Request for Application (RFA)

Issuance Date: .................................................... 19.09.2016

Deadline for Receipt of Questions: .................. 05.10.2016

Closing Date/Time for Submission of Applications: 19.10.2016 / 16:00

SUBJECT: Request for Application (RFA) Number: RFA-005-2016

Improving Competitiveness and Market Access through value adding for Producer

Organizations (POs) working in Fruit and Vegetable Sector

USAID/Sweden Fostering Agricultural Markets Activity II (the Activity), a United States Agency

for International Development (USAID) and the Government of Sweden-funded activity, is

seeking applications from qualified, legally registered BiH non-profit, for-profit, and non-

governmental organizations (NGOs) for a grant award to implement activities on Improving

Competitiveness and Market Access through value adding for Producer Organizations (POs)

working in Fruit and Vegetable Sector.

The applications must be received no later than 19.10.2016. Applicants must meet the

requirements of eligibility for this Request for Applications (RFA). This RFA solicits grant

applications to support sustainable economic growth, employment expansion, increased sales and

exports, increased household incomes in Bosnia & Herzegovina and increased potential to meet

EU standard requirements.

The Project invites eligible producer organizations to submit applications for the Improving

Competitiveness and Market Access through value adding for Producer Organizations (POs)

working in Fruit and Vegetable Sector.

The Project invites eligible producer organizations to attend an information session for this RFA

which will be organized on 06.10.2016 at 11:00 in Sarajevo (exact location will be defined later).

If interested to participate, please RSVP no later than 11:00 AM on September 29, 2016.

Attendance at this session is strongly recommended.

You are invited to submit an application for the Improving Competitiveness and Market Access

through value adding for Producer Organizations (POs) working in Fruit and Vegetable Sector.

The grants will be awarded and implemented in accordance with U.S. government regulations

governing grants under contracts and the Activity’s internal grant management policies.

The Successful Applicant will be responsible for ensuring achievement of specified grant

objectives. Please refer to Section 1 – Funding Opportunity Description for a complete statement

of goals and expected results.

This RFA consists of the following sections:

1. Section 1 – Funding Opportunity Description

2. Section 2 – Award Information

3. Section 3 – Eligibility Information

4. Section 4 – Application and Submission Information

5. Section 5 – Application Review Information

6. Section 6 – Award and Administration Information

7. Section 7 – Authority/Governing Regulations

8. Section 8 – Annexes

Pursuant to 2 CFR 200 Subpart E and 2 CFR 700.13, it is USAID policy not to award profit under

assistance instruments. However, all reasonable, allocable and allowable expenses, both direct and

indirect, which are related to the grant activity and are in accordance with applicable cost standards

2 CFR 200 Subpart E for non-profit organizations and educational institutions, and the Federal

Acquisition Regulation (FAR) Part 31 for for-profit organizations), may be paid under the Award.

The Activity reserves the right to fund any or none of the applications submitted. Issuance of this

RFA does not constitute an award commitment on the part of the Activity, nor does it commit the

Activity to pay for costs incurred in the preparation and submission of an application. Further, the

Activity reserves the right to reject any or all applications received if such action is considered to

be in the best interest of the U.S. Government. Applications are submitted at the risk of the

Applicant; should circumstances prevent making an award, all preparation and submission costs

are at the Applicant’s expense.

Applicants should submit any questions concerning this RFA in writing via email at

grants@farmabih.ba. The deadline for receipt of requests for clarifications / explanations is

October 5th, 2016. No questions will be accepted after this date.

Applicants should submit applications in writing to the one of following addresses:

FARMA II

71000 Sarajevo

Fra Andjela Zvizdovica 1B/18

FARMA II

78000 Banjaluka

Prvog Krajiskog korpusa bb

FARMA II

75000 Tuzla,

Marsala Tita 34A/III

FARMA II

88000 Mostar

Kneza M. Viševića Humskog 11

In addition applicants should submit applications electronically, via email at grants@farmabih.ba.

The Closing Date for Submission of Applications is 19.10.2016 and the Closing Time for

Submission of Applications is 04:00 PM local BiH Time. Late applications will not be

considered.

Section 1 – Funding Opportunity Description

Background: The USAID/Sweden Fostering Agricultural Markets Activity II (FARMA II) in BiH

is funded by the United States Agency for International Development (USAID) and the

Government of Sweden. The purpose of the FARMA II is to create agricultural and agribusiness

opportunities by assisting producer organizations to adopt EU and international standards to

produce new products and expand market access and to assist BiH to implement food and

agricultural regulations that meet international requirements. The Activity will create agricultural

and agribusiness economic opportunities for BiH citizens by assisting agricultural producer

organizations in adopting the European Union (EU) and international food standards and new

production techniques, producing new high value products, and expanding market access.

