RFP SOL-620-12-000001 NEXTT.pdf

Date Issued: November 28, 2011

Questions due Date & Time: December 7, 2011 16:00 (Local Nigeria Time)

Closing Date: December 28, 2011

Closing Time: 16:00 (Local Nigeria Time)

Subject: Request for Proposals (RFP) SOL-620-12-000001 - Nigeria Expanded Trade and Transport Program (NEXTT).

Dear Prospective Offerors:

The United States Agency for International Development (USAID) is seeking proposals from qualified organizations interested in providing technical services under Nigeria Expanded Trade and Transportation Program (NEXTT) for USAID/Nigeria‘s Economic Growth & Environment

Office as described in the attached solicitation.

USAID/Nigeria intends to award a Cost-Plus-Fixed-Fee (CPFF) completion-type contract for a period of four years from the date of award with an estimated cost of $12 million which excludes leveraging from other partner organizations. Revealing the estimated cost for the contract does not mean that Offerors should necessarily strive to meet the maximum amount estimated.

Offerors must propose costs that they believe are realistic and reasonable for the work described in Section C of this solicitation. The Procurement shall be conducted, pursuant to Part 15 of the

Federal Acquisition Regulation (FAR) (48 CFR Chapter 1) and the selection for award will be determined using the best value continuum pursuant to FAR Part 15.101.

The solicitation is structured in accordance with the Uniform Contract Format required by the

FAR and is open to all qualified Offerors - U.S. and non-U.S. entities including private voluntary organizations, universities, research organizations and professional associations. USAID encourages participation to the maximum extent possible of small business concerns, small disadvantaged business concerns and women-owned small business concerns in this activity as prime contractor or as a subcontractor in accordance with FAR Part 19.

U.S. Agency for International Development

Office of Acquisition & Assistance

1, Zambezi Crescent, off Aguiyi Ironsi Way, Maitama, P.M.B. 519, Garki, Abuja.

Tel: +234-9-4619300

Fax +234-9-4619400 www.usaid.gov/ng

1. THIS CONTRACT IS A RATED ORDER RATING PAGE OF PAGES

UNDER DPAS (15 CFR 700)

2. CONTRACT NUMBER 3. SOLICITATION NUMBER 4. TYPE OF SOLICITATION 5. DATE ISSUED 6. REQUISITION/PURCHASE NUMBER

SEALED BID (IFB)

NEGOTIATED (RFP)

7. ISSUED BY CODE 8. ADDRESS OFFER TO (If other than Item 7)

NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid" and "bidder".

9. Sealed offers in original and _____________________________ copies for furnishing the supplies or services in the Schedule will be received at the place specified in Item 8, or if handcarried, in the depository located in until local time _______________________ (Hour) (Date)

CAUTION - LATE Submissions, Modifications, and Withdrawals: See Section L, Provision No. 52.214-7 or 52.215-1. All Offers are subject to all terms and conditions contained in this solicitation.

A. NAME B. TELEPHONE (NO COLLECT CALLS) C. E-MAIL ADDRESS

AREA CODE NUMBER EXT.

(X) SEC. DESCRIPTION PAGE(S) (X) SEC. DESCRIPTION PAGE(S)

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

A SOLICITATION/CONTRACT FORM I CONTRACT CLAUSES

B SUPPLIES OR SERVICES AND PRICES/COSTS PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH.

C DESCRIPTION/SPECS./WORK STATEMENT J LIST OF ATTACHMENTS

D PACKAGING AND MARKING PART IV - REPRESENTATIONS AND INSTRUCTIONS

E INSPECTION AND ACCEPTANCE

F DELIVERIES OR PERFORMANCE

G CONTRACT ADMINISTRATION DATA L INSTR., CONDS., AND NOTICES TO OFFERORS

H SPECIAL CONTRACT REQUIREMENTS M EVALUATION FACTORS FOR AWARD

K

REPRESENTATIONS, CERTIFICATIONS AND OTHER

STATEMENTS OF OFFERORS

NOTE: Item 12 does not apply if the solicitation includes the provisions at 52.214-16, Minimum Bid Acceptance Period.

12. In compliance with the above, the undersigned agrees, if this offer is accepted within 120 (calendar days unless a different period is inserted by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item , delivered at the designated point(s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT 10 CALENDAR DAYS (%) 20 CALENDAR DAYS (%) 30 CALENDAR DAYS (%) CALENDAR DAYS (%)

(See Section I, Clause No. 52-232-8)

14. ACKNOWLEDGEMENT OF AMENDMENTS AMENDMENT NO. DATE AMENDMENT NO. DATE

(The offeror acknowledges receipt of amendments to the

SOLICITATION for offerors and related documents numbered and dated:

CODE FACILITY

16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER 15A. NAME AND

ADDRESS

OF OFFEROR

(Type or print)

15B. TELEPHONE NUMBER 17. SIGNATURE 18. OFFER DATE

AREA CODE NUMBER EXT.

15C. CHECK IF REMITTANCE ADDRESS IS DIFFERENT FROM

ABOVE - ENTER SUCH ADDRESS IN SCHEDULE

19. ACCEPTED AS TO ITEMS NUMBERED 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION: 23. SUBMIT INVOICES TO ADDRESS SHOWN IN ITEM

(4 copies unless otherwise specified) 10 U.S.C. 2304(a) ( ) 41 U.S.C. 253(c) ( )

24. ADMINISTERED BY (If other than Item 7) 25. PAYMENT WILL BE MADE BY CODE CODE

26. NAME OF CONTRACTING OFFICER (Type or print) 27. UNITED STATES OF AMERICA 28. AWARD DATE

IMPORTANT - Award will be made on this Form, or on Standard Form 26, or by other authorized official written notice.

(Signature of Contracting Officer)

(REV. 9-97)

10. FOR INFORMATION CALL:

11. TABLE OF CONTENTS

STANDARD FORM 33

SOLICITATION, OFFER AND AWARD

SOLICITATION

OFFER (Must be fully completed by offeror)

AWARD (To be completed by Government)

1 153?

