Request for expressions of interest for conducting B2B export promotion missions for Moldovan SMEs to Romanian market

REQUEST FOR EXPRESSIONS OF INTEREST

Title: Conducting B2B export promotion missions for Moldovan SMEs to Romanian market

REPUBLIC OF MOLDOVA

MICRO, SMALL AND MEDIUM-SIZED ENTERPRISES COMPETITIVENESS PROJECT

Sector: General industry and trade sector

IDA Credit No. 71740

IBRD Loan No. 94230

Project ID No. P177895

Reference No. MD-CEP-341956-CS-CQS

The Republic of Moldova has received financing from the World Bank toward the cost of the Micro, Small and Medium-Sized Enterprise Competitiveness Project (MSME) and intends to apply part of the proceeds for consulting services.

The consulting services (“the Services”) include conducting B2B export promotion missions for Moldovan SMEs to Romanian market, namely organizing national export promotion mission for up to 55 (fifty five) SMEs to Romania and enable more exports from the country.

The Terms of Reference (TOR) for the primary procurement stage for the assignment can be found below under this request for expressions of interest.

The Project Implementation Unit of the MSME Competitiveness Project now invites eligible consulting firms (“Consultants”) to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have the required qualifications and relevant experience to perform the Services (required qualifications and experience of the firm, but not individual experts’ bio data).

The evaluation criteria are:

The attention of interested Consultants is drawn to Section III, paragraphs, 3.14, 3.16, and 3.17 of the World Bank’s “Procurement Regulations for IPF Borrowers” November 2020 (“Procurement Regulations”), setting forth the World Bank’s policy on conflict of interest.  A Consultant will be selected in accordance with the „Consultant’s Qualification-based Selection” method set out in the Procurement Regulations.

Consultants may associate with other firms to enhance their qualifications but should indicate clearly whether the association is in the form of a joint venture and/or a sub-consultancy. In the case of a joint venture, all the partners in the joint venture shall be jointly and severally liable for the entire contract, if selected.

The Expression of Interest shall clearly state the name of the Consultant (individual Firm, Joint Venture or sub-consultancy). The Consultant shall provide relevant references (assignment name, Client, time frame, the role of the firm (main Consultant/Partner in JV/sub-consultant), contract amount, tasks performed etc.) to confirm its experience and qualifications.

A Consultant will be selected in accordance with the Framework Agreement arrangements described in the Procurement Regulations and to be specifically set out in the Request for Proposals.

Further information can be obtained at the address below during office hours.

Expressions of interest must be delivered in a written form to the address below (in person, or by mail, or by e-mail) by May 02, 2023.

Project Implementation Unit of the MSME Competitiveness Project

Attn. Mr. Aureliu Casian, Executive Director180, Stefan cel Mare Ave., office 815, MD-2004, Chisinau, Republic of Moldova

Tel:  + 373 22 296-723;  + 373 22 296-724;

e-mail: piu@mded.gov.md

web:     www.uipac.md

TERMS OF REFERENCE

Conducting B2B export promotion missions for Moldovan SMEs to Romanian market

(support to Moldovan Investment Agency under World Bank MSME Competitiveness project)

A.   Background

The Government of the Republic of Moldova (GoM) is pursuing a policy agenda to support export-led economic growth. The MSME Competitiveness Project’s aims to increase the competitiveness of Moldovan enterprises by reducing the regulatory burden they face, supporting their access to finance, and supporting MSMEs development and their export competitiveness. The Project will digitize G2B services, which in turn will reduce compliance costs and the regulatory burden for enterprises. In addition, improvements in quality infrastructure, will increase the number of accredited laboratory services and reduce costs for enterprises, which also enabling more exports. These activities will enhance MSME competitiveness in the domestic and international markets. The Project will provide funds to issue partial credit guarantees to support MSME access to finance and funds to support MSMEs in improving their products and services. As a result, access to finance is expected to increase, contributing to MSME survival or growth, job increase or retention, and increased competitiveness and exports.

