(CLOSED) Request for Proposal – Study on Living Income Gap in Global Natural Rubber Value Chains – Indonesia
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Introduction & Background
The Global Platform for Sustainable Natural Rubber (GPSNR), is an international Multi-Stakeholder, voluntary membership initiative seeking to lead improvements in the socioeconomic and environmental performance of the natural rubber value chain. Development of the GPSNR was initiated by the CEOs of the World Business Council for Sustainable Development (WBCSD) Tire Industry Project (TIP) in November 2017. Members of the platform include tire manufacturers, rubber suppliers and processors, vehicle makers and NGOs. Representatives from each of these stakeholder groups have contributed to the development of the Singapore-based platform and the wide-reaching set of priorities that will define GPSNR strategy and objectives.
Through a process led by the Equity Working Group, the Platform has begun an investigation into how value can be equitably distributed across the entire natural rubber value chain. To achieve this aim, it is important for the Platform to gather information about the following metrics in different countries:
i) the prevailing net household income of rubber smallholders;
ii) the detailed cost of production for rubber (input costs, labor etc);
iii) the living income for rubber smallholders;
iv) the living income gap and v) the living income reference price for rubber (the price at which the living income benchmark can be reached).
The Platform has decided to limit the focus of this initial study to Ivory Coast, Indonesia, Thailand, and Myanmar and the consultant is expected to collect information on the aforementioned metrics in Indonesia for this study.
Given that living income data is not readily available for each country, alternative benchmarks should be used where relevant and applicable. A list of potential benchmarks and preliminary data are illustrated in the attached document. To facilitate cross-country comparisons of income data and living income levels, the consultant is expected to use consistent units of measurement (per household / per workforce / per person) throughout this study.
The consultant will collect the information via desktop study, interviewing of GPSNR members, research institutes, social NGOs, governmental organizations, etc. A primary list of stakeholders will be provided by the Secretariat together with the Equity Working Group members. A complementary list will be developed by the consultant. Regular contact and updating to the Equity Working Group together with the Secretariat will be required. Travel plans shall be made by the consultant where possible and necessary.
Submission Guidelines & Requirements
The following submission guidelines & requirements apply to this Request for Proposal:
Proposals will only be accepted from individuals or firms with experience relevant to this project.
Examples of previous relevant work should be provided as well.
A technical proposal must be provided that is not more than 4 pages. This technical proposal must provide an overview of the proposed solution as well as resumes of all key personnel performing the work. In addition, the technical proposal should provide a proposed schedule and milestones, as applicable.
A price proposal must be provided that is not more than 1 pages. This price proposal should indicate the overall fixed price for the project as well as hourly rates and an estimated total number of days.
Proposals must be signed by a representative that is authorized to commit bidder’s company.
Proposals must be received prior to 19th August 2020 to be considered. Proposals should be submitted to stefano.savi@gpsnr.org for consideration.
GPSNR anticipates shortlisting at least two individuals or firms to have more in-depth discussions with, and will make an award to one of these “down-selected” individuals or firms.
Budget
The Platform is anticipating that a total budget of no more than 10,500 Euros be allocated to this engagement.
Payment terms shall be:
50% at the signing of the contract
50% on delivery of the final report
Evaluation Factors
GPSNR will rate proposals based on the following factors, with cost being the most important factor:
Responsiveness to the requirements set forth in this Request for Proposal;
Relevant past performance/experience;
Samples of work;
Cost, including an assessment of total cost of ownership;
Technical expertise/experience of bidder and bidder’s staff;
The ability to collect information at the global and local level.
GPSNR reserves the right to award to the bidder that presents the best value to GPSNR as determined solely by GPSNR in its absolute discretion.
The Global Platform for Sustainable Natural Rubber (GPSNR), is an international Multi-Stakeholder, voluntary membership initiative seeking to lead improvements in the socioeconomic and environmental performance of the natural rubber value chain. Development of the GPSNR was initiated by the CEOs of the World Business Council for Sustainable Development (WBCSD) Tire Industry Project (TIP) in November 2017. Members of the platform include tire manufacturers, rubber suppliers and processors, vehicle makers and NGOs. Representatives from each of these stakeholder groups have contributed to the development of the Singapore-based platform and the wide-reaching set of priorities that will define GPSNR strategy and objectives.