USAID/Sweden FARMA II’s methodology of working with private and public sector stakeholders

to identify market failures will ensure that the Activity team remains focused on addressing the

root problems inhibiting competitiveness. The project team will collaborate with numerous

partners and business development service providers (BDSPs) to build their capacity to introduce

ownership and provide sustainability within an indigenous ecosystem of BiH organizations.

Program Description:

I. Background on the specific grant activity

Although Bosnia and Herzegovina (BiH) largely depends on import of fresh and processed fruits

and vegetables in order to meet domestic needs for these produce, this agricultural subsector is still

one of the most significant subsectors in overall BiH agricultural production. In general, past

couple of years were unfavorable especially for local F&V processors, hence export of processed

products has been decreasing both in volume and value continuously. In the same time the situation

in imports is completely opposite as import has been increasing three to more than five times over

the course of the last three years. In 2015, the value of total import of fruits and vegetables (both

fresh and processed) amounted 176 million BAM of which 24% represented processed F&V, while

exports of F&V (both fresh and processed) for the same period amounted 125 million BAM1 of

which processed F&V participated with 10%. Main trade partners are regional countries, than the

following EU member states: Croatia, Italy, Netherlands, Germany, Slovenia followed by Turkey

and Russian Federation.

During the past several years, fruit production has an increasing production trend, especially for

berries, raspberries in particular. On the other hand, vegetable production, except for the

production in protected area (in greenhouses) and production of gherkins, has slower development

trends or even has been reduced. While production of fresh F&V is more concentrated around

strong, large cooperatives and private companies, production of F&V for processing is mainly

organized through the farmers’ associations and smaller agriculture cooperatives who organize

1 Foreign Trade Chamber Official Data

primary production and buy up of produce for industrial use. Due to the highly seasonal

production, adverse climate conditions and short production cycle of some crops, there is an

increasing interest in increasing production in protected areas where producers can rotate several

crops throughout the longer period of time.

Industrial processing of fruit in BiH, other than Individual Quick Frozen (IQF) fruit, mainly

berries, involves production of fruit juices, jams and pulp (i.e., concentrated juice) and drying,

while the processed vegetables subsector is relatively more diversified and stronger. There are

increased market opportunities for processed products such as pasteurized vegetables, pickles,

ayvar, pepper fillets, vegetable stew, beetroot and tomato juice. In BiH there is a cultural

preferences for eating processed vegetables, especially pickled products. Pickles/gherkins are

leading pickled product and often its production volume is a major market limitation factor for

increase in production of other vegetable for processing such as peppers, egg plants, beet root,

chili peppers, etc. Larger quantities of gherkins proportionally are increasing market demands for

other processed vegetables (i.e. on top of 100 pieces of jars of gherkins a supermarket will order

60 jars of pepper and also smaller quantities of other products, hence gherkins are recognized as a

key products that pulls demand for other vegetable produce). Most of the pickled products that are

produced for domestic market are also exported to the EU. Natural and organic juices, jams and

marmalades have also strong export potentials as well as semi processed fruits distillates and fruit

concentrate.

Majority of fruit and vegetable processors base their production on domestic market needs. A few

processors are selling processed F&V on regional non-EU markets that still do not have strict rules

for food safety and quality. Only small number of firms export their products to other international

markets including the EU. Most of the processed products are sold through middle men and/or

distributors to supermarket chains.

Usually, potential buyers are identified through trade fairs, different B2B meetings and/or by the

direct contacts using various connection channels.

II. The purpose, goals and objectives of the activity

The purpose of this RFA is to solicit applications to support the Activity in the achievement of its

program objectives. Producer organizations from F&V subsector in BiH still need extensive

support and assistance to be able to improve and increase their production, processing, product

quality, implementation of hygiene standards and satisfy market requirements. In some instances

increase in primary production is necessary in order to achieve economy of scale and improve

overall competitiveness. Also, these producer organizations need additional products

diversification because there are many opportunities to access niche markets opportunities that can

be satisfied with production of value added products.

Specifically, the purpose of this activity is to support value adding in production of F&V leading

to increased production, processing, diversification of production and improved income and sales

potential. With increased production of final products instead of export of product for further

processing abroad (industrial varieties and lower quality fruits and vegetables) local producer

organizations will be better positioned on local and export markets. In addition, by opening of new

market opportunities overall competitiveness of fruit and vegetable sector in BiH will be further

improved. The objectives of this activity are listed below:

Promotion of environmentally sustainable and more productive fruit and vegetable

production in compliance with the Code of Good Agricultural Practices in order to ensure

safe product for the human consumption;

Initiated activities to incorporate climate change adaptation and risk reduction strategies

into appropriate actions and promote environmental best practices;

Increased competitiveness of the fruit and vegetable sector in BiH by improving yields,

production and processing of good quality produce and in accordance to the EU standards;

Increase production of the most competitive F&V for which there is a high market demand

on the both domestic and international markets (i.e. sweet cherries, potato etc.);

Fulfillment of relevant quality standard requirements and necessary certification in order

to meet market demands and better market positioning;

Increase competitiveness of the F&V sector through improved yields, production and

processing of quality products;

Improve marketing, labeling and packaging of F&V products leading to better market

positioning;

Introduce new technologies to increase the quality and quantity of F&V;

Facilitation of export of F&V fresh and processed products.