SOL-620-12-000001

X

USAID/NIGERIA

OFFICE OF ACQUISITION AND ASSISTANCE

C/O U.S. EMBASSY, PLOT 1075 DIPLOMATIC DRIVE

CENTRAL DISTRICT, PMB 5760

ABUJA, NIGERIA

See Section L

See Section L See Cover Page See Cover Page

See Attached Table of Contents

X 3

X 9-12

X 13-34

X 35

X 36

X 37-47

X 48-51

X 52-64

X 65-77

X 78

X 79-88

X 89-114

X 116-123

$.00

Keisha Effiom

Contracting Officer

USAID/Nigeria RFP SOL-620-12-000001 NEXTT

ABBREVIATIONS AND ACRONYMS

AGOA African Growth and Opportunities Act

ALTTFP Abidjan-Lagos Trade and Transport Facilitation Project

APS Annual Program Statement

BDS Business Development Service

CET Common External Tariff

COTR Contracting Officers Technical Representative

DCA Development Credit Authority

DIV Development Innovation Ventures

DFID Department for International Development

ECOWAS Economic Community of West African States

EU European Union

FMT&I Federal Ministry of Trade & Investment

FMOT Federal Ministry of Transport

FRSC Federal Road Safety Commission

FERMA Federal Roads Maintenance Agency

FTF Feed-the-Future

FDA Food and Drug Administration

GoN Government of Nigeria

GDP Gross Domestic Product

LAKAJI CMG LAGOS-KANO-JIBIYA Corridor Management Group

LAKAJI AGC LAGOS-KANO-JIBIYA Agricultural Growth Corridor

LOP Life of Project

MARKETS Maximizing Agriculture Revenue in Key Enterprise and Target Sites

MOU Memorandum of Understanding

NANTs National Association of Nigerian Traders

NAFDAC National Agency for Food and Drug Administration and Control

NEPC Nigeria Export Promotions Council

NEXTT Nigeria Expanded Trade and Transport Program

NEEP Nigeria Expanded Exports Program.

NCS Nigerian Customs Service

NCSA Nigeria Customs Service Act

NGO Non-Government Organization

NRC Nigerian Railway Corporation

NSC Nigeria Shippers Council

PMP Performance Management Plan

SON Standards Organization of Nigeria

TFTF Trade Facilitation Task Force

USAID United States Agency for International Development

USAID/A USAID Office of Administrator

USG United States Government

WATH West Africa Trade Hub

WB World Bank

WCO World Customs Organization

WTO World Trade Organization

Table of Contents

ABBREVIATIONS AND ACRONYMS

PART I - THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICE/COSTS

B.1 PURPOSE

B.2 CONTRACT TYPE AND SERVICES

B.3 ESTIMATED COST, FIXED FEE, AND OBLIGATED AMOUNT

B.4 CONTRACT LINE ITEM NUMBERS AND CEILINGS

B.5 INDIRECT COSTS

B.6 ADVANCE UNDERSTANDING ON CEILING INDIRECT COST RATES AND

FINAL REIMBURSEMENT FOR INDIRECT COSTS

B.7 COST REIMBURSABLE

B.8 FIXED FEE – FAR 52.216-8 (MAR 1997)

SECTION C - DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

C.1 INTRODUCTION

C.2 BACKGROUND

C.3 CHALLENGES

C.4 SCOPE OF NEXTT

C.5 EXPECTED RESULTS

C.6 TECHNICAL DELIVERABLES

C.7 LEVERAGING NEXTT ACTIVITIES

C.8 STRATEGY

C.9 EXIT STRATEGY

C.10 SECURITY

C.11 STAFFING PLAN

SECTION D - PACKAGING AND MARKING

D.1 AIDAR 752.7009 MARKING (JAN 1993)

D.2 BRANDING AND MARKING POLICY

SECTION E - INSPECTION AND ACCEPTANCE

E.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

E.2 INSPECTION AND ACCEPTANCE

E.3 MONITORING AND EVALUATION PLAN/PERFORMANCE STANDARDS

SECTION F - DELIVERIES OR PERFORMANCE

F.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

F.2 PERIOD AND PLACE OF PERFORMANCE

F.3 PERFORMANCE STANDARDS/MONITORING AND EVALUATION PLAN

F.4 REPORTS AND DELIVERABLES OR OUTPUTS

F.5 REPORTING REQUIREMENTS

F.6 AIDAR 752.7005 SUBMISSION REQUIREMENTS FOR DEVELOPMENT

EXPERIENCE DOCUMENTS (JAN 2004)

F.7 752.242-70 PERIODIC PROGRESS REPORTS (OCT 2007)

F.8 KEY PERSONNEL

SECTION G - CONTRACT ADMINISTRATION DATA

G.1 AIDAR 752.7003 DOCUMENTATION FOR PAYMENT (NOV 1998)

G.2 CONTRACTING OFFICE

G.3 CONTRACTING OFFICER’S TECHNICAL REPRESENTATIVE (COTR)

G.4 PAYING OFFICE

G.5 ACCOUNTING AND APPROPRIATION DATA

G.6 TECHNICAL DIRECTIONS/RELATIONSHIP WITH USAID

SECTION H - SPECIAL CONTRACT REQUIREMENTS

H.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

H.2 AIDAR 752.225-70 SOURCE, ORIGIN AND NATIONALITY REQUIREMENTS (FEB 1997) 51

H.3 AIDAR 752.7007 PERSONNEL COMPENSATION (JULY 2007)

H.4 ADDITIONAL REQUIREMENTS FOR PERSONNEL COMPENSATION

H.5 AIDAR 752.7004 EMERGENCY LOCATOR INFORMATION (JULY 1997)

H.6 AIDAR 752.228-70 MEDICAL EVACUATION (MEDEVAC) SERVICES (JUL 2007)

H.7 AUTHORIZED GEOGRAPHIC CODE

H.8 LOGISTIC SUPPORT

H.9 LANGUAGE REQUIREMENTS

H.10 SUBCONTRACTING PLAN AND THE SF 294 – SUBCONTRACTING REPORT FOR

INDIVIDUAL CONTRACTS AND SF 295 – SUMMARY CONTRACTING REPORTS

H.11 ORGANIZATIONAL CONFLICTS OF INTEREST: PRECLUSION FROM FURNISHING

CERTAIN SERVICES AND RESTRICTION ON USE OF INFORMATION (EVALUATION) (AIDAR

752.209-71)