GPSNR has created three core working groups to help advance the platform’s mission to reduce social and environmental risks throughout the natural rubber supply chain. Working Group 3 (WG3) is dedicated to Traceability and Transparency, with the objective to recommend tools to trace, assess the risk and achieve transparency of any given natural rubber product buyer’s supply chain.
To achieve the WG3 objective, we are requesting proposals for projects that will assess supply chain risks, achieve supply chain traceability and achieve supply chain transparency.
Scope of Work and Objective
1: Take stock of the traceability and transparency requirements
Understand the requirements of the traceability and transparency tools through discussions and interviews with various members and EC of GPSNR. This includes
What level of traceability and transparency (T&T) different stakeholders desire while meeting the criteria and policy?
What level of T&T is needed in high risk areas and in low risk areas?
How they define high risk and low risk areas?
How they plan to identify high and low risk areas?
What data in the supply chain (based on the draft GPSNR sustainability criteria) are different stakeholders (particularly downstream rubber industry) agreeable to sharing and with what entities (such as GPSNR, NGOs, competitors, and suppliers), and on what conditions?
What data is absolutely confidential that can’t be shared (even with an entity like GPSNR on a strictly confidential basis)?
What costs they are willing to pay/ton for T&T in different risk profile areas?
2: Assess Methodologies and Effectiveness of Traceability and Transparency Tools
The following request for proposal asks for a study of the functionalities of traceability/transparency tools being used by the natural rubber and other similar industry sectors:
Supply chain and product tracking
Supply chain mapping
Satellite and remote sensing (incl. Artificial Intelligence opportunities)
The study should look at each tool’s methodology for identifying origin and collecting information and make recommendations for which tools work best (and which do not) regarding the following key areas:
The process of data collection and types of data that can be collected
The ability of the tool to identify risk and/or contribute to a risk assessment in the following categories[1]:
Social: Protecting internationally recognized human rights and labor rights (UN Guiding Principles on Business and Human Rights and ILO Core Conventions), securing Free, Prior and Informed Consent, Recognizing rights of indigenous peoples and local communities, provision of community livelihoods, etc.
Environmental: Deforestation, protection of High Conservation Values (HCVs) and rare, threatened and endangered species, water quantity and quality, soil protection, protecting peat lands, etc.
Legality: Applicable local, national and international laws on human rights, labour, land use and the environment.
Analyze the usability of results delivered – functionality (is it user friendly – pragmatic – “ready to go”)
Analyze the types of data that are accessible by each tool for:
Social: Protecting internationally recognized human rights and labor rights (UN Guiding Principles on Business and Human Rights and ILO Core Conventions), securing Free, Prior and Informed Consent, Recognizing rights of indigenous peoples and local communities, provision of community livelihoods, etc.
Environmental: Deforestation, protection of High Conservation Values (HCVs) and rare, threatened and endangered species, water quantity and quality, soil protection, protecting peat lands, etc.
Legality: Applicable local, national and international laws on human rights, labour, land use and the environment.
Explore challenges with data sharing considering confidentiality and data ownership (within each tool), but also consider feasibility and the possibility of sharing information between tools.
Understand the reliability of data and the auditability of data (verify). Consider each tools ability to be audited to 1st, 2nd, and 3rd party methods. Consider the differences between tools that collect data via voluntary declaration of the suppliers vs onsite data collection by a 2nd or 3rd party.
Understand cost– what are other costs that need to be considered:
Set-up/prerequisite
Maintenance
Deployment
Understand the scalability of each tool. At what geographic level can each tool perform and within what timeframes.
Adaptability of tool for use by GPSNR members to meet commitments and reporting requirements.
