Umkhandlu wakwa - NONGOMA - Local Municipality

Tel: (035) 831 7500|Fax: (035) 831 3152|P.O. Box 84|Nongoma 3950

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PROPOSAL FOR: IMPLEMENTATION OF A BUSINESS CASE AND SUBSEQUENTLY DEVELOP AN IMPLEMENTABLE BUSINESS PLAN, IMPLEMENT, MENTOR, COACH, THE COMMERCIALISATION OF NONGOMA GOATS.

PROPOSAL NUMBER: SCM NLM 44/2016/17

Proposals from highly experienced, qualified and reputable service providers are hereby invited in terms of section 18(a) of Nongoma Municipality Supply Chain Management policy together with section 83 of the Municipal systems Act, No 32. Of 2000, as amended and read together with section 110, 111,112 of the Municipal Finance Management Act 56 of 2003 for the “Implementation of a business case and subsequently develop and implementable business plan, implement, mentor, coach and commercialisation of Nongoma indigenous goats ”

Scope:

·  Undertake a detailed country- wide scan of indigenous goats, from commercial farmers, emerging commercial farmers, and smallholders, indicating provincial and interprovincial concentration.

·  Unpack the different goat production models

·  Determination of geographic concentration (provincial and intra-provincial) as well as different provincial dynamics at play in goat production,

·  Determine market access opportunities availability, capacities and usage level of facilities/infrastructure (abattoirs, feedlots, tanneries, feed supplies) used at the level of the value chain.

·  Identify and determine the intensity of bottlenecks inhibiting integration of indigenous goat in red meat value chain.

·  Determine the availability, willingness and capability of operating partners at every level of the chain, in the local municipality as well as across the province.

·  Determine the availability of support structures and conduct a SWOT analysis for each respectively

·  Conduct a detailed commercial analysis which should include the technical, marketing and financial considerations

Project objectives

The objectives of the exercise are to:

·  Provide a framework for the development of a prefeasibility report to determine the viability of the commercialisation of indigenous goats in Nongoma Local Municipality

·  Identify the critical path required for sustainable commercialization of goats,

·  Develop a business model(s) to commercialise indigenous goats, establish the feasibility of indigenous goats’ ability to be integrated into the red meat Industry Value Chain as well as to address rural development challenges.

The Service Provider should be rendering the following services in the economic sector

v  Agro Based Industrial Consultancy

v  Business Plan Development

v  Marketing Plan Development

v  Agricultural Engineering Services

v  Development of Organisational Policies

v  Business Process Engineering

v  Project Management

v  Business Mentorship and Coaching – Business Development Training

v  Due Diligence Services

v  Organisational Diagnostic

v  Feasibility Studies

v  Business Mergers and Acquisitions

v  Turn-around Strategies

v  Development of Integrated Development Plans (IDP) for Municipalities

v  Research and Development for Private, Government and Non-Governmental/Profit Organisation

v  Structured Finance for Companies/Cooperatives

Service Providers Requirements

The service provider should be or at least in partnership with some economic development associates with the following accomplishments.

v  A developer of agricultural business plans for primary agricultural programmes/projects. Development of value adding agricultural business plans.

v  Developing, designing and managing value chains and economic development models

v  Farm planning and control which includes budgeting, managing farm machinery, which crops are economical, the cost of labour, how the farms are developing, what risks they face from rising costs

v  5 Business feasibility studies and environmental scans for various clients across industry sectors

v  10 Business plans for various organisations

v  Carried out external audits to diagnose enterprises across industry sectors

v  A review of relevant material/ documents

v  Conduct interviews with goat producers in Nongoma and KZN province at large, farmer associations, commodity organizations as well as other interested parties

v  Provide a brief overview of the interrelationship and interdependence of the different elements/facets of the Rea Meat Industry Value chain.

v  Interview Feedlots, tanneries and abattoirs in the province, in order to establish an understanding of challenges and bottlenecks at all the levels of Red Meat Value Chain.

v  Identify the availability and nature of support services for farmers and others at all the levels of the chain.

v  Identify potential strategic/operating partners in the Municipality and the province at large (if feasible) and possible players, identify what can they offer in this regard.

OTHER LOGISTICS

The market study, business case (prefeasibility study) should be completed within 3 to 4 months from the date of the appointment and the full value chain being implemented over three (3) years.

EVALUATION CRITERIA

Tenders shall be evaluated in terms of the following parameters:

ELEMENT / WEIGHT
Bidder’s experience relevant to the viability assessment and evaluation
assessment of red meat Industry Value Chain as well as well as development
of bankable business plans and raising funding as and when is required. / 40%
Bidder’s understanding of the project as an integral part of the South African Red meat industry specifically goat, its challenges, advantages as well as its tasks & deliverables / 30%
Skills and qualifications of the proposed project team. Masters or equivalent in the Creation of new ventures. Minimum of seven (7) years’ experience in economic development. Bachelor degree in Animal Sciences / 30%
TOTAL / 100%

PROPOSAL SUBMISSION

The proposal must be enclosed in a sealed envelope marked “SCM NLM 44/2016/17” and deposited in the Nongoma Municipality quotation/bid box at the reception not later than 12h00,Friday , 21st April 2017.Late proposals and not clearly marked as prescribed will not be considered.

All technical enquiries should be directed to Mr. Sbusiso Zulu on 035831 7500 or 076 0208062 or by email: and for enquiries regarding the bidding procedures, kindly contact Miss Nondumiso Zulu at 035-8317527.

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MR B E NTANZI

MUNICIPAL MANAGER