H.12 GRANTS UNDER CONTRACT

H.13 EXECUTIVE ORDER ON TERRORISM FINANCING (MAR 2002)

(PEB 2005-12)

H.14 FOREIGN GOVERNMENT DELEGATIONS TO INTERNATIONAL CONFERENCES (JAN

2002) ADS 350 – Mandatory Reference for ADS 302)

H.15 AIDAR 752.7032 INTERNATIONAL TRAVEL APPROVAL AND NOTIFICATION

REQUIREMENTS (JAN 1990)

H.16 USAID DISABILITY POLICY (DECEMBER 2004)

H.17 SUBCONTRACTING CONSENT (FAR 52.244-4)

H.18 REPRESENTATIONS AND CERTIFICATIONS

H.19 HOMELAND SECURITY PRESIDENTIAL DIRECTIVE-12 (HSPD-12) (SEPTEMBER 2006)

H.20 PROHIBITION OF ASSISTANCE TO DRUG TRAFFICKERS

H.21 REPORTING OF FOREIGN TAXES (JUL 2007)(ADS 302.3.5.5)

H.22 ENVIRONMENTAL COMPLIANCE

H.23 CONFIDENTIALITY AND OWNERSHIP OF INTELLECTUAL PROPERTY

H.24 INSURANCE AND SERVICES

H.25 GENDER CONSIDERATION

H.26 AIDAR 752.231-71 SALARY SUPPLEMENTS FOR HOST GOVERNMENT (HG)

EMPLOYEES (OCT 1998)

PART II – CONTRACT CLAUSES

SECTION I - CONTRACT CLAUSES

I.1 NOTICE LISTING CONTRACT CLAUSES INCORPORATED BY REFERENCE

I.2 52.217-8 OPTION TO EXTEND SERVICES (NOV 1999)

PART III – LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACHMENTS

SECTION J - DOCUMENT, EXHIBITS AND OTHER ATTACHMENTS

PART IV – REPRESENTATIONS AND INSTRUCTIONS

SECTION K - REPRESENTATIONS, CERTIFICATIONS AND OTHER STATEMENTS OF OFFERORS

K.1 52.204-6 DATA UNIVERSAL NUMBERING SYSTEM (DUNS) NUMBER

(APR 2008)

K.2 52.204-8 ANNUAL REPRESENTATIONS AND CERTIFICATIONS (JAN 2011)

K.3 52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS (JAN 2011)

K.5 52.230-7 PROPOSAL DISCLOSURE--COST ACCOUNTING PRACTICE CHANGES (APR

2005)

K.6 AGREEMENT ON, OR EXCEPTIONS TO, TERMS AND CONDITIONS

K.7 DATA UNIVERSAL NUMBERING SYSTEM (DUNS) NUMBER

K.8 AUTHORIZED NEGOTIATORS

K.9 SIGNATURE

SECTION L - INSTRUCTIONS, CONDITIONS, AND NOTICES TO OFFERORS

L.1 NOTICE LISTING SOLICITATION PROVISIONS INCORPORATED BY REFERENCE

COMPLIANCE EVALUATION

L.2 52.215-1 INSTRUCTIONS TO OFFERORS—COMPETITIVE ACQUISITION (JAN 2004) . 88

L.3 52.216-1 TYPE OF CONTRACT (APR 1984)

L.4 52.233-2 SERVICE OF PROTEST (SEP 2006)

L.6 GENERAL INSTRUCTIONS TO OFFERORS

L.7 DELIVERY INSTRUCTIONS

L.8 INSTRUCTIONS FOR THE PREPARATION OF THE TECHNICAL PROPOSAL

L.9 INSTRUCTIONS FOR THE PREPARATION OF A BRANDING STRATEGY PLAN

L.10 INSTRUCTIONS FOR THE PREPARATION OF THE COST/BUSINESS PROPOSAL

L.11 OTHER RELEVANT INFORMATION

M.1 GENERAL INFORMATION

M.3 TECHNICAL EVALUATION CRITERIA

M.4 BUSINESS/COST PROPOSASL EVALUATION

M.5 SMALL BUSINESS PARTICIPATION

M.6 EVALUATION RATINGS

ATTACHMENT J 1 - FAST PATH ANALYSIS OF THE LAGOS-KANO-JIBIYA CORRIDOR

ATTACHMENT J 2 - LAGOS-KANO-JIBIYA CORRIDOR MANAGEMENT GROUP STRUCTURE

AND WORK PLAN

ATTACHMENT J 3 - EXECUTIVE SUMMARY OF THE NIGERIA CUSTOMS SERVICES ACT, 2011.

ATTACHMENT J 4 - DEVELOPMENT PARTNERS TRADE PROGRAMS IN NIGERIA

ATTACHMENT J 5 - ALTERNATIVE MARKETS FOR NIGERIAN SESAME EXPORTS

ATTACHMENT J 6 - ANNUAL PROGRAM STATEMENT (APS) FY 11 & FY 12 FOR

DEVELOPMENT INNOVATION VENTURES (DIV)

ATTACHMENT J 7 - CONTRACTOR EMPLOYEE BIOGRAPHICAL DATA SHEET

ATTACHMENT J 8 - DISCLOSURE OF LOBBYING ACTIVITIES

ATTACHMENT J 9 - MODEL SUBCONTRACTING PLAN OUTLINE

ATTACHMENT J 10 - PAST PERFORMANCE INFORMATION

ATTACHMENT J 11 - MISSION’S LOCAL EMPLOYEE SALARY SCALE PLAN

PART I - THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICE/COSTS

B.1 PURPOSE

The purpose of this contract is to provide technical services that fall within the scope of work specified in Section C – Description/Specification/Statement of Work for Nigeria Expanded

Trade and Transport Program (NEXTT).

