Mapping Agribusiness Support Measures in Turkey

Country: Turkey
Language: EN
Number: 1487139
Publication date: 19-04-2017
Source: The European Bank for Reconstruction and Development (EBRD)
Tags: Agricultural services Research services food products




Business sector:

Other, Agribusiness

Project number:


Funding source:

EBSF - EBRD Shareholder Special Fund

Contract type:

Consultancy Services

Notice type:

Invitation for expressions of interest (CSU)

Issue date:

19 Apr 2017

Closing date:

03 May 2017 at 15:00 London

Access eSelection

Background: The European Bank for Reconstruction and Development (the “EBRD”, the “Bank”) has invested more than EUR 500 million in the Turkish agribusiness sector. The agribusiness sector is an important share of the EBRD portfolio and future pipeline in Turkey, contributing around 7 per cent of annual Bank investment in the country. As part of the EBRD’s effort to foster transition to open-market economies, the Bank can step up its work with Turkish agribusinesses and the government to support the sector’s modernisation and improved private sector competitiveness.

Turkey’s current policies in the agribusiness sector are aligned with the general trade obligations of the World Trade Organisation (the “WTO”)and the government is currently focusing its efforts on harmonising agricultural policies with European Union (“EU”) regulations. The level of support to agriculture in Turkey remains higher than the average for the Organisation for Economic Cooperation and Development (“OECD”) area. The large number of support instruments in the agricultural sector in Turkey results in a complex system of interacting policies.

In 2015, the EBRD commissioned a study to map existing support measures across Turkey’s agribusiness sub-sectors in order to identify priorities for discussions with the government and pinpoint investments that could have the greatest impact on market inefficiencies. The study has now been completed and it suggests that the support measures vary significantly across sub-sectors and may impact significantly their competitiveness.

However, support measures are one of the factors determining the competitiveness of the agribusiness sector. For a dynamic and efficient agribusiness sector, strong value chains are needed - where prices are determined by market dynamics, thereby supporting sustainable practices and innovation along the food chain. Other factors such as logistics, transaction costs, distribution channels or market power also play a role and may affect the price transmission channels across actors of the food value chain. Understanding the role that each of these factors plays in the effectiveness of value chains is key to ensuring a strong and competitive sector.

Thus, further analysis is required in order to:

(i) target and analyse in-depth, based on certain criteria and further data, the effectiveness of the existing support measures for a set of specific agribusiness sub-sectors;

(ii) for such specific sub-sectors, put the support measures into a broader perspective and perform a comprehensive value chain analysis; and

(iii) engage in constructive discussions with the Turkish government by developing recommendations on potential policy options for a more efficient, competitive and effective policy mix for the agribusiness sector.

Assignment Description: The main objective of the Assignment is to feed planned dialogue with the Turkish government in the agribusiness sector and develop policy advice for discussions on how the policy mix in selected sub-sectors could be ameliorated to make it more competitive.

Specifically, the Assignment will focus on three main components:

A. Developing a methodological note on how to assess the impact of support policies in agribusiness in selected sub sectors (including trade restrictions in the form of tariff and non-tariff barriers);

B. Analysing agriculture support measures in selected sub-sectors (including trade restrictions in the form of tariff and non-tariff barriers), benchmark best practice, perform analytical work, and develop policy advice;

C. Evaluating the effectiveness of the value chain of a selected crop in light of international benchmarks and best practices, identify challenges and opportunities for the various stakeholders along the chain (including producers’ organizations) and develop practical recommendations to increase the efficiency and competitiveness of the selected value chain.

D. Conducting technical and policy discussions with the government.

The EBRD will build on results of the study to initiate discussions with the Turkish Ministry of Agriculture on international best practice and to eventually step up its policy dialogue efforts in Turkey’s agribusiness sector. Policy recommendations could help strengthen agribusiness value chains, improve private sector competitiveness in domestic and international markets, and contribute to a gradual transition to a more open economy.

