Terms of Reference:

IFC- Pearl Dairy Data Collection for Baseline Study

1. Background of the Program

Country and value chain context

Dairy farming is a major activity in the southwestern, central, and northeastern parts of Uganda, with the
sector contributing significantly to the economic, nutritional, and employment opportunities of the rural
communities in those areas. According to the government Dairy Development Authority (DDA), in July
2012 annual national milk output stood at 1.8 billion liters. In 2014, the national milk volume stood at
about 2.5 billion liters annually. Uganda's Central and Western Regions account for about 50 percent of
national milk production. The dairy sub-sector is one of the critical contributors to the Ugandan economy
contributing about 9% of total agriculture GDP and about 3% of the country’s overall GDP. Of the GDP
attributed to the livestock sub-sector the dairy sector is estimated to contribute up to 45% and plays an
important role as a source of food, income and employment. What is surprising is that although Uganda
produces a lot of milk, consumption of milk is less than 25 liters per person per year.

The productivity of smallholder dairy farms is generally low. Farmers face many challenges such as
drought which causes scarcity of pasture and water, and high disease incidence which are partly
responsible for the poor production. One of the key challenges to milk procurement and marketing may
not be the generally poor milk collection, transportation and marketing infrastructure but lack of harmony
between the formal and informal marketing channels. Policies regarding the procurement and marketing
of milk in the country are not streamlined.

To meet the demands of its sales growth and expanding export geography, Pearl Dairy needs to increase
its daily raw milk intake from the current 350MT to 800MT in the coming two years. Pearl Dairy has
recently conducted, in cooperation with Mbarara University, a detailed raw milk supply mapping of the
Western, Central, and Eastern dairy regions of Uganda with the goal to identify the best strategy for
increased milk uptake. Some 365 cooperatives and private milk collectors have been surveyed. The
collected data covers volume of milk collected, number of farmers, number of cows, and number and
respective volumes of milk coolers. The mapping is representative of the major dairy regions in Uganda.
It confirmed that 75% of the farmers and dairy cooperatives, 78% of the cooling capacity, and 77% of the
cows are in the Western region of Uganda close to Mbarara town where Pearl Dairy is located. There is
little milk to be captured outside of Pearl dairy core catchment area. The mapping defined Pearl Dairy milk
supply growth strategy and focused on building a closer relationship with its dairy suppliers and actively
work with them to increase their productivity and capture the resulting milk increase.

Pearl Dairy has partnered with IFC advisory services to develop a dairy extension strategy to enable it to
improve the loyalty in its existing milk collection activities and increase the output of its milk supplying
farmers. The result of this partnership is the development of Pearl Dairy Development Program that this
project captures.

By the end of project implementation, the following objectives will be achieved:

1. Support Pearl Dairy establish a professional extension team of 50 Dairy Development Executives (DDE)
able to advise and guide farmers on productivity and quality improvement in line with best industry
practice;

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2. Improve the productivity of 1,000 Pearl Dairy direct suppliers by at least 30% through adoption of best
agricultural practices;
3. Scale up adoption of best agricultural practices through an outreach campaign targeting 5,000 farmers
to improve their practices.

Digital solutions, that have been tried and tested such as animal tracking, will be incorporated into the
project as well. Among the digital solutions being considered is an application to be used on smart phones
that has been developed by Friesland Campina for their suppliers in East Asia and is currently being tested.
It will track progress on individual farm and will allow the central management of the extension work
and monitoring of progress.

2. Objectives, Scope and Methodology

IFC is looking to hire a consultant firm to conduct the baseline data collection for a quasi-experimental
evaluation of the results of the smallholder supplier program with Pearl Dairy in Uganda. This will consist
of a baseline survey in calendar year 2017. End line data collection will follow at the project end. Please
note that this assignment is for baseline data collection only. Two groups of farmers (treatment group and
comparison group) will be selected.

Dairy farmers will be surveyed on: a. Household income (using a World Bank methodology known as
SWIFT); b. Household food security and diet diversity (using standard tools from FAO and WFP); c. Animal
health and welfare (and breeding); d. Farm economics; e. Access to finance; f. Access to extension services
and Inputs (agri and vet); and, g. Gender mapping. We expect each interview to take approximately 30
minutes to 45 minutes per household.

IFC and the consultant firm should identify ways to minimize the costs of the data collection, potentially
through surveying farmers on days when dairy farmers come together for training, selling, or cultural
events.

The sample should include 500 farmers, 300 treatment group farmers who will be part of the milk
suppliers to Pearl Dairy. The remaining 200 farmers should form the comparison group and should be
located outside the Pearl Dairy catchment area. The proposed sample should include approximately male
(80% of sample) and female farmers (20%). However, the proportion of female respondents can be
adjusted if necessary and only after agreement with IFC.

3. Responsibilities, Key deliverables and estimated timeline

All deliverables must be approved by IFC in writing before they are considered finalized and payment is
made. Field work activities are expected to commence within the month of July 2018.

1) Prepare, in consultation with Pearl Dairy and IFC, an inception report. The report will include the
finalized methodology, sampling strategy and a written sampling plan (including process for
identification of participants for interviews). Ideally, the sample would include at least 20%
women, a figure based on previous studies done by other organizations. This figure may be re-
adjusted but any change must be agreed to by IFC. In addition, the inception report plans for
quality control of data collection and data entry, key deliverables with associated timeline and
core team members with their roles.