III. Expected results

It is expected that successful applicants will increase productivity and profitability at the farm and

processing levels and further throughout the entire F&V value chain. Further increase in

production and processing of F&V is expected and in parallel new market opportunities created in

order to secure safe placement of produced goods.

The results obtained therefore will include one or more of the following:

Increase in the new investment in the F&V value chain in BiH;

Increased production and exports of F&V fresh and processed products;

Applied new technologies that improves quality and quantity;

Better market access resulting with an increased sales;

Improved energy efficiency in the production leading to the better market

competitiveness;

Applied technologies that mitigate climate related changes and help production to adopt

to it;

Creation and/or increase of employment with new full time jobs;

Involvement of large number of women and young entrepreneurs in this activity;

Fulfillment of market requirements through the increased number of implemented

standards and obtained certificates that it proves;

IV. Illustrative activities

Target activities that will be supported with this RFA are described in the section below. FARMA

II will support funding of the activities that will strengthen the fruit and vegetable sector in BiH

by facilitating domestic production of high quality produce and in accordance to good agricultural

practices and EU food safety standards. Applicants may submit proposals that address one or

several of the target activities proposed below:

Improve efficiency and effectiveness in plantations and production areas through

installation of greenhouses, irrigation systems, protection nets and/or purchasing of

necessary equipment like sprayers, various tractor mounted equipment;

Improve primary production by contract farming through engaging large number of

individual producers/farmers into the value chain in order to be able to meet increased

market demand and improve quality of their product through introduction of new

technologies at their farms;

Support to new production and/or processing technologies which will lead to import

substitution and/or increased exports;

Support farmers and producer organizations to implement quality standards and obtain

relevant certification such as GlobalGap, Organic, ISO, HACCP, IFS and/or other relevant

standard required on both domestic and international markets;

Support to activities that will lead to improved production technologies and processing

capacities (i.e. sorting and grading equipment, vacuum packaging equipment, packaging

line, etc.) and improve efficiency, effectiveness and increase competitiveness of Producer

Organizations through specialization of production and orientation to competitive products

and/or new products such as organic or indigenous products development with clear market

demand linkages;

Support activities that provide direct and/or on-farm employment for large number of

people especially women and youth;

Provide better access of farmers to the technical assistance end education/training to ensure

better product quality and increased yields;

Improve knowledge and provide activities related to the development of work force;

Support to activities that involve training of potential cooperants, provision of inputs and

promotion of contract farming;

Improve marketing of products and market access identifying new and more profitable

markets through participation and exhibition at key fairs, organizations of trade missions,

etc. in order to improve sales.

FARMA II encourages applicants to consider and address in the application necessary measures

that proposes mitigation against environment and climate related risks, increase energy efficiency

as well as to pay attention to gender aspects and that higher number of total direct and indirect

beneficiaries are women and youth where possible.

V. Performance Monitoring Plan

To track achievements of these grant awards, the Activity will measure progress against total

number of jobs created in assisted producer organizations in fruit and vegetables value chain,

annual percent change in sales and exports, number of farmers and POs who have applied new

technologies or management practices as a result of this grant award. In addition, the Activity will

measure improvement in management practices, farmers’ holdings implementing at least one

strategy to mitigate against climate-related risks as a result of this grant award. It is expected that

applicants will include the same set of indicators in their project to measure achievements that will

be result of this grant award. The participation of woman in the proposed activities is strongly

encouraged, it will be evaluated and tracked separately.

Section 2 – Award Information

Subject to the availability of funds, the Activity intends to provide grant funds to support

Improving Competitiveness and Market Access through value adding for Producer Organizations

(POs) working in Fruit and Vegetable Sector.

It is expected that grants for Improving Competitiveness and Market Access through value adding

for Producer Organizations (POs) working in Fruit and Vegetable Sector will be allocated over a

one-year period. The anticipated period of performance of the grant is expected to be November

15, 2016 – November 15, 2017. The Activity anticipates awarding standard grants under this RFA.

The Activity’s grants shall not exceed 50,000 $ for a single award. Maximum amount for Craft

Organizations and/or Commercial Farming Households should not exceed 6,000 $.

Section 3 – Eligibility Information

Eligible organizations shall be able to comply with and achieve the proposed Program Description,

Tasks, and Results and have a satisfactory performance record and record of integrity and business

ethics.

