Deadline: 14 February 2020
The Agricultural Business Initiative (aBi) is a multi-donor entity devoted to private sector agribusiness development. aBi follows a long-term commitment by being both a catalyst in support of the Ugandan agricultural sector and a conduit through which development partners and investors can build the capacity of the agricultural sector. aBi was jointly founded by the Governments of Denmark and Uganda in 2010.
aBi is supporting agribusiness development in the private sector to achieve the objective of the Government of Uganda’s Competitiveness and Investment Climate Strategy (CICS).
aBi is a social enterprise that channels development cooperation funding to agribusinesses and agricultural service providers in Uganda with the aim of building a strong and competitive agriculture sector. aBi consists of two companies, aBi Development Ltd (formerly aBi Trust) and aBi Finance Ltd. aBi Development channels development funding as matching grants and Business Development Services to agricultural producers and agribusinesses to enhance their management, production, productivity, value addition, income, profitability and employment. aBi Finance provides Lines of Credit to Financial Institutions for on-lending to agribusinesses across the entire value chain. aBi Finance also runs an Agriculture Loan Guarantee Scheme that offers financial incentives to Financial Institutions (FIs) that make lending to the agricultural sector more attractive and less risky. Under the Financial Services Development programme aBi Finance provides matching grants to FIs to build institutional capacity for enhancing the provision of financial services and increase outreach in rural areas.
aBi provides both financing and technical support in selected agricultural value chains and offers an integrated approach on value chain development.
The goal of the irrigation FW is to contribute to improved profitability, income and employment of Ugandan farmers and agribusinesses through promotion of irrigation technologies.
Strategic Objectives
A competitive, profitable and sustainable agriculture and agribusiness sector in support of equitable wealth creation in Uganda.
- Long-term profitability and income of and employment creation by Ugandan farmers and agribusinesses increased
- Smallholder farmers’ sustainable production, productivity and market integration increased
- Beneficiary agribusinesses overall business performance and sustainability improved
- Smallholder farmers and agribusiness access to serviceable financial services increased
- aBi’s efficiency, effectiveness and sustainability enhanced
The application should consider the following: –
- Should contribute to the achievement of the above objectives;
- Demonstrate a sound, innovative and sustainable business model;
- Demonstrate experience and commitment in developing irrigation sector in Uganda;
- Description of proposed solutions and value proposition to smallholder farmers and agribusinesses in the peri-urban and rural communities in the geographical areas listed above;
- Summarize the technical and financial support required from aBi and level of own contribution
- Should be viable projects with a strong value for money rationale;
- Demonstrate complementarity with existing initiatives or programs of aBi or other business entities;
- Should have a well thought out exit strategy and sustainability plan;
Duration
Implementation of proposed activities should cover a period of not more than three years.
Eligibility Criteria
- Irrigation equipment suppliers/service providers;
- SMEs and Farmer Organisations involved in high value crops in horticulture (particularly fruits and vegetables);
- Demonstrable experience and commitment in developing irrigation sector in Uganda;
- Innovation and level of contribution to the Project Budget in cash;
- The applicant should be agreeable to compensation based on performance;
- Applicant should be reputable organization with no previous record of funds mismanagement
- Applicant should be fully tax and NSSF compliant
Financial Institutions that meet the following criteria are also eligible to apply;
- Legal entity with proof (copy of registration letter)
- Minimum savings amount: USh 500M in savings
- Minimum loan portfolio: USh 500M in loans
- Minimum loan portfolio sectoral allocation to agriculture: 10%
- Period in existence: 3 years, with audited financials
- Legal compliance e.g Tax, NSSF
- Average annual PAR >30days – < 10%
How to Apply
An information sharing session on this call for proposals will be held on Friday 31st January 2020 from 10:00am – 1:00pm. Interested parties are invited to attend. To register to attend please send an email at the address given on the website.
To make an application, interested parties can apply through the aBi Grants via given website.
For more information, visit https://www.abi.co.ug/vcd-call-for-proposals/