The EBRD therefore wishes to engage a consultant (the “Consultant”) to carry out the following tasks:

A. Develop a brief methodological note to guide the assessment of selected agribusiness sub-sectors and analyse the impact of policy support measures on the agribusiness sector (including trade restrictions in the form of tariff and non-tariff barriers), covering:

· Relevant parameters and key performance indicators (KPIs) that need to be considered to assess the effectiveness and efficiency of a policy support framework;

· Relevant trade-offs and consumer welfare impact of such a policy framework;

· Budgetary implications of different policy instruments both on the cost and the revenue sides of the government budget;

· Relevant international best practice and policy benchmarks, international case studies (successes and failures), and lessons learned from both public and private sector perspectives;

· Relevant data – both publicly and non-publicly available – that should be used to perform the assessment of the impact of the support policy framework, both on the policy side (e.g. magnitude/extent of subsidies, extent of tariff and non-tariff barriers) and on the outcome side (e.g. productivity, volumes, relative prices, etc.).

B. Analyse support measures in selected agribusiness sub-sectors in Turkey, benchmark best practice, and develop policy advice for these sub-sectors:

· Select a small set of (2) agribusiness sub-sectors to implement the methodology developed under component A. The sub-sectors will be selected in close coordination with the EBRD Agribusiness and Economics, Policy and Governance teams and with the Turkish Ministry of Agriculture. Possible selection criteria to be confirmed before implementation are: relevance of the sector of the economy; expected potential impact of proposed reforms on the sector’s competitiveness and consumer welfare (e.g. through lower prices, wider availability of products); existence of comparative advantage in the sector that could be further supported by proposed reforms; potential to reap significant benefits with limited legislative and regulatory changes.

· Implement the methodology developed under component A for the identified sub-sectors to identify realistic policy options in terms of instruments and targeting that could be put forward to ensure increased competitiveness of the sector, taking into consideration the existing policy framework, stakeholder challenges and needs, and benchmarking with international peers;

· Collect information and conduct interviews with local and international producers along the value chains on the effectiveness of measures in the target agribusiness sub-sectors, to help validate findings and help quantify potential impacts. It is expected that the analysis will also utilise data provided by the Turkish government.

· Compile a targeted report containing the above analysis.

C. Develop an assessment of the effectiveness of the value-chain for the selected sub-sector

· Within the identified sub-sector, select a specific product to develop a case study on the existing challenges and bottlenecks along the value chain as well as potential policy action to strengthen competitiveness and maximise consumer welfare.

· The case study will focus on a specific region of Turkey, which will be identified based on the selected product, and will include:

o Description of each value chain, covering the relevant market sub-segments, processes (E.g., Sourcing, farming, processing, marketing, distribution, sales) and stakeholders involved (E.g., government bodies, associations, producers, producer organizations, intermediaries, etc);

o Description of available support policies and incentives (both product-based and general);

o Evaluation of the value chain efficiency in light of selected international benchmarks and best practices on key metrics (E.g., demand and supply, value build-up, costs and pricing);

o For each product category, identify challenges and opportunities along the value chain, considering: system efficiency, product quality, product differentiation, business environment, social environment;

o Provide recommendations on the improvement of value chain efficiency, specifically with a focus on the role of producer organizations.

· Compile a concise report containing the analysis outlined above.

D. Lead technical and policy discussions with the Turkish government

· Organise an inception meeting with relevant Turkish government representatives at the beginning of the Assignment, to discuss relevant sub-sectors to be targeted and identify relevant data sources;

· Organise and coordinate regular update teleconference calls and bi-monthly face-to-face meetings with the Turkish Ministry of Agriculture in order to discuss data availability, data interpretation, potential contacts, validate the results of the study and follow-up with public-private stakeholders and discuss priorities and next steps;

· Follow-up with public-private sector representatives on agreed next steps.

Status of Selection Process: Interested firms, consultancies, research institutes or other stakeholders with relevant expertise are hereby invited to submit expressions of interest.

Assignment Start Date and Duration: The Assignment is expected to start in June 2017 and has an estimated overall duration of up to 10 months.

Cost Estimate for the Assignment: EUR 240,000 (exclusive of VAT). No extension is envisaged to this Assignment.

The Consultant must determine whether any VAT would be chargeable on the services and the basis for that determination, without taking into consideration the special status of the Bank as an IFI and state this to the Bank in their response to the Invitation for Expressions of Interest. To the extent that a Consultant incurs input VAT on goods and services purchased in connection with the provision of services (e.g. VAT on airline ticket) which is not otherwise recoverable by the consultant from the local tax authority, the gross cost to the consultant of such expenses shall be treated as a reimbursable expense.

Funding Source: It is expected that the Assignment will be funded by the EBRD Shareholder Special Fund. Please note that selection and contracting will be subject to the availability of funding.

