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Dec 16, 2017

NRC Market and Value Chains Analysis

Norwegian Refugee Council (NRC)
 
Consultancy Title: Market and Value Chains Analysis for Digital Services and Home Decor in Dadaab
 
Terms of Reference

Duty Station: Kenya, Nairobi and Dadaab    

Reporting To: Norwegian Refugee Council (NRC) - Kenya, Head of Programme
 
Duration: 3 months from the signing of contract
 
Ref. nr.: 3651670535

Temporary, Contract

Start date: 01/01/2018

End date: 31/03/2018

Background: The Norwegian Refugee Council (NRC) is an independent humanitarian organisation providing assistance, protection and long-term solutions to displaced persons worldwide.

The International Trade Centre (ITC) is the agency of the World Trade Organization (WTO) and the United Nations (UN) through the United Nations Conference on Trade and Development (UNCTAD). 

ITC’s is to foster inclusive and sustainable economic development, and contribute to achieving the United Nations Global Goals for Sustainable Development. ITC works towards creating ‘trade impact for good.’

In September 2017, ITC and NRC launched, in partnership, the Refugee Employment & Skills Initiative (RESI) Kenya - Dadaab project, funded by the Government of the Netherlands, which deploys innovative ways to address livelihoods development in protracted humanitarian situations.

Building on the successful ITC/NRC joint pilot initiative carried out in Dadaab in 2016, RESI harnesses market-based incentives to enhance livelihood opportunities for refugees during their displacement in Kenya while contributing to the economy of the host communities.

Central to RESI’s approach is its two-fold intervention; the project promotes the development of commercially viable skills for refugees and host communities alike while supporting Kenyan small and medium size enterprises (SMEs) - social businesses in particular - in creating value and employment in the host countries through increased national, regional and international business.

The project focuses on sector value chains with confirmed potential and demand, namely digital services, and facilitates access to direct freelancing work.

Furthermore, the project will explore home décor as a potential sector to be confirmed through value chain and market analyses.

The ultimate aim of the project is to enhance sustainable livelihood for refugees and host community to promote self-sufficiency and increase resilience, both in host country and in case voluntary repatriation.

Objectives

NRC and ITC intend to recruit a consultant for three months to conduct a market mapping and value chain analysis in Dadaab refugee camps and host communities with specific focus on 

a) online jobs in the digital service sector, 

b) hand made products in home décor sector.

The overall purpose of this assignment will be to undertake a research to map the market system and value chain analysis through conducting of desk review, baseline surveys, interviews, and field visits.

The proposed study will focus on analysis of the current market models as well as the value chain online jobs – digital services and home décor.

The assessment would specifically involve conducting a field survey, interviews with stakeholders, market survey and looking at the market environment (local regional and national), value chain and market services, not limiting to the situation in the camps areas. 

It will also involve review and analysis of relevant policies of market liberalization, institutions for credit, insurance, transport, taxation, for both refugees and host communities and all relevant Government policies that affect refugees’ access to market, employment, business, credit and free movement.

The consultant will develop a value chain development strategy with practical action points for the two identified value chains – sectors.

The study will additionally identify and recommend to NRC value chains with high potential which will then be analyzed further.

Key Tasks


Digital Services sector: ITC and NRC want to analyse the potential for digital services in Dadaab, with a special focus on online freelancing. In 2016, ITC and NRC, together with Samasource, developed a pilot initiative testing the potential for BPO work in the camp (initial assessment attached). 

Based on the learnings of the pilot, ITC and NRC have decided to focus attention on online freelancing – as opposed to implementing a traditional BPO model in the camp.

For the development of the online freelancing capacity in Dadaab, ITC and NRC will be engaging a partnering social enterprise. In this direction, the parties want to use the study to guide the work with the partners. 

The study will accompany the delivery of a pilot freelancing capacity development initiative in the camp and assess need for course correction.

Home Décor sector: ITC and NRC want to analyse the potential for market oriented, mid to high-end handmade products in Dadaab, with a special focus on Home Décor. In 2017, ITC Home Décor consultant visited Dadaab for an initial assessment. 

The consultant assessed the existence of self-organized artisan women groups currently producing standard products for the local market.

ITC and NRC want to develop the capacity of these groups to add value to production and connect to mid to high-end markets in Nairobi and internationally. 

Following the RESI model, ITC and NRC will engage a partnering social enterprise for the development of the production capacity in Dadaab and connection to markets. 

In this direction, the parties want to develop a study to guide the work with the partners. 

As such, this study is to be developed in close collaboration with the chosen social enterprise.

The specific tasks for the consultant are to conduct:

Market Assessment: 

1) Mapping of value chain; 

2) Assessment of growth markets, including national and international potential markets, 

3) Market System maps that describe the products-services movement – availability in Dadaab and the surrounding areas to national (focus on Nairobi) and international markets. These market system maps should be descriptive of the market integration / segmentation; 

4) Key opportunities – including for strategic partnerships; 

5) Key challenges – including barriers related to regulatory environment.

The Market system maps should include:

Assessment of Value Chain: 

a) Understand the existing market situation and nature of bargain taking place between different market players within the market system mapped (relationships, attitudes and behaviours); 

b) Identify and understand the capacity of buyers for the two value chains, 

c) Economic analysis of value chains to assess performances in terms of economic efficiency. This includes determining the value added along the stages of the value chain, the cost of production and to the extent possible, the income of operators.

The market environment: legal framework for regulating the two value chains in relation to engagement of refugees in employment, business and income generation activities, institutions, norms & trends

The market chain: market actors and their linkages.

Key infrastructure, inputs and market support services: 

a) Analyze current market trends in terms of market demand and supply, prices scheduling mechanisms, market determinant factors, supply chains and government market regulatory and control mechanisms 

b) Analyze possible potential risks the project beneficiaries may face in market and suggest possible mitigation measures 

c) Explore micro financing institutions, banks, cooperatives and other institutions in the area and illustrate how the two value chains can be linked with them, 

d) Document barriers faced by refugees in accessing financial and credit services, information and resources.

Business Model Assessment:  

1) Assessment of proposition/differentiation strategy – including in terms of product development and branding/marketing; 

2) Assessment of inputs needs and sourcing; 

3) assessment of operational processes and requirements – including management structures, human resource needs and operational procedures and processes (e.g. for quality control); 

4) Assessment of distribution and sales channels; 

5) Investment requires and profitability/sustainability analysis; 

6) ownership strictures and financing requirements; 

7) Key risks for implementing actos and mitigation strategy.

Key Deliverables

The study will be completed within 3 Months from the signature of the contract.

Preliminary report that reflects achievement of all the above mentioned objective and tasks will be delivered as follow:
  • Preliminary report / findings (summary) – by 7 weeks
  • Interim Report after incorporation of comments – by 10 weeks
  • Final report – by 13 weeks
Given the need to conduct the study within a short time frame (between 2 -3 months) the deliverables dates are tentative and it will be further revised and agreed with the selected candidate
 NRC Market and Value Chains Analysis

 How to Apply

Visit www.nrc.no to apply online

Search Criteria:
  • Location: Kenya
  • Industry: Emergency Relief
  • Special field: Consulting
  • Role: Consultant
Deadline for application: 27/12/2017

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