandate, capacity, and strategy).

4. DELIVERABLES AND IMPLEMENTATION SCHEDULE

5. Proposed Payment Schedule

UN RPP will pay the negotiated amount in 5 tranches as per delivery of the outputs outlined above.  

The payments will be paid upon the full completion and acceptance of contractual obligations whereupon the Programme Coordinator signs the certification of acceptance.

6. Monitoring / Reporting Requirements

The Consultant will work under the overall guidance Programme Coordinator, Economic Recovery and Restoration of Critical Infrastructure of the Recovery and Peacebuilding Programme and direct supervision of Business Development Specialist. The Consultant will directly report to the Specialist on fortnightly basis and will also report to the Programme Coordinator on a monthly basis through in-person meetings/ by phone or Skype or sending electronic materials.

The Consultant should adhere to the system of monitoring, evaluation and quality control implemented by the UNDP and provide the necessary information, reports and statistics according to the preset schedule or as soon as possible (within a reasonable time).

The Consultant shall provide interim progress report specified in the Tentative Work Plan in Ukrainian.

Interim report shall include all results in full compliance with the Terms of Reference and according to the Work Plan. It is imperative to include into the foregoing reports the following: charts, quantitative and qualitative comments for the works carried out, as well as to update them and make changes to them if necessary. The information (results) must be relevant, reliable, appropriate and objective.

The detailed schedule and the length of the assignment will be discussed with the direct supervisor prior to the assignment. The estimated duration of the assignment is up to 150 calendar days.

The final report on the Textile Production value chain development strategy at regional level and a series of recommendations on Textile Production value chain development at micro level finalized and submitted to UN RPP by within 150 calendar days after the start of the assignment.

Competencies

7. Experience and qualifications requirements

• Education: at least Master’s or equivalent degree in Business Administration, management, Economics, Textile Production, Fashion Design or related fields;
• Experience: at least 5 years of professional experience in relevant sector MSMEs, strategy design and optimization of private Textile Production sector entities, economic analysis, recommendations, strategy and policy development, reporting and producing of knowledge materials (at least 2 knowledge materials published);
• Language proficiency: excellent knowledge of Ukrainian and Russian, at least working level of English.

8. Documents to be included when submitting the proposals

Applicants shall submit the following documents

9. Financial proposal

Lump sum contract

The financial proposal shall specify a total lump sum amount, and payment terms around specific and measurable (qualitative and quantitative) deliverables (i.e. whether payments fall in installments or upon completion of the entire contract). Payments are based upon delivery of the services specified in the TOR. In order to assist the requesting unit in the comparison of financial proposals, the financial proposal will include a breakdown of this lump sum amount.

The Consultant will be responsible for all personal administrative expenses associated with undertaking this assignment including office accommodation, printing, stationary, telephone and electronic communications, and report copies incurred in this assignment.

Travel costs

All envisaged travel costs must be included in the financial proposal. This includes all travel to join duty station/repatriation travel. In general, UNDP should not accept travel costs exceeding those of an economy class ticket. Should the IC wish to travel on a higher class he/she should do so using their own resources.

In the case of unforeseeable travel, payment of travel costs including tickets, lodging and terminal expenses should be agreed upon, between the respective business unit and Individual Consultant, prior to travel and will be reimbursed. In general, UNDP should not accept travel costs exceeding those of an economy class ticket. Should the Consultant wish to travel on a higher class he/she should do so using their own resources.

Required Skills and Experience

10. Evaluation criteria

UNDP will use a two-stage procedure for evaluating applications with the evaluation of the technical proposal being completed prior to any price proposals are compared. The technical part will be evaluated on the basis of its relevance to the Terms of Reference.

The breakdown scores for qualifications and experience are as follows:

• Educational background – 15 points max [15 pts – PhD degree or higher; 10 pts – Master’s degree or equivalent];

• Professional experience in relevant sector MSMEs, strategy design and optimization of private Textile Processing sector entities, economic analysis - 25 points max [25 pts – 6 or more years; 15 pts – 5 years];
• Relevant professional experience in recommendation, strategy and policy development, reporting and producing of knowledge materials - 25 points max [25 pts – 3 and more references on knowledge materials in open sources; 20 pts – 2 references on knowledge materials in open sources];
• Language proficiency – 5 points max [5 pts – fluency in Ukrainian, Russian and English; 4 pts – fluency in Ukrainian and Russian, working level of English].

Evaluation method:

 Cumulative analysis

Contract award shall be made to the incumbent whose offer has been evaluated and determined as:

a) responsive/compliant/acceptable, and

b) having received the cumulative 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 70% from the maximum available technical score (49 points) would be considered for the Financial Evaluation.

The maximum number of points assigned to the financial proposal is allocated to the lowest price proposal and will equal to 30. All other price proposals will be evaluated and assigned points, as per below formula:

30 points [max points available for financial part] x [lowest of all evaluated offered prices among responsive offers] / [evaluated price].

The proposal obtaining the overall cumulatively highest score after adding the score of the technical proposal and the financial proposal will be considered as the most compliant offer and will be awarded a contract.

UNDP documents templates are available at the following link:

https://www.dropbox.com/sh/297e72t7i3v2969/AADDRyUo2uoNrYjuD8NLmdl0a?dl=0

NB: Please note that online system does not recognise Russian or Ukrainian language, information you provide in on-line application should be in English. You may combine your CV, financial proposal and other necessary information in one PDF file and upload the document.