B.2 CONTRACT TYPE AND SERVICES

This is a Cost Plus Fixed Fee (CPFF), Completion Contract in accordance with FAR 16.306(d).

The Contractor shall provide the deliverables described in Section C and the additional requirements of Section F and H in accordance with the performance standards specified herein.

B.3 ESTIMATED COST, FIXED FEE, AND OBLIGATED AMOUNT

In accordance with FAR Part 52.232-22 - Limitation of Funds:

(a) The estimated cost for the performance of the work required hereunder, exclusive of fixed fee, if any, is $_________. The fixed fee, if any, is $ ________. The estimated cost plus fixed fee, if any, is $ _________.

(b) Within the estimated cost plus fixed fee (if any) specified in paragraph (a) above, the amount currently obligated and available for reimbursement of allowable costs incurred by the

Contractor (and payment of fee, if any) for performance hereunder is $_________. The

Contractor shall not exceed the aforesaid obligated amount.

(c) Funds obligated hereunder are anticipated to be sufficient through TBD.

B.4 CONTRACT LINE ITEM NUMBERS AND CEILINGS

Cost Elements

Estimated Costs* Year 1

Year 2

Year 3

Year 4

TOTAL

CLIN 1: LAGOS-KANO-JIBIYA

(LAKAJI) CORRIDOR

IMPROVEMENT

CLIN 2: TRADE POLICY AND

TRADE FACILITATION SUPPORT

CLIN 3: EXPANDED EXPORT

SUPPORT

Fixed Fee

Estimated Cost Plus Fixed Fee

*Plug Figures: As discussed in Section C.4, the estimated cost of implementation includes a designated amount of $1Million for security costs for the life of the project as discussed in

Section C.10.

B.5 INDIRECT COSTS

Pending establishment of revised provisional or final indirect cost rates, allowable indirect costs shall be reimbursed on the basis of the following negotiated provisional or predetermined rates and the appropriate bases:

Description Rate Base Type Period

1/ 1/ 1/

2/ 2/ 2/

3/ 3/ 3/

1/Base of Application:

Type of Rate:

Period:

2/Base of Application:

3/Base of Application:

Source:

Note 1: Contractors may recover applicable indirect costs (i.e., overhead, G&A, etc.) if it is part of the contractor's usual accounting procedures, consistent with FAR Part 31, and Negotiated

Indirect Cost Rate Agreement (NICRA).

Note 2: While Subcontractor indirect cost rates are not incorporated above, subcontractor indirect cost rates as indicated in Note 1 above may be included in the proposals, and are subject to

Contracting Officer‘s approval in accordance with FAR 52.244-2, Subcontracts.

B.6 ADVANCE UNDERSTANDING ON CEILING INDIRECT COST RATES AND

FINAL REIMBURSEMENT FOR INDIRECT COSTS

(To be filled in at award)

Reimbursement for indirect costs shall be at the lower of the negotiated final or predetermined rates, or the following ceiling rates:

For Prime Contractor:

2/ 2/ 2/

3/ 3/ 3/

1/Base of Application:

Source:

For Major Subcontractors*

2/ 2/ 2/

3/ 3/ 3/

1/Base of Application:

(a) *A ―major subcontractors‖ are subcontractors whose proposed costs exceed 20% of the

Offeror‘s proposed total cost or perform a key element of the scope of work.

(b) The Government will not be obligated to pay any additional amount should the final indirect cost rates exceed the negotiated ceiling rates. If the final indirect cost rates are less than the negotiated ceiling rates, the negotiated rates will be reduced to conform to the lower rates.

(c) This understanding shall not change any monetary ceiling, obligation, or specific cost allowance or disallowance. Any changes in classifying or allocating indirect costs require the prior written approval of the Contracting Officer.

B.7 COST REIMBURSABLE

The U.S. dollar costs allowable shall be limited to reasonable, allocable and necessary costs determined in accordance with FAR 31 (Contract Cost Principles), A-21 (Cost Principles for

Educational Institutions), A-122 (Cost Principles for Non-Profit Organizations), FAR 52.216- 7

(Allowable Cost and Payment), FAR 52.216-8 (Fixed Fee) if applicable, and AIDAR 752.7003

(Documentation for Payment), may be reimbursable under this contract.

B.8 FIXED FEE – FAR 52.216-8 (MAR 1997)

(a) The Government shall pay the Contractor for performing this contract the fixed fee specified in the Schedule.

(b) Payment of the fixed fee shall be made as specified in the Schedule; provided that after payment of 85 percent of the fixed fee, the Contracting Officer may withhold further payment of fee until a reserve is set aside in an amount that the Contracting Officer considers necessary to protect the Government‘s interest. This reserve shall not exceed 15 percent of the total fixed fee or $100,000, whichever is less. The Contracting Officer shall release 75 percent of all fee withholds under this contract after receipt of the certified final indirect cost rate proposal covering the year of physical completion of this contract, provided the Contractor has satisfied all other contract terms and conditions, including the submission of the final patent and royalty reports, and is not delinquent in submitting final vouchers on prior years‘ settlements. The

Contracting Officer may release up to 90 percent of the fee withholds under this contract based on the Contractor‘s past performance related to the submission and settlement of final indirect cost rate proposals.

- END OF SECTION B –

SECTION C - DESCRIPTION/SPECIFICATIONS/STATEMENT OF WORK

Nigeria Expanded Trade and Transport Program (NEXTT)

C.1 INTRODUCTION

Trade policy and facilitation as well as regional transport infrastructure affect food security in

Nigeria. For most agricultural products, rapid and efficient transport from farms to consumers is essential (high transport costs translate to high food prices). In Nigeria, where more than 50 percent of the population is poor, small reductions in food prices can support progress toward achieving better nutrition and reducing hunger.

Under the Feed the Future (FTF) Initiative implemented through the Mission‘s Economic

Growth Assistance Objective, the USG is assisting the Government of Nigeria (GoN) and the private agriculture sector to: 1) improve agricultural productivity and expand the market supply of essential staple food crops; and 2) remove constraints to the movement of staple crops within

Nigeria, the latter being the focus of this activity.