[1] Note: this bullet point is not asking the assessor to conduct a risk assessment themselves. It is asking the assessor to identify which tools provide valuable data to evaluate and identify risk regarding specific environmental, social and legality factors.
Submission Guidelines & Requirements
The following submission guidelines & requirements apply to this Request for Proposal:
Proposals will only be accepted from individuals or firms with experience relevant to this project.
A technical proposal must be provided that is not more than 4 pages. This technical proposal must provide an overview of the proposed tools for analysis as well as resumes of all key personnel performing the work. In addition, the technical proposal should provide a description of previous relevant work, and a proposed schedule.
A price proposal must be provided that is not more than 1 pages. This price proposal should indicate the overall fixed price for the project as well as hourly rates and an estimated total number of days.
Proposals must be signed by a representative that is authorized to commit bidder’s company.
Proposals must be received prior to 19th August 2020 to be considered. Proposals should be submitted to stefano.savi@gpsnr.org for consideration.
GPSNR anticipates shortlisting at least two individuals or firms to have more in-depth discussions with, and will make an award to one of these “down-selected” individuals or firms.
Budget
The Platform is anticipating a total budget of no more than 30,000 Euros for the study.
Payment terms shall be:
50% at the signing of the contract
50% on delivery of the final report
Evaluation Factors
GPSNR will rate proposals based on the following factors, with cost being the most important factor:
Responsiveness to the requirements set forth in this Request for Proposal;
Relevant past performance/experience;
Samples of work;
Cost, including an assessment of total cost of ownership;
Technical expertise/experience of bidder and bidder’s staff;
GPSNR reserves the right to award to the bidder that presents the best value to GPSNR as determined solely by GPSNR in its absolute discretion.
Please submit your application to stefano.savi@gpsnr.org by 19 August 2020.
The Global Platform for Sustainable Natural Rubber (GPSNR) is an international multi-stakeholder, voluntary membership initiative seeking to lead improvements in the socioeconomic and environmental performance of the natural rubber value chain. Development of GPSNR was initiated by the CEOs of the World Business Council for Sustainable Development (WBCSD) Tire Industry Project (TIP) in 2019. Members of the platform include tire manufacturers, rubber suppliers and processors, vehicle makers and NGOs. Representatives from each of these stakeholder groups have contributed to the development of the Singapore-based platform and the wide-reaching set of priorities that define GPSNR strategy and objectives.
As of October 2022, GPSNR has 157 smallholder members from 10 countries.
HCSA
Established in 2014, the HCSA sets the standard approach for implementing no deforestation commitments on the ground for any commercial crop grown in moist tropical forest landscapes (for example, of palm oil, wood pulp or cocoa). It is underpinned not only by a commitment to no deforestation, but also by a commitment to respect the rights and livelihoods of local people.
To this end, the HCSA has developed a Toolkit that provides practical guidance to help companies, local communities, and other stakeholders to agree on which lands should be used for commercial agriculture or forestry, what activities will take place on community lands, which areas of forests should be conserved, and how lands should be managed and monitored.
HCVN
The Network is a member-based organization that promotes the High Conservation Value (HCV) Approach, a three-step methodology to identify and protect ecosystems, biodiversity, and the needs of local communities and indigenous groups where development takes place.
Over several years the HCV Network has developed smallholder adapted HCV procedures, tailored to certification schemes, including for RSPO, Better Cotton Initiative and Fairtrade. More recently, The HCV Network have developed Nature Positive Farming, a tool to scale up engagement with smallholder producers who are not certified, and support them transition towards no-conversion and HCV protection production.
Project Summary
GPSNR is working with a Partnerships for Forest (P4F) grant to create mechanisms and systems to support and sustain long-term participation of smallholder members on the platform.
Under the P4F grant, a collaborative effort between GPSNR and HCSA was proposed due to the timely development of the HCSA Smallholder Approach which required further trials towards the development of a global, cross commodity framework and practical guidance for smallholders.
A joint Task Force comprising of GPSNR and HCSA members is seeking proposals to conduct field trials for the HCSA Smallholder Approach for natural rubber smallholders in Indonesia.
