Mercy Corps Ethiopia

The Daily Monitor Jul28,2020

Call for Expression of Interest for Livestock traders in Somali region to stimulate offtake of small ruminant using market based smart subsidy

1.Background

Mercy Corps Ethiopia with its Consortium member of CARE Ethiopia, is implementing a five years USAID funded Resilience in Pastoralists’ Areas  (RIPA-North) project that targeted 22 woredas from Somali, Afar & Oromia Regions. The actual field level startup is slightly delayed due to COVID 19 pandemics induced mitigation measures but the stimulation of Shoat (Sheep and goat) offtake from Somali region selected target market is planned to mitigate the COVID 19 impact on the livestock trade for short term in the region. Resilience in Pastoral Area project is targeted eleven woredas from Siti, Fafan and Degahabur zones of Somali region. Following the COVID 19 pandemics and prevailing information on the desert locust infestation, RIPA team conducted rapid market assessment in May 2020 in the selected woredas of Somali regions by interviewing respondents engaged in livestock trade and reported that prices for livestock have decreased following COVID-19 mitigation measures. The reasons for the decline in livestock prices include loss of demand from traders as livestock markets were required to close because of movement restrictions and slowed livestock trading due to fear of aggravating COVID-19 situations affecting business, increased livestock transportation costs and declined demand for livestock products (e.g. meat). The desert locust infestations that has potential negative impact on the grazing land are expanding from time to time in the RIPA implementation areas of Somali Region.

This will affect the feed supply and resulted management of animal if no timely offtake as planned.

Based on this finding, RipA designed response plan to contribute for the  mitigation of COVID19 and desert locust shock unintended impact on the livelihood of pastoral community in the program implementation area without affecting the existing market systems. The intervention is on the stimulation of livestock offtake (around 5000 Sheep/Goat) through provision of market based subsidy to livestock trading enterprises to continue their engagement in the  business and create better demand for the livestock(shoat) for the pastoral producers. For this intervention, target markets are selected using rigorous selection criteria that combined the volume of shoat market, accessibility of market to traders (transportation facility), vulnerable community Participation in the marker, level of movement restriction impact in the area and Desert locust infestation around the market catchment. Accordingly, the four Livestock markets selected for the intervention are Biki, Dembel, Dhagahbour and Kebribayah.

Therefore, Mercy Corps hereby invites competent and legal registered livestock trading enterprises who are interested to participate in the stimulation of small ruminant offtake from the targeted markets in Somali region and sale the animal outside of the target area and/or region.

2. Application requirement and eligibility

The interested applicants/livestock trading enterprises must fulfill the following ELIGIBILITY criteria/application requirements: :

  • a) Should be registered business entities under Ethiopian law with renewed business license from the relevant authorities;
  • b) Are actively operating the livestock trade businesses (livestock trading, feedlot operation and/or livestock exporting) in or from Somali Region. Support document that show/verify his/her engagement should be included in the submission;
  • c) Have been in operation of similar business for a minimum of one year before the date of the application;
  • d) Shall express the interest to engage on small ruminant offtake from the targeted markets (The applicant should clearly indicate the market centers preferred and reasons for choosing he given market);
  • e) Interest to accept and work through livestock offtake service contract system;
  • f) Having bank account at one of commercial bank by business name; and
  • g) Women business owner will get added advantage.

3. Additional note/information

  • Application information (bid document) can be collected from Dire Dawa, or Jigjiga Mercy corps office from July 27th 2020 August 6th 2020
  • Application can be submitted personally to Mercy Corps’ offices  in Dire Dawa and Jigjiga Till August 6th 2020 11:00am;
  • The organization reserves right to cancel or change the call, if it gets better option to meet its objectives;
  • For technical issues and/or any other additional clarifications, contact Mercy Corps Operational team through the following address:

Jijiga office:

-Tel. No.+251-25-775-7477, Feysel Farah, Technical Ashir Hajji, Procurement related Dire Dawa office:

Tel. No.+251-25-113-1220/21, Tewodros Solomon

+251-25-775-7477, Feysel Farah