Legally registered Bosnia & Herzegovina Organizations;

Non-profit/NGO, regional development agencies, public educational institutions (agricultural

faculties, institutes, private extension services);

Commercial and/or for-profit organizations that understand that no profit or fee will be allowed

under the grant agreement;

Any legal entity which is registered in the Farm Registry established within the entity or

cantonal ministries of agriculture, either as a company or at a minimum as an agricultural crafts

organization and/or Commercial Farming Household (RS);

In some cases, BiH public educational entities may be eligible for grants. Grants to educational

entities will be used to provide in-kind assistance only. Under any grants awarded to public

educational entities, FARMA II will conduct all procurement on behalf of the grantee and

transfer the equipment as an in-kind donation. The government organizations eligible would

include agricultural institutes and university faculties.

Eligible organizations must also adhere to the following requirements:

Demonstrate an ability to contribute to the objectives of the FARMA II project and perform

the activities proposed in accordance with USAID policies and practices;

Display sound financial, administrative, and technical management in the form of a system of

controls that safeguards assets, protects against fraud and waste, and supports the achievement

of the award’s objectives;

Representatives of the organization must sign all mandatory certifications.

Prior to the award of grant under this RFA, successful Applicants will be required to sign a

Certification Regarding Terrorist Financing certifying that the Applicant’s organization does not

provide and has never provided assistance to terrorists for terrorist activities. Successful Applicants

may also be required to sign other Certifications as applicable to the award. The Certifications are

attached as Annex A of this RFA.

Ineligible organizations include:

Entities that have misused USAID or the Government of Sweden funds in the past;

Organizations that advocate, promote or espouse anti-democratic policies or illegal

activities;

Political parties or institutions;

Organizations that intend to use the grant for religious objectives;

Public International Organizations;

Government organizations and institutions;

Individuals.

Ineligible Expenses:

FARMA grant funds may not be utilized for the following:

Profit

Military equipment

Surveillance equipment

Commodities and services for support of police and other law enforcement activities

Abortion equipment and services

Luxury goods and gambling equipment

Weather modification equipment

Private ceremonies, parties, celebrations, or "representation" expenses (entertainment

costs)

Purchases of restricted goods, such as certain agricultural commodities, motor vehicles,

pharmaceuticals, contraceptive products, pesticides, used equipment and fertilizers without

USAID’s Contracting Officer advance approval.

Purchases of goods or services from countries or suppliers as may be identified by USAID's

consolidated list of debarred, suspended, or ineligible subcontractors, System for Award

Management (SAM) at https://www.sam.gov / or the U.S. Department of Treasury Office

of Foreign Assets Controls (OFAC)at http://sdnsearch.ofac.treas.gov/Default.aspx

Prior obligations of and/or, debts, fines, and penalties imposed on the Grantee.

Alcoholic beverages

Purchases or activities unnecessary to accomplish grant purposes as determined by the

FARMA Project.

Second hand equipment.

Section 4 – Application and Submission Information

Applicants should submit written applications to one of USAID/Sweden FARMA II offices, and

electronically via email at grants@farmabih.ba. The Closing Date for Submission of Applications

is 19. 10. 2016 and the Closing Time for Submission of Applications is 04:00 PM Local BiH Time.

Late applications will not be considered.

For each proposed activity, the applicant will also propose target indicators from the following

areas:

Increased sales and/or exports and potential for income generation;

Increased access to international and/or domestic markets;

Increased number of on-farm-employment and /or direct and seasonal employees as a

result of activity implementation;

Increased number of women participating in this program;

Introduction of new products and/or implementation of the new production technology;

Increased yields and profitability due to the introduction of new crop varieties;

Introduction of international food safety standards or management systems;

Introduction of new crop or equipment insurance schemes;

Import substitution and/or increased export potential;

Implementation of measures to mitigate risk of climate change.

For the project to be funded by USAID/Sida FARMA II it should include the following elements,

as relevant:

Readiness to introduce new production technologies and to demonstrate its advantages (if

any) to selected value chain participants;

Readiness to provide assistance to young farmers and/or women (for example, in the

form of training) to increase the production of target produce. This activity will

contribute to mitigation of market distortion.

Openness to show others in the industry new practices that have been implemented as a

result of the project. This activity will contribute to mitigation of market distortion.

All applications in response to this RFA shall consist of a technical proposal and a budget proposal.

The technical proposal must be no longer than 25 pages in length. The applicant is expected to

demonstrate the following in the application:

Consistency with Project’s objectives: The applicant’s proposed results clearly feed into the

Activity’s performance management plan. The proposed indicators are objectively measurable,

clear and relevant to the Activity and the methodology for measuring results of the program is

appropriate and efficient. The proposed activities are consistent with and will contribute to

achieving the objectives stated in the RFA.

