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DFID Food Fortification Programme (FFP)

Terms of Reference

Subsidy Management Firm for Reimbursement of Subsidy to the Wheat Flour and Edible Oil/Ghee Mills in Pakistan against adequate fortification of their products

 

Background

The Food Fortification Programme is a 5-year program funded by UK Department for International Development (DFID) and being implemented by Mott MacDonald and the Micronutrient Initiative. The overall objective of the programme is to contribute to improved nutritional status of the people of Pakistan, particularly women and children. For this FFP is working to sustainably improve availability and consumption of the fortified wheat flour with iron, folic acid, zinc and vitamin B12 and edible oil/ghee with vitamin A & D in Pakistan.

The programme is being implemented in close collaboration with key government departments at national and provincial levels and the industry associations such as the Pakistan Flour Mills Association (PFMA) and Pakistan Vanaspati Manufacturers Association (PVMA).  The FFP will provide technical support to the industry to adequately fortify wheat flour and edible oil/ghee, assist government departments to improve the food fortification regulatory system, undertake consumer awareness raising activities and conduct research to generate evidence to inform relevant policies and practices to combat micronutrient deficiencies in Pakistan. 

Objective of the Assignment:

The Food Fortification Programme intends to hire the services of a financial management firm to facilitate in reimbursement of the subsidy to the wheat flour and edible oil/ghee mills in accordance with the adequacy of fortification determined through set criteria.. Based on the information provided by FFP, the firm will enroll each wheat flour and edible oil/ghee mill for two years (six semesters) and will reimburse subsidy on FFP sliding scale mechanism changing every semester (six months).

Responsibilities/Tasks to be accomplished:

The specific tasks and responsibilities will include following;

  • Develop Standard Operating Procedures (SOPs) for reimbursement of the subsidy to the wheat flour and edible oil/ghee mills in close collaboration with FFP;
  • Liaise with the FFP’s National Programme Managers and Senior Finance Officer to receive information on the final subsidy amounts for each mill determined on the basis of FFP subsidy reimbursement criteria;
  • Release subsidy payments to the wheat flour and edible oil/ghee mills on a mutually agreed interval through a cross cheque;
  • Enrol all wheat flour and edible oil/ghee mills in the FFP programme districts and make subsidy payment on a sliding scale mechanism changing every semester (six months) for a maximum period of two years;
  • Ensure that all mills receive subsidy for a two-year period and track a record to withdraw the subsidy after completion of two-year subsidy term;
  • Prepare regular reports of the subsidy payments and maintain record for at least six years after the subsidy is over;
  • Regularly update subsidy management data in the FFP’s Management Information System (MIS) for record and decision making;
  • Sign a confidentiality agreement with FFP to ensure that the information pertaining to the test results will be kept confidential;
  • Declare any potential conflict of interest with FFP and/or the subsidy recipient mills;
  • Nominate separate focal points for wheat flour and edible oil/ghee for regular communication and reporting to the relevant national and provincial managers.  
  • The firm will manage PKR 80 million worth of subsidy in year one and PKR 290 million in year two.

Deliverables:

  • Standard Operating Procedure (SOPs) for Subsidy Management Process;
  • Fortnightly and monthly reports of laboratory results and the amount of the subsidy released to the qualifying wheat flour and edible oil/ghee mills;
  • A signed Conflict of Interest (COI) and Confidentiality Agreement.

Timeline:

The operational timelines will start from the date of signing of the contract. The initial contract will be for two years which may be extended based on the satisfactory performance.

Reporting:

The subsidy management firm will report to the Technical Director, Food Fortification Programme and will work closely with National and Provincial Program Managers and Senior Finance Officer for day to day tasks.  

Eligibility Criteria:

  • The firm must be registered as a private sector financial management organization with a recognized government department/regulatory body for at least five years;
  • The firm must have experience of managing similar tasks for development sector projects/programmes for two years;
  • To avoid any conflict of interest, the firms operated/managed by the FFP subsidy beneficiary mills will not be eligible to apply. 

How to submit the proposal?

The technical proposal indicating an approach and methodology for subsidy management and financial proposal having detailed budget breakdown to undertake this assignment should be submitted at ffp.pakistan@gmail.com latest by April 28, 2017 (Friday), 5:00PM along with the following supporting documents.

 

1-      Certificate of Registration;

2-      List of projects undertaking during the last two years; and

3-      Organogram and number of employees;  





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