The Nigeria Expanded Trade and Transport Program (NEXTT) shall improve trade policy, support trade capacity building and remove bottlenecks to the free flow of goods, especially agricultural goods. NEXTT builds on and extends trade and transport activities begun under the

USAID MARKETS (Maximizing Agriculture Revenue in Key Enterprise and Target Sites)

Project, and on the export promotion activities of the Nigeria Expanded Exports Program

(NEEP).

NEXTT will contribute to food security and poverty reduction in Nigeria and support regional trade and transportation objectives by facilitating trade flows. It supports the African Growth and

Opportunities Act (AGOA), and complements agricultural productivity improvement efforts under the United States Government‘s (USG) food security initiative Feed-the-Future (FTF), with three program activities: 1) transport corridor improvements, 2) policy reform and trade facilitation, and 3) expanded export support. These three activities and supporting tasks will seek to:

a) Reduce bottlenecks to movement of agricultural goods from the ports in Lagos along

Nigeria‘s main trunk road through Kano up to the Niger border;

b) Support the establishment of agribusinesses around this important corridor;

c) Improve the capacity of Nigerian Government officials to address Nigeria‘s trade policy and trade facilitation constraints and address implementation issues; and

d) Increase the export capability of small and medium enterprises to improve overall non-oil exports performance within the West African region and to the United States by strengthening export service providers and the export promotion institution.

C.2 BACKGROUND

Nigeria port practices, the obsolete customs law backing the Nigeria Customs Service and other factors contribute to trade facilitation challenges. Physical infrastructural bottlenecks such as poor road conditions, absence of intermodal transportation system and absence of advocacy groups to address transportation problems continue to present major obstacles to domestic and international trade, making cost of products (whether imported or for export) expensive. The country‘s list of items prohibited for import and the incorrect declaration of goods by importers, result in 95 percent of containers being physically examined. This delays the clearing process and increases costs of clearance. Companies state that high tariffs, nontransparent valuation procedures, frequent policy changes and unclear interpretations by the Nigerian Customs Service

(NCS) continue to make trade difficult and expensive, and often create bottlenecks for commercial activities. Reportedly, many importers resort to undervaluing or smuggling to avoid paying full tariffs.

To address these problems the GoN has begun efforts to reform and modernize the Customs

Service and bring it to standard with international best practice as recommended by the World

Customs Organization and the Revised Kyoto Convention. The modernization efforts entailed capacity strengthening of customs officers to undertake risk management functions, updating the

Customs Legal Code, adopting measures to speed up customs clearance procedures, and simplification and rationalization of tariffs, duties and waiver/exemptions in compliance with

ECOWAS CET. The GoN has also set up an inter-ministerial Trade Facilitation Task Force

(TFTF) resident in the Federal Ministry of Trade and Investment to address non-tariff barriers and other obstacles to trade. The task force provides a platform for dialogue between the public and private sectors on measures to improve trade facilitation amongst other objectives. The Task

Force Action Plan provides a rallying point for mobilizing donor resources and assistance to address trade facilitation challenges.

At the enterprise level, limited access to finance, inability to respond to export product and market entry requirements limits capacity and capability of small and medium entrepreneurs to expand export and take advantage of opportunities within the West African sub-regional market and with the United States under AGOA. Consequently, the contribution of non-oil exports to total Gross Domestic Product (GDP) remains low in spite of GoN‘s pronouncements to diversify her economy and increase the contribution of export to total GDP.

In 2008 the MARKETS project received additional funds under the Global Food Security

Response Program to provide technical assistance in transport/logistics, to remove constraints to the movement of staple crops within Nigeria and the wider West African region. Activities were initiated to address critical needs in trade and transport. These included a review of the legal framework for Customs and the technical capacity of Nigerian Customs Service strengthened in modern customs techniques. Provision of improved transportation solutions for agricultural industries such as cassava mills was also undertaken. In addition, several diagnostic studies and assessment reports were undertaken to quantify the impact of Nigerian transport system inefficiencies and recommended steps for improvement. In summary, three major activities initiated at the beginning of 2009 included:

- Transport Corridor – preparatory work done to bring together public and private sector stakeholders to share a common vision by forming an independent member-run organization that will work to increase efficiency along the critical Lagos-Kano-Jibiya transport corridor.

- Customs Modernization - to make the Nigerian Customs Service modern, transparent and compliant with international standards. A revised Customs Code was drafted and a strengthened risk management unit was established during the intervention.

- Trade Policy Capacity Building - to strengthen the institutional capacity of private sector associations and the Federal Ministry of Commerce & Industry on trade policy reform and implementation and compliance with the Common External Tariff (CET).

In addition to the above trade policy reform and transportation improvement actions, a separate two-year project - Nigeria Expanded Export Program (NEEP) - was initiated in January 2010 to provide technical assistance to agricultural exporters to increase value-added non-oil exports from Nigeria to the United States, within the ECOWAS Sub-region and with other international trading partners. NEEP provides demand-driven technical assistance to improve access to trade finance, increase export competitiveness, and strengthen linkages to international markets and partners, resulting in measurable export increases. NEEP has made significant progress since it started to establish MOUs with exporters, develop a business to business program, provide training and capacity building, and to support various ministries in trade related matters.

NEXTT will build on these USAID/Nigeria trade and transport activities to improve overall trade and transport competitiveness of Nigeria. Continuation of these initiatives under NEXTT is an opportunity for USAID/Nigeria to provide a longer term focus on trade and transportation improvement, and move toward greater sustainability of reforms. Success in these activities will not only positively impact Nigerian domestic and external trade, but will improve the environment for both domestic and foreign direct investment.

C.3 CHALLENGES

USAID/Nigeria‘s past and current trade activity interventions have set in motion the process for actualizing Nigeria‘s trade policy reform, customs modernization, trade facilitation and transport sector improvement. Entrepreneurial and enterprise capacity to export has also been strengthened. To continue this process, the contractor must take into account these concerns:

a) The legal framework supporting customs is not properly established. A new draft law is in process, but has not yet passed into law. The contractor must demonstrate an understanding of this challenge, and present a strategy to support a process leading to successful passage of this law.

b) To improve the corridor between Lagos and Jibiya, many stakeholders must be engaged and work together. The contractor must demonstrate understanding of this challenge, and present a strategy to obtain maximum cooperation from each key stakeholder for the mutual benefit of all.