Feasibility of design. The proposed methodology reflects an understanding of the RFA’s program

description and scope of work. The designed interventions are appropriate and the

results/milestones are concrete and achievable. The implementation plan includes tasks/activities

that are clearly described and organized in a sequential and logical order; the proposed timelines

allow for the maximization of resources and time, and they are clearly assigned to personnel

Market Distortion. The proposed activity clearly defines how the potential market distortion will

be mitigated. The applicant is expected to demonstrate their readiness to mitigate the potential

market distortion which may occur because of financial assistance paid to the business giving the

business a competitive advantage over the similar businesses within the value chain. FARMA II

ensures clear, transparent and competitive procedures for grants and one of the key considerations

includes market distortion. Applications will be assessed and approved with a goal to avoid market

distortion or favoring one producer, business group or interest over another. In improving the

competitiveness of a fruits and vegetable producing and processing sector, grants will foster a level

playing field for competing and complementary producer organizations in the same value chain.

Sustainability/financial self-reliance. Proposals will be evaluated regarding the extent to which

the funded activity will result in building and strengthening the capacity of the local organizations,

and whether the activity itself is sustainable or will stimulate the economic sustainability of the

organization. The required cost share is minimum 50% of the total investment costs. The proposed

cost share elements are relevant to the objectives of the program and demonstrate the

organization’s commitment in investing resources in the program. The application includes a

logical and feasible proposal describing how the cost share commitments will be met. If program

income is expected: The proposal for collecting program income is efficient and realistic.

Gender Equality. Proposals will be evaluated regarding the extent to which the funded activity

will result in improving gender inequality within FARMA supported sub sectors and components.

In line with USAID’s Gender Equality and Female Empowerment Policy and the Swedish

Government’s Policy for Gender Equality and the Rights and Role of Women in Sweden’s

International Development Cooperation, FARMA II small grants will support opportunities to

empower, motivate and activate men and women to mitigate gender inequalities within the

FARMA II supported value chains. Given that the situation differs in different value chains and

local contexts, the FARMA II small grants fund will serve as a tool for substantial women’s

empowerment and mitigation of gender inequality.

Environmental consideration. For assistance provided under this SOW sub-contractor will

comply with USAID environmental requirements in accordance with CFR 216, namely the

FARMA II-approved Initial Environmental Examination and the FARMA II-approved

Programmatic Environmental Assessment (PEA) and the Pesticide Evaluation Report and Safer

Use Action Plan (PERSUAP), as directed by FARMA II. Specifically, any technical assistance

(TA) must comply with the following:

1. FARMA II Programmatic Environmental Assessment (PEA), Section 7.3.1. (b), where all

TA must promote Good Agricultural Practices (GAP’s),

2. All pest management advices must comply with FARMA’s II approved Pesticide

Evaluation Report and Safer Use Action Plan (PERSUAP). Only pesticides approved in

the PERSUAP may be used and recommended during training events, including any

written material prepared by the implementer. It is USAID policy that all pest management

advices must follow the principles of Integrated Pest Management (IPM). The approved

pesticide list, in addition to the full PERSUAP, will be provided to the selected

implementer prior to the signing of the contract and shall be fully complied with.

In addition, FARMA II encourages applicants to consider and address in the application

necessary measures that proposes mitigation against environment and climate related risks

Desired Results. Grants will be awarded for activities that will have the greatest contribution to

increased competitiveness of the fruit and vegetable sector through implementation of new

technologies, Good Agricultural Practices, introduction of new products to the market, increased

sales and exports, increased on-farm and direct employment, climate change adaptation and risk

reduction and promote environmental best practices. Grant applications will specify activity

outputs and explain how and to what degree they are expected to generate these overall business

results objectives.

Application Process

All interested parties can apply for possible support from FARMA II’s Grant Fund for above

mentioned activities. In addition to the above project specific criteria, all applicants must meet the

following conditions:

1. Maximum amount requested from FARMA II should not exceed 50,000 $. Maximum

amount for Craft Organizations and/or Commercial Farming Households should not

exceed 6,000 $.

2. FARMA II participation should be 50% or less of the cost of the entire project

3. Used equipment CANNOT be financed.

4. The PO must also submit balance sheets and income statements (or other relevant

financial data) for the last 2 years, with evidence of successful business operation

5. FARMA II funds will be reimbursed to the applicant only after the purchase and

installation of equipment and after the submission of all required documentation such

as invoices, receipts etc. For the fixed amount awards FARMA II funds will be

reimbursed only after specific deliverable/milestone has been achieved.

The budget proposal shall be submitted as a separate file from the technical proposal. The required

format for applications is included as Annex B - Full Application Format and Budget Format.

Section 5 – Application Review Information

Applications will be evaluated in accordance with the criteria set forth below. The criteria have

been tailored to the requirements of this RFA. Applications should note that these criteria serve to:

(a) identify the significant matters which Applicants should address in their applications; and (b)

set the standard against which all applications will be evaluated.

To the extent necessary, the Activity may request clarification and supplemental materials from

Applicants whose applications have a reasonable chance of being selected for Award. The entry

into discussion is to be viewed as part of the evaluation process and shall not be deemed as

indicative of a decision or commitment upon the part of the Project to make an award to the

Applicants with whom discussions are being held.