Depending on logistical and cost efficiencies proposed by bidders, the project could also include concurrent field trials for the High Conservation Value (HCVN) Nature Positive Farming programme for natural rubber smallholders.
————————————————————————————————–
Proposals should include a timeline and budget for either project option:
Option 1
Field trials only for the HCSA Smallholder Approach
Option 2
Concurrent field trials for the HCSA Smallholder Approach and the HCVN Nature Positive Farming Programme
Key Project Details
Smallholder farms utilise approximately 12% of global agricultural land and smallholder farms are estimated to support a population of more than 2 billion people directly and indirectly[1]. Smallholder farms therefore play a critical role in food security, poverty reduction and sustainable development for a very large proportion of rural populations, globally. This being said, it is also important to identify the role of smallholder farmers in sustainable commodities production and trade.
HCSA Smallholder Approach
The HCSA Smallholder Approach is being developed with the aim to provide a framework and practical guidance for smallholder groups to identify and manage forests and other conservation values in their administrative areas. It is designed to provide simple, clear steps to formulate and implement an initial plan to manage these forests and other conservation values sustainably. The HCSA Smallholder Approach was developed and tested in the Indonesian context and for smallholder farmers that produce palm oil in mixed production landscapes, i.e., in combination with other commodities including rubber, agroforestry systems, home gardens, and that manage forest areas as part of shifting cultivation regimes or as customary forests.
Upon Request:
The project Task Force will provide interested bidders with the HCS Smallholder Approach toolkit to allow bidders to build their proposals in line with the requirements put forth in this tender.
HCVN Nature Positive Farming
The Nature Positive Farming programme is an early engagement programme for companies and landscape initiatives to support non-certified smallholder farmers protect High Conservation Values and natural ecosystems as part of responsible sourcing commitments.
It is built around facilitated, structured dialogue with smallholders and their communities. It aims for conservation and support agreements between smallholders and project partners, for maintaining and enhancing environmental and social conservation values on and around their farms. The first field trial was conducted with smallholder producer communities in the Siak Pelalawan Landscape, Riau, Indonesia.
Upon Request:
The project Task Force will provide interested bidders with the HCVN Nature Positive Farming toolkit to allow bidders to build their proposals in line with the requirements put forth in this tender.
Proposals should provide a timeline and plan that covers the four project phases set out below.
Proposals should include a timeline and budget for either project option:
Option 1 Field trials only for the HCSA Smallholder Approach
Option 2 Concurrent field trials for the HCSA Smallholder Approach and the HCVN Nature Positive Farming Programme
Phase 1: Project Preparations
a. Dialogue with key Task Force members, including understanding GPSNR’s (in-development) risk assessment approach
b. Assessment and proposal of suitable field trial locations for natural rubber smallholders in the following regions in Indonesia:
a. North Sumatra, and/or
b. Jambi, and/or
c. South Sumatra
d. Bidders may also propose other regions with reasons and justifications
c. Initial networking with key actors on-site in Indonesia
Phase 2: Outreach and Training
a. Develop training systems and materials for implementing actors for the HCSA (and HCVN) toolkits, including training sessions for field staff
b. Plan for actively involving locally embedded actors in pilot activities and engagement with smallholders
Phase 3: Field Trials
a. Plan to implement 1-2 field trials for the HCSA (and HCVN) toolkits with natural rubber smallholders, communities, or cooperatives in the proposed locations of Jambi and/or South Sumatra
b. Plan should include:
§ Target total number of smallholders or farms involved in the trials
§ Level of actor engaged (e.g., village; cooperatives; individual smallholders) engaged for the field trials
§ Targets such as gender, minority, and youth representation
§ Description of the proposed relevant Areas(s) of Interest (ideally village-level trials, but project is open to trials with independent smallholder cooperatives)
o In case areas under control by cooperatives or individual farmers deviate (significantly) from official village administrative areas, an outlook on how this will be considered during field trials and post-trial review
§ Description of field trial methods including an outlook whether different methods are going to be tested during field trials (in relation to verification of maps, assessment of vegetation strata, land use zoning, etc.)