Nigeria’s border with the Republic of Niger

c) Nigeria trade and transport sector reforms and customs modernization efforts will require a cooperative effort from many sources, and may be beyond the capacity of a single project. Under NEXTT, the Contractor shall combine its own direct efforts with others specifically to leverage other donors, the private sector and the Government efforts to achieve reform objectives and that of NEXTT. The contractor will be judged in significant measure by the success it has in attracting additional funds that it could manage directly or through public-private partnerships.

C.4 SCOPE OF NEXTT

(a) OBJECTIVE

The objective of the NEXTT project is to support the Nigerian government‘s efforts to expand trade domestically, within the ECOWAS sub-region and beyond, and improve its efficiency so that trade, particularly in agricultural products, can provide inclusive economic growth and development of Nigeria. The project will build on the successes of its predecessors - MARKETS

(Trade & Transport component) and NEEP - in addressing trade policy and trade facilitation constraints, and improve the quality of transportation on a corridor considered critical for national and regional food security. NEXTT will also support expansion of agricultural product exports from Nigeria to the ECOWAS sub-region, to the United States and to other international markets.

(b) STRATEGIES

Under NEXTT, the contractor shall:

1. Establish an advocacy oversight organization that functions to facilitate improved transport along the Lagos – Kano - Jibiya inter-state road system, leading to lower cost of movement of goods along the corridor considered important for the movement of grains and inputs needed for food security.

2. Establish an agricultural growth corridor around the eight-state Lagos-Kano-Jibiya transportation corridor.

3. Work with the TFTF to decrease hold time (or Release Time) at the Lagos ports and at the Seme Border post, to facilitate trade.

4. Work with the Ministry of Finance to enact the Nigeria Customs Services Act to provide the legal basis for introduction of modern customs techniques for improved trade facilitation and increased revenue collection by the Nigeria Customs Service (NCS).

5. Promote the effective implementation of the ECOWAS Common External Tariff (CET) to enable Nigeria to increase access to her markets from the wider West African region and take on more leadership role in the common ECOWAS market.

6. Improve the capacity of Federal Ministry of Trade & Investment (MT&I) to manage trade policy and trade facilitation.

7. Strengthen private sector business service provision to exporting enterprises to increase jobs and export sales by exporting enterprises.

(c) GEOGRAPHIC SCOPE

The Contractor shall carry out its activities nationally but should seek cooperation with up to a maximum of 12 carefully selected states, and should include the eight states of the transportation corridor from Lagos in the south to Katsina in the north near the Niger Republic border.

(d) SPECIFIC TASKS

NEXTT shall have three component tasks and results areas. Each component task and results area shall have a combination of complementary tasks that are aimed at achieving the set program results:

COMPONENT 1: LAGOS-KANO-JIBIYA (LAKAJI) CORRIDOR IMPROVEMENT

This component result area is undertaken in recognition of the key role that efficient transportation plays in promoting food security, agricultural trade and rural prosperity. The

Lagos-Kano-Jibiya corridor is the most important transportation route in Nigeria from a food security perspective. It is a 1,149 km road that sees a large amount of traffic, between 5,000 and

17,000 vehicles daily. Prior to USAID/Nigeria‘s intervention, there was no management framework for this important corridor or for any other corridor in the country. The private sector thus is denied opportunity to advocate for reforms to improve corridor performance. Corridor

Management Groups can bring together government and the private sector in a single body to identify, discuss, and propose resolution of problems associated with transport along a defined route or corridor. Such a structure provides a forum for members to debate solutions and define priorities, work together to make improvements, and improve the performance of the corridor.

Task 1: Provide Technical Capacity and Support to the Lagos-Kano-Jibiya Transport

Corridor Management Group (LAKAJI CMG)

At the close out of the MARKETS Trade and Transportation program, a core advisory group, consisting of 12 public and private sector members was formed to support an integrated management approach to the LAKAJI corridor. The group was committed to undertaking implementation of activities to decongest the ports in Lagos and at the Seme border; and reduce bottlenecks along the inter-state road system. The Nigerian Shippers Council accepted the role of the national focal point for implementing Corridor Management Group activities and agreed to house the CMG Secretariat. A structure and work plan program was also established. NEXTT will provide additional technical assistance and training to the LAKAJI CMG in the following ways:

1. Stakeholders Mobilization: The Contractor shall review all background documents

(Work plan, Governance Structure, Memorandum of Association, Incorporation documents, etc.) of the CMG. The CMG being member-run and- led would require appropriate strategies to attract and retain members. In consultation with the founding members (i.e. Ministry of Transportation, Nigeria Shippers Council, M.A.N, NACCIMA, FERMA, FRSC, NRC, and private sector representatives) the Contractor shall develop and facilitate implementation of membership development and retention strategies and programs.

2. Stakeholders Capacitated on Transport Advocacy: The Contractor shall build capacity of members (from private and public sectors) for fact-based advocacy on transport policy, regulatory and infrastructural reforms.

3. Operationalize the CMG Governance Structure: The Contractor shall provide technical guidance that helps in implementation of the governance framework proposed in the CMG governance structure (See Attachment J. 2 - CMG Structure and Work plan document). The Contractor shall provide technical assistance for the establishment of the

Secretariat and other organs of the CMG. To achieve long-term sustainability, funding mechanisms will be put in place including identification of donors who may be interested in providing additional support. The Contractor shall set-up a financial accounting system and train staffs in proposal preparation. The Contractor shall periodically (as agreed with management) benchmark staff and the overall performance of the different organs against international best practices, and develop improvement programs that supports consistent offer of unmatched services to clients by the CMG.

4. Development of Corridor Improvement Proposals: The Contractor shall provide technical guidance to establish highest priority project proposals that addresses key improvements to the LAKAJI corridor from the provisional Work Plan (See Attachment

J. 2 - CMG Structure and Work plan document). An indicative list from the work plan includes but not limited to the following: a) corridor performance, safety and maintenance; b) transport regulations and training; c) infrastructure; d) freight operations; e) improved road transport governance surveys; f) design of a dry port strategy; g) and preparation of a port-hinterland optimization analysis.

