Food Security Solutions Grant Program in Sri Lanka

Deadline: 30-Jun-23

Palladium is seeking applications from qualified applicants, as grantees, to implement the Food Security Solutions Grant Program under the CATALYZE Sri Lanka Private Sector Development (PSD) Grants Program.

This opportunity will provide grant funds to qualified commercial entities seeking co-investment to pilot and/or scale-up activities that contribute towards Sri Lanka’s improved food security by increasing the competitiveness of Sri Lankan Agri-MSMEs.

Palladium’s CATALYZE Private Sector Development (PSD) Activity will partner with eligible commercial entities seeking co-investment to pilot and/or scale-up activities that contribute towards Sri Lanka’s improved food security by increasing the competitiveness of Sri Lankan Agri-MSMEs.

The CATALYZE Sri Lanka Private Sector Development (PSD) Activity is a 4-year program designed to bolster Micro, Small and Medium Enterprises (MSMEs) in high-growth potential sectors in Sri Lanka. The Activity is organized around three primary objectives, interconnected with a fourth core cross cutting theme:

• Objective 1: Improved capacity and competitiveness of MSMEs
• Objective 2: Improved access to and availability of finance for MSMEs
• Objective 3: Increased economic resilience to the economic impacts of COVID-19
• Cross Cutting Theme: Increased economic participation of women.

Objectives

• The goal of the Food Solutions Grant Program is to address the barriers to increased competitiveness and resiliency of Sri Lankan Agri-MSMEs, thereby improving the availability and accessibility of food and ultimately strengthening Sri Lanka’s overall food security and production.
• Awards under this program will contribute to one or more of the following objectives:
  • Enhance agricultural productivity and efficiency by increasing access to and better use of agricultural inputs.
  • Implement modern farm/crop management technologies, including climate-smart practices (defined as those that either sustainably increase agricultural productivity and incomes, help food systems adapt and build resilience to climate change, and/or reduce and/or remove greenhouse gas emissions).
  • Enhance market access for Agri MSMEs by strengthening supply or value chains and expanding trade opportunities.
  • Increase access to sustainable and affordable funding for Agri MSMEs.
  • Reduce post-harvest losses and food waste through improved storage, processing, and distribution systems.
  • Promote innovation and new products/ services development, including value-added products and seed/inputs production.
• Additionally, all awards will contribute towards PSD’s cross-cutting theme by promoting active participation of women.

Scope

• Through this grant program, PSD will partner with eligible commercial entities seeking co-investment to pilot and/or scale-up activities that contribute towards Sri Lanka’s improved food security by increasing the competitiveness of Sri Lankan Agri-MSMEs.
• The proposed initiatives will be operationalized through commercial entities that are already a part of food production (supply and or value chains) with access to AGRI MSMES. The proposed initiatives should be targeted to improve Agri-MSMEs competitiveness and access to markets, build the resilience of these chains, and create mutual benefits for Agri-MSMEs and Commercial Entities while addressing the objectives.
• The applicants are required to use the entire proceeds of the grant for the benefit of Agri-MSMEs, who are the ultimate beneficiaries of the grant. The applicants are also expected to collaborate with financial institutions and other relevant stakeholders, or independently leverage their resources, as needed, to achieve the objectives of this RFA. This may involve seeking additional inputs or leveraging existing resources to maximize the impact of the grant on the target population.

Funding Information

• Total funding available (all grants): $400,000.00
• Subject to availability of funds, Palladium intends to provide up to USD 400,000.00 in total funding for activities to be implemented no later than 30 August 2024 with award amounts in the range of USD 75,000.00- USD150,000.00. Palladium reserves the right to fund any or none of the applications submitted.
• Schedule: Project anticipates awarding one or more Fixed Amount Award grants as a result of this solicitation process by 29 September 2023. The expected performance period for all grants awarded under this solicitation is 9 months from the anticipated start date.

Anticipated Outcomes

• Specific outcomes will vary based on the activities included in the final negotiated awards, but all awards will contribute towards increased competitiveness of agri-MSMEs.
• Outcome Indicators
  • Outcomes will be quantified using the following criteria, as applicable based on programmatic interventions proposed by applicants:
    • Number of new or existing agri-MSMEs included in the proposal.
    • Number of new hectares under improved management practices or technologies thanks to the proposal.
    • Value of annual sales generated through increased production, new markets, or the value increased in the existing markets of AGRI-MSMEs receiving PSD’s assistance.
    • Number of new and/or value-added products/processes adopted by Agri-MSMEs as a result of PSD program assistance.
    • Value of financing accessed by AGRI MSMES as a result of PSD program assistance.
    • Number of Women-led AGRI-MSMEs assisted.
    • Value of new private financing or investment for agri-MSMEs.
    • Number of employments sustained and/or created.

Eligibility Criteria

• Eligibility under this RFA is restricted to commercial, Sri Lankan entities that:
  • Have been involved in the agriculture or food security sector (production, supply and/or value chains) for a minimum of two years and
  • Have forward or backward commercial linkages with a network of at least 50 agri-MSME
• Examples of such commercial entities include buyers, traders, input suppliers, exporters, and processors. Such commercial entities often provide important products or services, or support to the MSMEs they buy from or sell to, as part of their commercial relationships with their supplier base. Agri-MSMEs are defined as profit-oriented enterprises that are involved in the food production either directly or by providing enabling services to supply and/or value chain actors.

Eligibility Requirements

• NGOs are organizations that act neither in governmental capacity nor as agents of the government. Both U.S. and non-U.S. NGOs are eligible to receive grant funding. An international NGO is eligible if the majority of its constituent members are NGOs. Grant applications from both not-for-profit and for-profit organizations will be accepted.
• In order to be considered eligible for any grant award, prospective grantees must:
  • Be legally registered as a not-for-profit or for profit organization in accordance with the laws of Country (registration documents required) as applicable to this solicitation;
  • Not be part of a government or any government structures (unless government structures are eligible under subsequent eligibility section);
  • Not appear on any list of debarred or suspended entities, or on any terrorist watch list or other published list of ineligible recipients.
  • Certify that they are not affiliated with any political party nor engaged in any partisan activities.
  • Comply with the application format guidelines and instructions mandated in the RFA, including submitting a budget within the identified funding limitations of the RFA.
  • Have or be able to obtain a Unique Entity Identification (UEI) Numberfor an award exceeding $25,000 (or local equivalent).
• Additional eligibility criteria specific to this solicitation are:
  • Meets the definition of a Commercial Entity
  • Has been affiliated with/involved in the food production value chain within Sri Lanka for a minimum of two years.
  • Has direct access to a minimum of 50 agri-MSMEs falling within the definition of Agri-MSMEs
  • Certify that they are receptive to participation in available learning opportunities and commit to participating in capacity building components if such a requirement occurs.

For more information, visit Food Security Solutions Grant Program.