The World Bank has been supporting the Government in its competitiveness and reform efforts through two Competitiveness Enhancement Projects, which closed successfully and focused on: (i) regulatory reform; (ii) small and medium enterprises’ access to business development services and quality certifications, through a matching grant facility (MGF); (iii) access to finance, through a line of credit (LoC) for exporters; and (iv) quality infrastructure, including equipment and institutional reform in the area of metrology, standards, testing, and quality. During the implementation of the CEP II, the supported activities generated approximately US$215 million in new exports, more than 1000 jobs, an estimated US$15 million in savings for the private sector linked to the implementation of the electronic one stop shop for permits, as well as other reforms. Two hundred and seventy companies benefited from MGF, with more than 55 percent of them exporting for the first time. A total of US$41 million in new export sales have been realized by program recipients and creating more than 800 new jobs. Impact evaluation of the MGF revealed that for US$1 invested through the program, US$12,4 in new export sales have been achieved. Under the new operation it is also envisaged support for firms through matching grants and export readiness programs. Support under CEP II to new program initiated by ODA on internationalization and export readiness aims at helping local enterprises become export ready.

MoE has expressed its strong desire for a project that builds on the successes of the previous one, addresses institutional capacity challenges, and takes a more comprehensive approach to enterprise competitiveness.

B.   Project Description

The MSME’s project development objectives (PDO) are: (i) to reduce the regulatory burden, increase access to finance, increase the export competitiveness of Moldovan enterprises, and (ii) in case of an Eligible Crisis or Emergency, to respond promptly and effectively to it.

The PDO will be achieved through a set of activities that aim to: (a) digitize government-to-business services and inspections, streamline permissive documents, and enhance national quality infrastructure to reduce the regulatory burden enterprises face; (b) support access to finance for enterprises through credit guarantees and enhance the capacity of CGF, and (c) support the development of MSMEs and enhance their export competitiveness; d) support project management; e) support the government's response in case of an emergency.

The project consists of the following components:

Component 1 – Regulatory reform and Digitization. This component supports the Government in reducing the regulatory burden on businesses by further digitization both at the national and local levels, enhancing and digitizing inspection services, improving interoperability and integrated service delivery for businesses, simplifying the regulatory environment, and improving the National Quality Infrastructure System (hereinafter NQI).

Breaking it down by key activities: (a) scale up the digitization of G2B services, including upscaling the existing MMIP government digital platform, digitalizing additional business permits at the national level, and deploying the MMIP to the sub-national level in all 35 rayons; (b) enhance, digitalize, and equip business inspections; (c) enable interoperability of different platforms and services provided to businesses through the development of integrated service delivery; (d) simplify the regulatory environment; (e) increase MSME competitiveness and enabling exports through the improvement of the NQI system; (f) introduce compliance with Performance-Based Conditions (PBC) that reflect the Government’s own objectives and are relevant to the success of digitization of G2B services and inspection reform and (g) address climate vulnerabilities and supports the reduction of GHG emissions and generate mitigation and adaptation climate co-benefits.

Component 2 – Access to Finance. This component aims to support the Credit Guarantee Facility (CGF) under the Organization for Entrepreneurial Development^[1] (hereinafter ODA) in providing of financial guarantees to MSMEs, to deliver more effective programs and assistance that have positive spillovers for the growth of MSMEs and export-oriented sectors to expand the business, enter new markets, start new export activities, and introduce new technologies needed for productivity gains.

Component 3 – MSME Development and Export Competitiveness, focusing on supporting firms through matching grants, export readiness, supplier linkages, and export promotion programs. The objectives of this component are linked with the Government’s goals of simplifying the rules for MSME operation, supporting business establishment, growth and internationalization, enabling more efficient support programs for MSMEs, as well as facilitating the inflow of investments.

Component 4 – Contingency Emergency Response (CERC). This is an unfunded contingency component that can be activated in case of a relevant emergency event. Following an eligible crisis or emergency, the Borrower may request the World Bank to reallocate Project funds to support an emergency response. Once triggered, this component will draw from the uncommitted loan resources under the Project to address the emergency.

Context of export-led growth for Moldova

A key challenge facing the Government of Moldova is the need to promote economic growth and job creation based on robust private sector activity, exports and enhanced investment.  One of the element which could ensure sustainable economic growth of the country is the implementation of coordinated and pro-active incentive policies in the field of export development and investment activity.

Over decades, export-led growth has delivered high growth rates, created new jobs, led to higher labor productivity, ensured relevant inflows of capital and technology, introduced new organizational and managerial methods of production, substantially increased export revenues and, in several cases, turned traditional trade deficit into surplus. It has improved the current account balance and, as a result, contributed to higher financial stability.

 In accordance with its development agenda, the Government wants to steer the economy towards export-oriented production activities and better exploit the country’s potential as a natural transit point between the East and West.