Eligibility: There are no eligibility restrictions.

Consultant Profile:

The Consultant is expected to have:

· Specific project experience providing business, analytical and policy expertise in the agribusiness sector;

· Experience conducting in-depth economic and policy analysis in the agribusiness sector including on support measures;

· Experience in developing relevant methodologies for the analysis of the economic impact of support measures;

· Experience in benchmarking against international best practice and developing recommendations to support technical and policy discussions with relevant agribusiness sector stakeholders, including public authorities;

· Knowledge and awareness of trends and policies on European Union agriculture support measures;

· Proven experience in working in the Turkish agribusiness sector, on both a technical and policy level with particular experience working with Turkish authorities, other relevant Turkish institutions and private sector companies;

· Experience working with Turkey’s Ministry of Agriculture will be strongly preferred;

· Fluency in written and spoken English and Turkish.

The Consultant’s expert team is expected to include key experts as follows:

a) International Lead Competition Specialist with preferably 10 years of previous professional experience and significant knowledge of agricultural/food processing economics, including reviewing support measures in the agribusiness sector; understanding market dynamics/trends and strategic market assessment; specific experience in these areas in Turkey (and EU pre-accession countries) will be considered a strong advantage;

b) Lead Competition Specialist with preferably 10 years of previous professional experience and significant knowledge of agricultural/food processing economics, including reviewing agribusiness support measures in Turkey and other contexts such as the EU and pre-accession countries; experience in working with authorities and key public-private stakeholders, including the Ministry of Agriculture of Turkey, will be considered an advantage; understanding market dynamics and strategic market assessment;

c) Agricultural Trade Economist with preferably 5 years of previous professional experience in agricultural/food processing economics and particularly agricultural/food trade across agribusiness sub-sectors in Turkey;

d) 2 Additional Experts consisting of a Competition Economist and an Agribusiness Macro Analyst each preferably with 2-5 years of experience in agricultural/food economics in Turkey.

Submission Requirements. In order to determine the capability and experience of Consultants seeking to be shortlisted for this Assignment, the information submitted should include the following:

· Company/group of firms’ profile, organisation and staffing (max. 2-4 pages).

· Details of previous project experience or similar assignments particularly undertaken in the previous five years, including information on contract value, contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided (if different from duration), main activities, objectives.

· CVs of key experts who could carry out the Assignment detailing qualifications, experience in similar assignments, particularly assignments undertaken in the previous five years, including information on contracting entity/client, project location/country, duration (mm/yy to mm/yy), expert months provided, assignment budget, main activities, objectives.

· Completed Consultant Declaration Form and Contact Sheet, the template for which is available from the following web-link:

The above information should not exceed 20 pages excluding CVs and contact sheet.

Expressions of Interest should be submitted in English electronically through e-Selection, to reach the Bank not later than the closing date. The complete expression of interest (including cover letter, CV, declaration and contact sheet etc.) shall be one file (pdf) to be uploaded to eSelection. The EBRD reserves the right to reject applications of experts submitting more than one file. Only if the permissible file size (4 MB) is exceeded, the Consultant may split the expression of interest into further files.

For the purposes of submitting expressions of interest, a redacted version of the initial study mapping existing support measures across Turkey’s agribusiness sub-sectors, is available HERE.

Bank Contact Person:

Georgia Vasiliadis

Technical Co-operation

European Bank for Reconstruction and Development

One Exchange Square

London EC2A 2JN

Tel: + 44 20 7338 7750

e-mail: (submissions should be sent through eSelection and NOT to this email address)


1. The selection will normally be made from responses to this notification only. Consultants will not be asked to submit a proposal. The highest-ranked Consultant will be selected from a shortlist and be invited to negotiate the contract, subject to availability of funding.

2. The shortlist criteria are:

· CVs of key experts: 40%

· Firm’s experience in conducting economic and policy analysis including in the agribusiness sector and developing relevant methodologies: 20%

· Firm’s expertise in agribusiness support measures and international best practice: 20%

· Firm’s experience in working directly with relevant stakeholders in Turkey’s agribusiness sector, including the Turkish authorities and private sector companies: 20%

Other tenders from Turkey за for this period

Railway and tramway locomotives and rolling stock and associated parts Source: TED

Technical assistance for capacity building on European Pollutant Release and Transfer Register (E-PRTR) in Turkey Source: TED

Supply of passport entry-exit stamping device Source: TED