5. Corridor Performance Monitored and Evaluated: Key performance variables have been defined in the LAKAJI CMG Structure and Work plan. The Contractor shall assist in operationalizing performance monitoring variables and develop a system for tracking and feeding information back into the system. Key performance indicators such as average travel time delay at congestion points, traffic peaks along different stretches of the road, number of roadblocks, and average amount of unauthorized charges will be reported periodically. The Contractor would support execution of a baseline survey focusing on the key variables to be developed. The baseline survey will lay the ground for sustainable monitoring of the Corridor performance. Furthermore the Contractor should take advantage of existing methodologies used by the West African Trade Hub‘s

―Borderless‖ project to measure road blocks and trade barriers to ensure synergy and cohesion with the monitoring and reporting framework in the region.

Expected Results:

a) Increased corporate membership of the CMG with number of supportive members increased from the existing founding members (membership should include state governments of

Lagos, Ogun, Oyo, Kwara, Niger, Kaduna, Kano, and Katsina).

b) Functionality of the CMG with a Secretariat physically set-up with technical staff employed.

Financial accounting system, donor and other funding mechanisms established.

c) Annual minimum 10 percent reduction in time and cost of movement of goods and persons from current baseline figures.

d) Recommendations for Corridor Improvement advocated and implemented successfully.

Technical Deliverables:

a) The Contractor shall facilitate the signing of Memorandum of Understanding (MOUs) between the CMG and eight state governments for their buy-in and participation in the CMG.

b) Scope of Work developed for technical staff positions, and the CMG assisted with recruitment of personnel.

c) Ten (10) advocacy and capacity building training workshops organized over LOP with number of private and public sector members receiving training increased annually by 20%.

d) Bi-annual or annual surveys conducted and systems developed and implemented for tracking performance variables.

e) Corridor performance monitoring reports fed into national and regional data bases.

USAID/Nigeria notionally expects the Contractor to allocate 20 percent level of effort of the entire program toward the completion of this task.

Task 2: LAKAJI Agricultural Growth Corridor

The LAKAJI Agricultural Growth Corridor project is aimed at catalyzing private investments that supports and reinforces the overall corridor improvement work and sustainable economic growth and development. It will promote clusters of agribusinesses along and around the

LAKAJI corridor that benefits from improving performance of the LAKAJI transport route and the agricultural productive endowments of the eight states within the corridor. This value-added activity will contribute to increased agricultural productivity, provide transport and logistics solutions for producers and processors of staple crops, improve post-harvest management, create jobs and contribute to national and regional food security. The concept is similar to current initiatives in East Africa (i.e. Southern Agricultural Growth Corridor of Tanzania and the Beira

Agricultural Growth Corridor) and when fully operational will draw from the MARKETS model of linking small holders with large scale agribusinesses. USAID/Nigeria will use its

Development Credit Authority (DCA) and other mechanisms to launch a catalytic fund supported by development partners and GoN to support new agribusinesses to overcome the initially high costs and risks of start –up.

Furthermore, through USAID‘s Office of the Administrator (USAID/A) Development

Innovation Ventures (DIV), USAID/Nigeria will seek to identify and support innovative ideas within the LAKAJI Agricultural Growth Corridor (and in other activity areas of NEXTT) that support USAID/Nigeria‘s goal of improving rural incomes, food security, job creation and poverty reduction. USAID/DIV supports innovators by enabling external applicants to be partners in generating development solutions in a way that allows USAID investments to access and leverage the financial, staffing, ideas, expertise and distribution of others. Drawing inspiration from venture capital models, DIV will use a Development Innovation Fund to invest in a portfolio of projects at various stages:

• Stage 1: Proof of Concept

• Stage 2: Initial Scale and Impact Testing

• Stage 3: Scale Up (coverage across one country and pilots in two countries)

• Stage 4: Widespread adoption by development partners, governments, or the private sector.

More details about USAID/DIV can be found at: www.usaid.gov/div

Finally, within the context of the Feed the Future initiative, NEXTT and MARKETS II will coordinate efforts to support agricultural value chain development along and around the LAKAJI corridor.

The Contractor shall carry out the following activities under this task:

1. Assessment Study for a LAKAJI Agricultural Growth Corridor: The Contractor in commencing this activity shall engage (working closely with USAID/Nigeria) an international agricultural project developer to assess the viability of developing clusters of agribusinesses that are socially oriented and supportive of small holder farmers.

Cluster developments in farming, related processing and agriculture services will be identified along the corridor in an investment blueprint, with mechanisms to support their creation and sustainability. The catalytic fund will enable resources to be channeled into early-stage investment opportunities, including ‗early - wins‘ identified in the investment blueprint. The contractor shall determine the prospect and modalities for launch and management of this fund in the assessment study.

2. Implementation:

a) LAKAJI Agricultural Growth Corridor Initiative and Partnership: Depending on the outcome of this assessment report, the contractor working with USAID/Nigeria will engage GoN public agencies, international private agribusiness firms, and donors to buy into this concept and launch a LAKAJI Agricultural Growth Corridor initiative. The

Contractor shall establish the LAKAJI Agricultural Growth Corridor Partnership consisting of private agribusinesses, infrastructure service provider firms, GoN agencies

(research institutes, Universities of Agriculture, etc.), and development partners with a professional office established within the LAKAJI CMG or elsewhere, to act as a neutral coordinating body and focal point for planning, implementation and monitoring of activities of the initiative. If it considers it necessary, the contractor may decide to engage an Ag corridor development specialist to undertake this activity as a sub-contract.

b) Business Support Services: The Contractor shall provide support services to emerging entrepreneurs and start-up enterprises, providing such services like business conceptualization to implementation and scaling up. Support services provided shall include provision of logistics solutions to agribusinesses around the corridor to address transportation constraints to reduce transit time for delivery of raw materials from farmers‘ fields to factory for processing and finished products to local and export http://www.usaid.gov/div markets. Other support services would include linkage and networking assistance to bankers, venture capitalists, events, trade shows, research institutes, etc. Linkage between large agri-business firms, small holder farmers and small enterprises shall be undertaken.