Noting ideal requirements for smallholder representatives or community-leads: adequate level of reading and writing ability
The consultants would be responsible as well for providing technical guidance to smallholders throughout the trials
Phase 4: Post-Trial Review
a. Analyse strengths and weaknesses of each toolkit from the perspective of natural rubber smallholders
b. Provide recommendations (e.g. contexts on when/how to use the tools, areas of toolkit improvement, how the toolkits support delivering on the GPSNR systems i.e. risk assessment, risk mitigation, assurance framework, reporting framework and shared responsibility mechanism)
c. Contribute to developing a strategy to upscale pilot activities in the project areas, or to other project areas
Intended project outputs and outcomes
Through the field trials, the Task Force aims to develop a strong understanding of the feasibility of the HCSA (and HCVN) toolkits for the following:
1. Mapping: Areas for development / conservation areas / mixed, multi-layered production areas, e.g., community use areas including shifting cultivation, agroforestry, home gardens, others as applicable
2. Conservation: Toolkit that can be passed on to GPSNR smallholder communities to effectively map and manage areas for conservation; to understand their land and land-use plans; showcase their commitment to no-deforestation
3. Integration with GPSNR Risk-based Approach: Toolkits as a risk mitigation tool that GPSNR member companies can use to identify and address land-use risks, and to channel funding and other related commitments accordingly
i. Analysing the extent to which the toolkits can be a mitigation tool for specific/multiple policy commitments in the GPSNR Policy Framework and other systems
Submission Guidelines & Requirements
The following submission guidelines & requirements apply to this Request for Proposal:
1. A detailed technical proposal must be provided. This technical proposal must provide an overview of the proposed methodology for the three Phases of the project. In addition, the technical proposal should provide a proposed schedule and milestones, as applicable.
2. A detailed price proposal must be provided. This price proposal should indicate the overall fixed price or expected price range for each Phase of the project, including daily rates and an estimated total number of days for each Phase of the project.
3. Proposals will only be accepted from individuals or firms with experience relevant to this project. Examples of previous relevant work should be provided, as well as resumes of all key personnel performing the work.
4. Proposals must be signed by a representative that is authorised to commit the bidder’s company.
Project Timelines
The Request for Proposal timeline is as follows:
Request for Proposal Issuance
31 October 2022
Proposal submitted by consultant to yeo.siyuan@gpsnr.org
28 November 2022
Selection of consultant / Notification to Unsuccessful Bidders
5 December 2022
Completion of Phase 1: Project Preparations
January 2022
Completion of Phase 2: Outreach and Training
To be proposed by the bidder
Completion of Phase 3: Field Trials
To be proposed by the bidder
Completion of Phase 4: Post-Trials Review
To be proposed by the bidder; latest May 2023.
The overall project should conclude no later than May 2023.
The above timeline may be further adjusted by GPSNR, or based on discussions with the consultant and GPSNR’s ongoing key milestones.
Budget
The Platform is anticipating a total budget of up to 92,000 GBP for the project.
Payment terms shall be:
· 30% at the signing of the contract
· 10% upon completion of Phase 1: Project Preparations
· 10% upon completion of Phase 2: Outreach and Training
· 20% upon completion of Phase 3: Field Trials and Analysis
· 30% upon completion of the entire project
Evaluation Factors
GPSNR will rate proposals based on the following factors:
Responsiveness to the requirements set forth in this RFP
Methodology for completing all three Phases of the project
Costs and expected timeline for all three Phases of the project
Technical expertise/experience, including team composition, past performance/experience
When evaluating bids, GPSNR may request for more information as part of a full due diligence to understand bidders’ technical and commercial background, assess potential conflicts of interests and independence vis-à-vis natural rubber smallholders and the wider agricultural sector, and level of competence for the project.
GPSNR reserves the right to award to the bidder that presents the best value to GPSNR as determined solely by GPSNR in its absolute discretion.
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