The following evaluation criteria will be used in this RFA will:

1. Consistency with FARMA II objectives and overall project goals: especially introducing new

technologies to increase client sales and jobs.

2. Activity’s contribution to increased sales, exports, employment, and investment.

3. Sector-specific technical criteria

4. Results to be achieved: Are the results to be achieved linked to the grant objective

5. Compatibility with EU accession requirements. Compatibility with Section 613 of the US FY

08 Appropriations Act. FARMA II aims to increase exports in targeted agriculture and food

sub-sectors and facilitate partnerships with existing and new foreign investors, it is not

expected that investments and export promotion assistance under FARMA II will adversely

impact US companies or jobs since the majority of BiH agricultural and food exporters and

investors are regional and EU-based, a negligible share of their products are exported to the

US, and no US jobs loss is anticipated as a result of FARMA activities.

6. Feasibility of design and approach: the quality and feasibility of the application in terms of the

appropriateness of the proposed technology and innovativeness; proposed mechanisms for

monitoring and evaluation with objectively measurable indicators will also be appraised.

7. Management and programmatic capacity: evidence of the capability to undertake and

accomplish the proposed activities. The appraisal will be based on the background,

qualifications, reputation, appropriateness and skills of its key personnel, and the reputation,

and achievements of the organization in the past.

8. Potential for scaling up/replication

9. Potential for mitigation of possible market distortion: evidence of the applicant’s capability to

craft solutions that make the value of the activity higher than the cost of the activity. Provides

reasonable explanation on how the benefit received from the project contributes to the broader

farmers’ community.

10. Budget: the degree to which budgeting is clear and reasonable and reflects best use of

organizational and grant resources; Provides reasonable cost share consistent with the nature

of the proposed activity and the applicant’s ability to contribute and leverage funds to the

greatest extent possible; All members of the TEC committee will review the budget in detail

making sure that the proposed costs make technical sense, are directly linked to an activity,

and are reasonable and necessary costs.

11. Gender and youth awareness: the extent to which the funded activity includes a gender and

youth component or represents a strong commitment to women and youth as beneficiaries.

12. Environmental Compliance: addressing climate change adaptation and risk reduction strategies

into appropriate activities and promotion environmental best practices

The selection of the Applicant for award will be made by the Activity’s Grant Selection Committee

(GSC). Prior to the award of any resultant grant agreement, the Project must obtain prior approval

from USAID.

Section 6 – Award and Administration Information

Successful applicant(s) will receive written notice from the DCOP/Grants Manager informing the

applicant(s) that the Activity either intends to award a grant to the applicant without negotiation,

or that the Activity intends to engage the applicant(s) in further negotiations with respect to a

potential grant award. Negotiations conducted after the receipt of an application do not constitute

an obligation on the part of the Project to award a grant. Unsuccessful applicants will be notified

in writing by the DCOP/Grants Manager.

Any resultant award will be subject to the terms and conditions of the Prime Contract for the

USAID/Sweden Fostering Agricultural Markets Activity II (FARMA II), 2 CFR 200 Standard

Provisions for Non-U.S. Non-governmental Recipients.

Issuance of this RFA does not constitute an award commitment on the part of the Activity or the

U.S. Government, nor does it commit the Activity or the U.S. Government to pay for costs incurred

in the preparation and submission of an application.

Funding

All grants will be negotiated, denominated and funded in Bosnian Marks (BAM). Payments will

either be made on a reimbursement basis in tranches corresponding to achievement of agreed

upon milestones or directly to vendor’s account after the completion of services or upon delivery

of equipment. The decision will be made by FARMA II as part of an eventual analysis of the

Applicant’s organizational capability to manage grant funds.

All costs funded by the grant must be allowable, allocable and reasonable. A cost-sharing

element from the applicant and/or an approved third party must be contributed to the grant

activity.

Grant applications must be supported by a detailed and realistic budget as described in Annex B.

Section 7 – Authority/Governing Regulations

FARMA II grants to non-U.S. organizations adhere to guidance provided under USAID’s

Automated Directive System (ADS), Section 302.3.5.6, “Grants Under Contracts,” ADS Chapter

303, “Grants and Cooperative Agreements to Non-Governmental Organizations,” and within the

terms of the USAID Standard Provisions applicable to Non-U.S. Non-Governmental Recipients.

These provisions can also be accessed through the USAID external website at

http://transition.usaid.gov/policy/ads/300/303.pdf.

ADS 303 references three additional regulatory documents:

A. 22 CFR 226 Administration of Assistance Awards to U.S. Non-Governmental Organizations

B. OMB Circular A-122: Cost Principles for Nonprofit Organizations

C. FAR 31.2 Cost principles for Commercial Organizations

D. OMB Circular A-133: Audits of States, Local Governments, and Nonprofit Organizations

Full text of these circulars can be found at http://www.whitehouse.gov/omb/circulars/. FARMA II

is required to ensure that all organizations receiving USAID grant funds comply with the guidance

found in these circulars, as applicable to the respective terms and conditions of their grant awards.