c) Promote Innovations: During implementation of the LAKAJI Agricultural Growth

Corridor initiative, the Contractor working with USAID/Nigeria shall identify innovative ideas that qualify for grants under the Development Innovation Ventures Fund. Main

Contractor responsibility shall be in sourcing and helping to find qualifying innovations and working with applicants and USAID to submit proposals to DIV. For example, ideas that support inclusion of small holders (i.e. out-growers scheme) within the Agricultural

Growth Corridor may fall into this category. The Contractor must be conversant with the

Annual Program Statement (APS) and Qualifying Criteria for Funding Support under the

DIV Fund to be able to help stakeholders apply to and secure grants under the DIV Fund.

a) A LAKAJI Agricultural Growth Corridor Partnership established with a functioning

Coordination Office.

b) The LAKAJI Agricultural Growth Corridor launched with a road map of implementation activities.

c) Establishment of a Catalytic Fund to support the LAKAJI AGC Initiative.

d) New agribusinesses established and supported around the LAKAJI Corridor that furthers food security, job creation and poverty reduction objectives.

e) Support the identification of innovative ideas that further food security, job creation and poverty reduction objectives, and link these innovators to the Development Innovation

Ventures initiative of USAID Forward in these quantities: by 2013 (1 idea); by 2014 (2 ideas); and by 2015 (3 ideas).

a) Scope of Work developed for assessment study of the LAKAJI Agricultural Growth

Corridor initiative.

b) A viability assessment report produced. The report shall include an investment blueprint of potential clusters of agribusinesses and agriculture-supporting infrastructure projects.

c) Recommendation of Fund Size and Management structure made for the proposed

Catalytic Fund, as part of the assessment report.

d) The DIV Annual Program Statement and Qualifying Criteria for Funding Support communicated widely and broadly to stakeholders leading to 50 eligible applicants assisted to apply for DIV funding over LOP.

e) Five (5) new agri-business enterprises supported and functional within the LAKAJI

Agricultural Growth Corridor over the LOP.

f) Fifty (50) agri-business enterprises provided with support services over LOP.

USAID/Nigeria notionally expects the Contractor to allocate 15 percent level of effort of the

COMPONENT 2: TRADE POLICY AND TRADE FACILITATION SUPPORT

USAID/Nigeria will support the GoN to revamp its industrial and trade policy to provide a more consistent and predictable enabling environment for agricultural trade. The contractor shall implement a series of defined activities that will build technical capacity and provide support to the Federal Ministry of Trade and Investment and related institutions (i.e. the Standards

Organization of Nigeria - S.O.N). This supports the Feed the Future initiative and will target selected trade issues relevant to food security as well as institutional strengthening for effective design and formulation of Nigeria‘s trade policy and trade facilitation. USAID/Nigeria is cognizant of the on-going trade related support by donors, notably DFID, EU, and the WB. The

Contractor shall coordinate with other donors to avoid duplication but also to seek alignment with regional initiatives which many of the bilateral and multilateral support aim at and are recommended by the FTF Initiative.

Task 1: Provide Technical Capacity and Support to the Federal Ministry of Trade and

Investment

The Trade Department of the Ministry of Trade and Investment identified several areas of assistance in discussions with MARKETS Trade and Transport Reform program in mid-2009 and also with the Economic Growth and Environment Office. The Contractor shall consult and coordinate with officials of the FMT&I and other stakeholders to prioritize the under-listed illustrative activities to ensure maximum impact, achievement of deliverables within reasonable timeframe, and opportunity for collaboration with other donors. The contractor shall support the

FMT&I in the following ways:

1) Strengthen National Trade Policy Coordination: organizational assessment of FMT&I will be undertaken with recommendations for strengthening communication and coordination within trade related units in FMT&I, between FMT&I and trade related units in other Ministries, as well as between FMT&I and departments and agencies concerned with implementing trade policy and trade programs. The report will suggest improvements and proffer practical ways that FMT&I can provide better coordination of

Nigeria‘s trade policy agenda.

2) Conduct Product Specific Tariff Analyses: Determination of tariff rates, levies and charges as it relates to specific commodities especially food security related commodities should not be done arbitrarily but rather should be based on research and analysis to establish their implication for meeting food security and trade objectives. The contractor shall use existing and customized models to evaluate the impact of tariffs as applied to particular food security related commodities such as rice and cassava. The result of these studies will assist the FMT&I and the Federal Ministry of Finance and related agencies in re-examining current policy positions and contribute toward more informed tariff structure that positively impacts on Nigeria‘s local production capabilities, related impact on productivity, competiveness and investment.

3) Support to the Trade Facilitation Task Force (TFTF): The FMT&I co-ordinates the

TFTF – an inter-ministerial, inter-agency body, involving private sector representative organizations – charged with the task to identify and address Non-Tariff Barriers (NTBs) and other major obstacles to trade in line with WTO commitments. The contractor shall support the task force to implement its medium to long-term Action Plan and achieve its rationale for establishment including improving Nigeria‘s ranking in the global trade facilitation score card.

4) Trade Issues Training: This will support the design and roll-out of a trade policy training for FCT&I officers, officers from other trade related Ministries, Departments and

Agencies as well as from the private sector (such as NANTs, and representatives from the

Organized Private Sector). Identifying FMT&I needs in terms of hands –on trainings and workshop topics will boost Nigeria‘s capacity to engage in more informed trade and policy analysis. FMT&I and Contractor shall identify technical capacity shortfalls and design one to two day courses that have a particular bearing on national food security including but not limited to: understanding Global Food Safety Initiatives, Good

Agricultural Practice – Global GAP for fruits and vegetables export, US FDA

Bilateral/Multilateral Cooperative Agreements on Standards.

5) African Growth and Opportunity Act (AGOA) Strategy Implementation: The

Contractor shall technically support the review and completion of a draft strategy document on AGOA…