INDIVIDUAL CONSULTANT

CONSULTANCY SERVICE FOR THE DEVELOPMENT AND FINALIZATION OF THE AFRICAN UNION COMMODITY STRATEGY AND WORK PROGRAM

Reference No.: AUC/TID/C/180

Background

1. Africa has about 12 per cent of the world’s oil reserves, 42 per cent of its gold, 80–90 per cent of chromium and platinum group metals, and 60 per cent of arable land in addition to vast timber resources. Africa experienced a commodity boom since the early 2000s translating to the continents unprecedented growth that was only disturbed by the onset of the Global Financial Crisis of 2008. Whilst the Continent was able to recover from this global shock by 2010, and rebounded with a strong growth rate of 4.6 on average, this boom did not translate to consummate economic diversification that would have led to faster social development for the African people.

2. The recognition of the challenges and opportunities of Africa’s commodity wealth has been reflected in different decisions of the African Union including the Arusha Declaration on African Commodities and in other frameworks such as the Comprehensive Africa Agriculture Development Program (CAADP), the African Mining Vision and the Accelerated Industrial Plan for Africa (AIDA). However, the recent commodity boom and the challenges arising from the drop in commodities prices have necessitated a holistic rethinking and fresh approach to the question of how African commodities wealth can drive the continent’s development.

3. The 2013 Economic Report for Africa produced by the United Economic Commission for Africa (UNECA) sadly notes that most African economies still depend heavily on commodity production and exports, with too little value addition and few forward and backward linkages to other sectors of the economy. The Report further notes that the limited impact of commodity-driven growth on employment and social development has been aggravated by liberalizing reforms and globalization that, in the absence of serious government policies to promote economies’ productive capacities and ability to compete in international markets, have left a legacy of inappropriate incentives and institutions that threaten economic and political stability as well as social cohesion. African countries must therefore address the reasons why stronger growth and trade have not stimulated economic diversification, job creation and socioeconomic development.

4. Africa’s vulnerability to external shocks partly due to the dependency on the export of raw commodities is a continuous cause of worry. Commodity Price volatility continues to be a critical feature of international commodity markets and this creates challenges for the macroeconomic management of and exposes developing countries to greater macroeconomic uncertainty.

5. It is in this regard that the African Union Commission has developed a Draft Commodities Strategy for Africa in line with the various Decisions of its Policy Organs.

General Objective and Scope of the Assignment

6. The African Union commission is seeking a consultant to undertake some work on the finalization and the Implementation of the African union Commodity Strategy.

7. The general objective of the Consultancy is to examine how the AU Commodity Strategy can assist in ensuring that Africa commodities become the backbone of Africa’s manufacturing base and industrial development.

8. The consultancy will also examine how best to establish regional value chains that can be efficiently linked to the global value chains. In addition, the Consultancy will propose recommendations on creating dynamic mechanisms aimed at minimizing the negative impact of commodity price volatility, through utilization of Africa’s wealth of natural resources and absolute comparative advantage in commodity market to ensure fair prices, encourage diversification anchored in value addition, local content development and extracting high rents from commodities and Deepening regional commodity markets and facilitating commodity Trade.

9. Specifically, this consultancy is expected to cover the following:-

(i) Reviewing all necessary AU Assembly Decisions on Commodities and propose how they can be implemented in line with the Commodities Strategy

(ii) Review any relevant decisions have been taken by RECs on Commodities (if any)

(iii) Review previous initiatives and institutional framework for Commodities in Africa especially under the Arusha Declaration on Commodities and the AU Commodities Task Force

(iv) Review and develop TORs for the AU Commodities task Force and its sub-Committees on Agriculture and Energy and Minerals.

(v) Develop strategies and a work plan for the implementation of the Commodity Strategy at the Continental level for the three commodity sectors identified in the Draft strategy i.e. Agriculture, Mining and Energy.

(vi) Propose and document a Tool Suite for African Union Member states aimed at managing Commodity Price volatility including in such areas as price stabilization, taxation, macroeconomic policy, and utilization of commodity revenues.

(vii) Propose models and guidelines for establishing Commodity Exchanges at the National, regional and Continental levels.

(viii) Facilitate a Meeting of the AU Commodity task Force

Key Deliverables and schedule

10. The deliverables for this assignment shall be in line with the consultancy objectives and shall include the following:-

(i) Inception report detailing the Consultants understanding of the assignment following consultations with the AUC Departments of Trade and Industry and Rural Economy and Agriculture as well as the Department of Infrastructure and Energy, 10 days after the commencement of the assignment.
(ii) Progress Report on each of the consultancy specific objectives, five weeks after the commencement of the assignment
(iii) A Draft Final Report, 7 weeks after days after the commencement of the assignment
(iv) Facilitation of a validation workshop with the AU Commodities Task Force which shall include the presentations findings and recommendations based on the scopes and objectives of the assignment.
(v) Final report of the assignment 2 weeks after the Assignment in (iv) above

11. All reports shall be written in either English or French and submitted in electronic versions in line with the hierarchy outlined in section G below.

Qualification and Experience

The Consultant would be selected based on the following minimum educational and experience criteria:

Education
• At least a Master degree in Agricultural Economics, Energy Economics, International Trade or other relevant related qualifications.

Experience
• At least 10years’ experience working in technical advisory roles in the areas of either Agriculture, Mining or Energy Commodities and value chain development in Africa;
• At least 2 experiences of carrying out similar consultancy work
Demonstrated knowledge of Africa’s regional integration and Africa’s Trade and Industrialization Agenda
Required Skills

• Demonstrated excellent written and oral communication skills in through publication in the area of commodities including value chain development, and analysis.
• Strong oral and written communication Skills in either English or French. Knowledge of both or an additional AU language will be an added advantage.
• Good understanding of the Regional Economic Communities (RECs) systems.

Duration
Duration of the assignment is two months or 46 working days.

The African Union Commission now invites eligible Individual Consultants to indicate their interest in providing the Services. Interested candidate must provide information demonstrating that he/she has the required qualifications and relevant experience to perform the Services. Consulting firms may propose individual consultant, but only the experience and qualifications of individual shall be used in the selection process, and that his or her corporate experience shall not be taken into account, and the contract would be signed with the proposed individual.

For evaluation of the expressions of interest the following criteria will be applied:

a) General Education Qualification and Relevant Training (20 points);
b) Experience Related to the Assignment (30 points);
c) Technical approach and methodology (40 points)
d) Work plan (10 points)

Interested candidates are requested to submit the following documents for AUC’s consideration as an attachment to the CVs:

a) Technical Proposal on:
• understanding and interpretation of the TOR
• methodology to be used in undertaking the assignment
• time and activity schedule

b) Financial proposal
• Consultant’s daily rate in US$
• Other costs e.g. travel and accommodation
• Total cost

Further information can be obtained at the address below during office hours 8:00-13:00hrs and 14:00-17:00 hours Local Time.

Proposal must be delivered in a written form to the address below not later than 15:00 hours local time, November 02, 2017.

African Union Commission,
Attn: Carine Toure Yemitia (Mrs.)
Head of Procurement Travel and Store Division
Building C, Room 327
P.O.Box 3243, Roosevelt Street
Addis Ababa, Ethiopia

Tel: +251 (0) 11 551 7700 – Ext 4305
Fax: +251 (0) 11 551 0442; +251 11-551-0430
E-mail: tender@africa-union.org