Issuance of this RFA does not constitute an award commitment on the part of FARMA II, nor does

it commit FARMA II to pay for costs incurred in the preparation and submission of an application.

Further, FARMA II reserves the right to reject any or all applications received. All application

preparation and submission costs are at the applicant's expense and risk. Awards are subject to

availability of funds.

Section 8: Annexes

Annex A: Certifications

Annex B: Full Application Format and Budget Format

Annex C: Survey on Ensuring Equal Opportunity for Applicants

Annex A: Certifications

USAID/Sweden FARMA II Certifications, Assurances and Other Statements of Offerors

This attachment contains all of the certifications that applicants may be required to sign under the

Project during the negotiation for a potential grant agreement. A description of the certifications

is listed below, along with instructions regarding the applicability of each certification to the grant

award. The DCOP/Grants Manager and Grants Specialist will ensure that all required

certifications are signed by the applicant.

Name of Certification Applicability to NGOs Applicability to Host Government Organizations

Description

Assurance of Compliance with Laws and Regulations Governing Non-Discrimination in Federally Assisted Programs

Required for all US grantees and non-US organizations if any part of the program will be undertaken in the United States.

Only if any part of the program will be undertaken in the United States.

Assures that no person in the US will be discriminated against any activity funded by USAID

Restrictions on Lobbying Required for grants over USD100,000

Required for grants over USD100,000

Certifies that no Federal funds have been paid or will be paid by or on behalf of the grantee to any person for the purposes of influencing or attempting to influence an officer or employee of any agency, an officer, employee, or Member of Congress in connection with awarding the grant

Certification Regarding Terrorist Funding

Always required Not required Provides USAID with assurances that it is not entering into an assistance agreement with an organization that provides or has provided assistance to terrorists for terrorist activity

Survey on Ensuring Equal Opportunity for Applicants

Included in all RFAs and grantees’ completion of the survey is voluntary

Not required Note: Survey not included in this Attachment but will be included in each RFA

Data Universal Numbering System (DUNS)

Required for US grantees only

Not required

Other Statements of Recipients

Required, though some sections may only apply to US grantees

Required, though some sections may only apply to US grantees

Certification Regarding Terrorist Financing, Implementing Executive Order 13224

By signing and submitting this application, the prospective recipient provides the certification set

out below:

1. The Recipient, to the best of its current knowledge, did not provide, within the previous ten

years, and will take all reasonable steps to ensure that it does not and will not knowingly

provide, material support or resources to any individual or entity that commits, attempts to

commit, advocates, facilitates, or participates in terrorist acts, or has committed, attempted to

commit, facilitated, or participated in terrorist acts, as that term is defined in paragraph 3. The

Certification in the preceding sentence will not be deemed applicable to material support or

resources provided by the Recipient pursuant to an authorization contained in one or more

applicable licenses issued by the U.S. Treasury’s Office of Foreign Assets Control (OFAC).

2. The following steps may enable the Recipient to comply with its obligations under paragraph

1:

a. Before providing any material support or resources to an individual or entity, the Recipient

will verify that the individual or entity does not (i) appear on the master list of Specially

Designated Nationals and Blocked Persons, which list is maintained by the U.S. Treasury’s

Office of Foreign Assets Control (OFAC) and is available online at OFAC’s website :

http://www.treas.gov/offices/eotffc/ofac/sdn/t11sdn.pdf, or (ii) is not included in any

supplementary information concerning prohibited individuals or entities that may be

provided by USAID to the Recipient.

b. Before providing any material support or resources to an individual or entity, the Recipient

also will verify that the individual or entity has not been designated by the United Nations

Security (UNSC) sanctions committee established under UNSC Resolution 1267 (1999)

(the “1267 Committee”) [individuals and entities linked to the Taliban, Usama bin Laden,

or the Al Qaida Organization]. To determine whether there has been a published

designation of an individual or entity by the 1267 Committee, the Recipient should refer to

the consolidated list available online at the Committee’s website:

http://www.un.org/Docs/sc/committees/1267/1267ListEng.htm.

c. Before providing any material support or resources to an individual or entity, the Recipient

will consider all information about that individual or entity of which it is aware and all

public information that is reasonably available to it or of which it should be aware.

d. The Recipient also will implement reasonable monitoring and oversight procedures to

safeguard against assistance being diverted to support terrorist activity.

3. For purposes of this Certification-

a. “Material support and resources” means currency or monetary instruments or financial

securities, financial services, lodging, training, expert advice or assistance, safehouses,

false documentation or identification, communications equipment, facilities, weapons,

lethal substances, explosives, personnel, transportation, and other physical assets, except

medicine or religious materials.”