Therefore, under the current support of the MSME project, the Government through the Moldovan Investment Agency (MIA) is seeking the services of a consulting firm with experience in the field of export promotion, organization of B2B meetings, matching the suppliers with buyers, foreign markets’ analytical research, and logistical support in organization of B2B export missions.

C.        Objective of the Assignment

Help Moldovan Government and its Investment Agency to organize and conduct a national export promotion mission for up to 55 (fifty-five) Moldovan SMEs with export potential to Romania and enable more exports from the country.

D.        Tasks to be performed by the Consultant (Scope of Work)

To achieve the assignment’s objectives, the Consultant shall perform the tasks described below in two phases as follows:

Phase I

1. Conduct an assessment identifying up to six subsectors/ niche sectors, which and demand in the Romanian market. This should include  , as well as meetings and focus groups conducted with  
2. Present within separate workshops (dedicated to each sector) using the Investment Agency’s public platform, the results / conclusions of the study targeting entrepreneurs and business associations’ representatives and validated findings for each of these subsectors.
3. In coordination with Investment Agency based on the research results, select covered by the research.
4. Develop a comprehensive market intelligence document for each of the selected sectors. The document should include, but not limited to: Moldova country profile; ; major industry trends globally and in Romania.
5. Assist the Investment Agency to prepare the call and set up the application / selection criteria for applicants from among small and medium size businesses to export missions.
6. Assist the Investment Agency in conducting and completing the evaluation / selection process of the participating firms to export mission to Romania. Beside the evaluation of the companies’ profiles and expressions of interest, the selection process may include, inter alia, screening of applicants and selection of the short list of up to 60 firms, of which five for waiting list in case someone refuses.

Phase II

8. Provide Investment Agency with a list of, at least, 150 companies operating in the target market which could be potential partners for Moldovan SMEs. The list will be provided for coordination to the Investment Agency six weeks prior to the export mission and will contain the following information: companies’ profile, opportunities for Moldovan counterparts, contact information. Based on the short list of Romanian companies validated by the Investment Agency, the foreign companies will be invited to accept the B2B meetings.
9. Develop and provide the Investment Agency, not later than four weeks prior to visit, with the draft schedule of the B2B visits.
10. Develop and provide the individual Moldovan firms with information packages for B2B visits: hosting companies’ profiles, opportunities for Moldovan counterparts, contact information, individual B2B itinerary for each of firm.
11. Organize and conduct a pre-briefing for the Moldovan delegation, tailoring the events by sectors for up to 12 participants with the topic “How to do business in target country market”, sector trends, mission schedule, logistics, etc.; while Investment Agency will present rules of conduct and details of the upcoming missions, etc. 

• B2B export mission, individual B2B meetings for up to fifty-five firms selected for participation (on average five B2B meetings / firm).

13. After each export mission conduct feedback sessions to assess the results, the participants’ satisfaction level, based on notes taken during the mission support participants to prepare the reports, identify organizational gaps and suggest recommendations for effective partnerships.

15. Establish a mechanism to monitor the results of the Moldovan firms that participate in the export missions for a period of twelve months and provide the Investment Agency with periodic status reports every 3, 9 and 12 months.

This work will be done in close cooperation with ODA internationalization program. The Investment Agency will work closely with ODA on selecting firms for export missions, given ODA’s programs on export readiness, the Matching Grants Facility (MGF) and linkages program.

E.        Outcomes and Goals

The following outcomes and goals are expected to be achieved after the implementation of the current assignment:

• Export mission to Romanian market organized for up to 55 (fifty-five) Moldovan firms with export potential.
• Organizing at least five B2B meetings per Moldovan firm.
• At least 15% of all firms participating in export missions engaged in a new export sale in 12 months post mission completion.

F.        Deliverables

The Consultant is expected to develop and provide the following deliverables:

• Research study identifying subsectors and niche sectors with high value and potential for export to Romania.
• Market intelligence document for each of the selected sectors for export mission.
• Eligibility criteria and methodology for the selection process of applicants, call for application coordinated with and published on Investment Agency web page.
• List of Moldovan firms that have applied and were selected for export mission.
• List of Romanian companies identified as eligible for B2B.
• Concept, Agenda, presentation, info kit for pre-mission Briefings and sectorial workshops with business community on local business practices and opportunities in targeted market.
• Results of the satisfaction survey of the participating companies.
• Status Reports on Export mission participation results – 3, 9, 12 months periodicity, after the export mission completion.

