Market analysis to inform local procurement of commodities-Cameroon

Implementer : Nascent Solutions Inc. (Nascent)

Funder: United States Department of Agriculture (USDA)

Location: Cameroon

Period for the evaluation: July- September 2024

Introduction

Nascent Solutions, Inc. (Nascent) is implementing the McGovern-Dole International Food for Education and Child Nutrition Project (MGD-FFE) to improve the literacy and nutrition of school-age children in 260 schools in the Adamaoua, East, North, and Northwest regions of Cameroon. The program will provide school meals to students using US-donated and locally procured commodities. The US-donated commodities will include rice, beans, and corn-soy blends, while the locally procured commodities will include biofortified maize and beans, palm oil, and chicken eggs.

Nascent Solutions Inc. seeks a consultant or consulting agency to conduct a market analysis to enhance understanding of the local supply and demand of the needed food commodities and the potential impact of local procurement on market prices for local communities. The results will inform Nascent Solutions’ LRP strategy or operational plan.

Background

The LRP component presents a market opportunity for local biofortified maize, beans, palm oil, and chicken egg producers. Nascent Solutions seeks to understand how these commodities will be reliably supplied or obtained to support the school feeding program. Nascent Solution is also aware that buying large commodities from the local market can cause price increases or shortages for local communities in the short run. We consider that the US-donated commodities take-home ratios provided to students will be small amounts and negligible to affect local commodity prices. The same can’t be assumed for the commodities procured locally. The consultant will provide an in-depth analysis of the supply chain of the commodities, including production trends and key actors, and offer recommendations on how required quantities can be reliably procured while avoiding causing harm to the food security of local communities.

Purpose of the Market Analysis

To understand the supply and market impact of local and regional procurement of biofortified maize and beans, palm oil, and chicken eggs (from North, Northwest, Adamawa, and East regions of Cameroon) to inform the design of an LRP plan that enhances income generation for the poor, especially women.

Objectives

1. Identify and analyze local and regional production capacity and seasonality of maize, beans, palm oil, and chicken eggs against the demand for the school feeding program commodities.
2. Identify the key players in the supply chain of the commodities, including aggregation and value addition points/actors -local and regional
3. Establish the five-year local annual price trends and price elasticity of commodity demand and discuss any potential adverse effects on the local market.
4. Identify challenges, if any, that might limit the ability to successfully/reliably acquire required stocks of commodities locally and regionally
5. Recommend a procurement plan that enhances income generation for the smallholder farmers, farmer cooperatives, and SMEs while minimizing potential adverse effects, if any, on local markets.

Expected Outputs of the Consultancy

1. The successful applicant is expected to produce the following as the Activity Deliverables:
2. Inception report outlining the methodology and implementation plan of how the applicant will approach the consultancy
3. Technical report from the analysis
4. PowerPoint Presentation (PPT)
5. Research instruments, including survey forms, data, and data analysis codes

Time Frame

The entire work is expected to be completed within 25 days (August 10 – 31st, 2024) from the signing of the contract. This period includes fieldwork and reporting.

Duty Station

Yaoundé travels to all project regions.