(i) “Training" means instruction or teaching designed to impart a specific skill, as

opposed to general knowledge.

(ii) “Expert advice or assistance" means advice or assistance derived from

scientific, technical, or other specialized knowledge.

b. “Terrorist act” means-

(i) an act prohibited pursuant to one of the 12 United Nations Conventions and

Protocols related to terrorism (see UN terrorism conventions Internet site:

http://untreaty.un.org/English/Terrorism.asp); or

(ii) an act of premeditated, politically motivated violence perpetrated against

noncombatant targets by subnational groups or clandestine agents; or

(iii) any other act intended to cause death or serious bodily injury to a civilian, or to

any other person not taking an active part in hostilities in a situation of armed

conflict, when the purpose of such act, by its nature or context, is to intimidate a

population, or to compel a government or an international organization to do or

to abstain from doing any act.

c. “Entity” means a partnership, association, corporation, or other organization, group or

subgroup.

d. References in this Certification to the provision of material support and resources shall not

be deemed to include the furnishing of USAID funds or USAID-financed commodities to

the ultimate beneficiaries of USAID assistance, such as recipients of food, medical care,

micro-enterprise loans, shelter, etc., unless the Recipient has reason to believe that one or

more of these beneficiaries commits, attempts to commit, advocates, facilitates, or

participates in terrorist acts, or has committed, attempted to commit, facilitated or

participated in terrorist acts.

e. The Recipient’s obligations under paragraph 1 are not applicable to the procurement of

goods and/or services by the Recipient that are acquired in the ordinary course of business

through contract or purchase, e.g., utilities, rents, office supplies, gasoline, etc., unless the

Recipient has reason to believe that a vendor or supplier of such goods and services

commits, attempts to commit, advocates, facilitates, or participates in terrorist acts, or has

committed, attempted to commit, facilitated or participated in terrorist acts.

This Certification is an express term and condition of any agreement issued as a result of this

application, and any violation of it shall be grounds for unilateral termination of the agreement by

USAID prior to the end of its term.

Certification of Recipient:

By signing below the recipient provides certifications and assurances for the Certification

Regarding Terrorist Financing Implementing Executive Order 13224 above.

RFA/APS No.

Application No.

Date of Application

Name of Recipient

Typed Name and Title

Signature and Date

Other Statements of Recipient

1. Authorized Individuals

The recipient represents that the following persons are authorized to negotiate on its behalf with

the USAID/Sweden Fostering Agricultural Markets Activity II project and to bind the recipient in

connection with this application or grant:

Name Title Telephone No. Facsimile No.

2. Taxpayer Identification Number (TIN)

If the recipient is a U.S. organization, or a foreign organization which has income effectively

connected with the conduct of activities in the U.S. or has an office or a place of business or a

fiscal paying agent in the U.S., please indicate the recipient's TIN:

TIN: ________________________________

3. Data Universal Numbering System (DUNS) Number

Applicability: This applies to US grantees only.

(a) In the space provided at the end of this provision, the recipient should supply the Data Universal

Numbering System (DUNS) number applicable to that name and address. Recipients should

take care to report the number that identifies the recipient's name and address exactly as stated

in the proposal.

(b) The DUNS is a 9-digit number assigned by Dun and Bradstreet Information Services. If the

recipient does not have a DUNS number, the recipient should call Dun and Bradstreet directly

at 1-800-333-0505. A DUNS number will be provided immediately by telephone at no charge

to the recipient. The recipient should be prepared to provide the following information:

(1) Recipient's name.

(2) Recipient's address.

(3) Recipient's telephone number.

(4) Line of business.

(5) Chief executive officer/key manager.

(6) Date the organization was started.

(7) Number of people employed by the recipient.

(8) Company affiliation.

(c) Recipients located outside the United States may obtain the location and phone number of the

local Dun and Bradstreet Information Services office from the Internet Home Page at

http://www.dbisna.com/dbis/customer/custlist.htm. If an offeror is unable to locate a local

service center, it may send an e-mail to Dun and Bradstreet at globalinfo@dbisma.com.

The DUNS system is distinct from the Federal Taxpayer Identification Number (TIN) system.

DUNS: ________________________________________

4. Type of Organization

The recipient, by checking the applicable box, represents that -

(a) If the recipient is a U.S. entity, it operates as ☐ a corporation incorporated under the laws of

the State of, ☐ an individual, ☐ a partnership, ☐ a nongovernmental nonprofit organization,

☐ a state or loc al governmental organization, ☐ a private college or university, ☐ a public

college or university, ☐ an international organization, or ☐ a joint venture; or

(b) If the recipient is a non-U.S. entity, it operates as [ ] a corporation organized under the laws of

_____________________________ (country), ☐ an individual, ☐ a partnership, ☐ a

nongovernmental nonprofit organization, ☐ a nongovernmental educational institution, ☐ a

governmental organization, ☐ an international organization, or ☐ a joint venture.