G.        Inputs from key players

The Investment Agency in coordination with ODA will provide to the Consultant the following support:

• The list of potential participants to the export missions from among their beneficiaries.
• Lead and participate actively during the benefiairies’ selection ensuring the transparency of the process and decision taken.
• Diseminate the information about the export mission to its beneficiaries.

The beneficiary firm will be responsible for and will cover the following cost:

• Travelling costs to and from Romania.
• Per diems and accomodation cost for participants.

The Consultant will be responsible for and will cover the following costs:

• Ensure logistics in the country of destination for participants (if needed).
• Conference space for the worshops, including necessary equipment (laptop, multimedia projector, screen, microphones, etc.) and coffee breaks.
  

H.        Reports

The results of the assignment will be presented in a series of reports, which will contain detailed description on fullfilment of the tasks foreseen under clause D. Scope of Work above.

The Consultant will have to produce the following reports:

1^st Progress Report. This should present the Consultant’s progress, findings and deliverables foreseen under tasks 1-3 of the Scope of Work, including the results of the conducted study, selected economy sectors for export mission. This report must be presented within 5 weeks after the effectiveness of the contract.

2^nd Progress Report. This should present the Consultant’s progress, findings and deliverables foreseen under tasks 4-6 of the Scope of Work above, including, inter alia, the market intelligence document for each of the selected sectors, assistance to MIA and ODA during the evaluation and selection of participating firms, etc. This report must be presented within 10 weeks after the effectiveness of the contract.

3^rd Progress Report. This should present the Consultant’s progress, findings and deliverables foreseen under tasks 7-12 of the Scope of Work, including, inter alia, the schedule for the export missions to be conducted, information packages for b2b visits, etc. This report must be presented within 15 weeks after the effectiveness of the contract.

4^th Progress Report. This should present the Consultant’s progress, findings and deliverables foreseen under tasks 13-15 of the Scope of Work, including, inter alia, the reports on conducted b2b export missions, assessments of the results and coaching on follow up after the visits abroad, etc. This report must to be presented within 20 weeks after the effectiveness of the contract.

After mission Reports. These are after mission reports that will be presented on a quarterly basis and will monitor the results achieved by the Moldovan firms after the export missions. Reports will be presented at the end of the third,  ninth and twelfth  months after completion of the missions.

The Investment Agency, ODA, the World Bank project team and other stakeholders may provide comments to the deliverables, which should be addressed by the Consultant accordingly.

All Deliverables will be provided in electronic form and in hard copies. The languages of the deliverables shall be Romanian and English.

I.         Reporting Arrangements

The Consultant will act under the supervision of and shall coordinate the progress status with the Investment Agency, and the PIU. The Consultant shall coordinate the reports/deliverables with the Investment Agency, the PIU and other stakeholders as applicable.

J.         Period and terms of the Assignment 

The assignment will be implemented in the period from June to November 31, 2023 for core activities and January – November, 2024 for the activities related to firms’ results monitoring assesment. The assignment will require an estimated level of effort of approximately 125 man-days.

K.        Requirements for the assignment

This assignment will require a Consultant, which can be a consulting firm or a consortium of such consulting firms, which:

• Has extensive experience in export promotion, organisation of B2Bs and market research (demonstrated capabilities and specific projects undertaken) having at least eight years of experience in the field of the assignment.
• Has competence and demonstrated experience in international trade, designing and applying modern export promotion instruments and tools particularly in countries of the region and Western Europe.
• Has knowledge of the economic sectors of Moldova, their needs, reflected by having practical experience in working on SME, export and trade facilitation issues.
• Has proven experience with implementation of similar or alike assignments having at least three succesfully implemented projects during the last five years.
• Has staff with relevant competences and experience in the field of export and trade facilitation.
• Has successful prior experience in implementation of donors’ and/or IFIs’ sponsored projects

L.        Terms of payment

The Contract will a lump-sum contract for small assignments in accordance with the World Bank procedures. The tentative payment schedule is as follows:

• 1^st payment – 15% of the contract amount, upon acceptance of the 1^st progress report.
• 2^nd payment – 20% of the contract amount, upon acceptance of the 2^nd progress report.
• 3^rd payment – 20% of the contract amount, upon acceptance of the 3^rd progress report.
• 4^th payment – 30% of the contract amount, upon acceptance of the 4^th progress report.
• Other payments – 15% of the contract amount distributed evenly, upon submission of the after missions’ reports.

The payments under the contract will be made by the PIU upon approval of the reports by the Investment Agency.

^[1] Public institution under the Ministry of Economy with the mission to support the development of the entrepreneurial environment, including small and medium enterprises.