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 DELIVERABLES:
a) Brief inception report

2) Prepare the instruments to be used in the baseline data collection, in collaboration with IFC and
Pearl Dairy.

IFC will draft the initial instrument which should serve as the basis for development of the
questionnaire to collect quantitative data. The data collection will be conducted in two rounds:
baseline and end-line. Therefore, the questionnaire will be designed to be suitable for a panel
study. IFC is looking to hire an experienced consultant survey firm to conduct the first round of
data collection – the baseline data collection. The firm is responsible to further develop the initial
questionnaire based on review of relevant project documents, existing literature relevant with
regards to the project and other baseline studies covering similar geographic areas. The
consultant is also responsible for translating, back-translating, and pre-testing the questionnaires.
The Consultant will translate the questionnaire in local language/s as required (Buganda) and
customize the contents (i.e. adapt components that are necessary to accurately capture the
intended information on the studied populations). The final questionnaire used in the field will be
re-translated into English and formatted in the identical format used in the actual
implementation. The instruments will be piloted on site by the consultants and IFC staff before
being finalized.

DELIVERABLES:
a. Final questionnaire in English
b. Final questionnaire in local languages (Buganda)

3) Prepare and implement fieldwork activities as planned in the inception phase for baseline data
collection.

DELIVERABLES:

3.1 The finalized questionnaire should be converted into electronic format to be administered via
tablets. At the firm’s preference, IFC can provide the firm with access to the data collection
software SurveyCTO to conduct the quantitative baseline data collection.
3.2 Dataset dictionary with all variables labeled and defined
3.3 Roster of recruited personnel (field staff and enumerators) with their corresponding
qualifications
3.4 Training of field staff and enumerators: The firm will be responsible for the training of field
staff and enumerators. This includes development of training materials including guide for
how to use the data collection tablets, enumerator manuals, training logistics etc. IFC staff
will review the training material developed and oversee the training for enumerators.
3.5 Documented process of the data collection
3.6 Completed cleaned databases, with data correctly organized, variables named and labeled
and appropriate identifiers that permit seamless merging between databases. The cleaned
and labeled data set has to be submitted to IFC in .dta format.

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 3.7 Completed qualitative data collection transcripts and analysis report.
3.8 Brief (3-4 pages) field work report including challenges and lessons learned

4. Timeline & Payment Schedule

The timeline’s dates are determined from the first day of the assignment and indicate the level of effort
required for each step in the baseline study.

Task/ Deliverable Number of Business Payment Schedule from Earlier Terms of

Days Reference
Start of assignment 10% of total contract
Inception report (in English) 5 days
Ready to pilot survey instrument (in English 7 days 10% of total contract
and Buganda)
Training of enumerators, pilot testing of survey 5 days 30% of total contract
instrument, and finalization of survey
instrument (including organization of logistics)
Surveys & interviews: Data collection 28 days
Completed cleaned and coded quantitative 20 days 50% of total contract
database and field work report

IFC will require up to five business days to review any draft material provided by the consultants.

5. Support Provided by IFC

In order to facilitate the consultant firm to carry out the assignment described above, IFC will provide the
consultant firm with:
• Copies of program documents and available data;
• A draft questionnaire
• Facilitation and coordination of communication with clients;
• Participation and facilitation of field visits; and
• Administrative assistance as necessary and appropriate

The IFC team will be using its right to conduct its own checks on 10% of the interviews (in addition to the
field supervisions and call-backs by the hired firm). If the data do not meet IFC’s requirements, in terms
of its integrity, IFC reserves its right to reduce or renege payments for the work done.

6. Required qualifications from the firm and its personnel

Firms participating in this competitive tender process must possess the following qualifications:
• Demonstrated prior experience in rural data collection in Eastern Africa, ideally Uganda.
• Experience in conducting and managing surveys related to dairy farming
• Experience (at least 2-3 completed assignments) with the use of tablets for interviews

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 • Strong capacity in data management
• Knowledge of the dairy sector in Uganda
• Good spoken and written English language skills, as well as staff local language skills as needed is
also highly desirable

7. Reporting

The consultant firm is solely responsible for the quality and timely completion of all tasks and deliverables
defined by these Terms of Reference. The consultant firm will primarily report to Mr. Kalyan Neelamraju,
Senior Results Measurement Specialist at IFC Johannesburg Office. A secondary reporting line will be to
Mr. Ivan Ivanov, Senior Operations Officer at IFC Nairobi office.

8. Confidentiality Statement

All data and information received from IFC for the purpose of this assignment are to be treated
confidentially and are only to be used in connection with the execution of these Terms of Reference. All
intellectual property rights arising from the execution of these Terms of Reference are assigned to IFC.
The contents of written materials obtained and used in this assignment may not be disclosed to any third
parties without the expressed advance written authorization of IFC.

Use of the Deliverables & Baseline Study Report

IFC Results Measurement staff will use quantitative data provided by the consultations and collected
according to the quasi-experimental evaluation design for comparison with other interventions in the
same sector. Consultants must be available to answer questions that arise within three months after final
deliverables are provided with regards to data collection and on-site observations.

The primary audience for the baseline report will be IFC MAS (Manufacturing, Agribusiness and Services)
Department and regional management and Pearl Dairy as the client. A modified version, redacting any
business sensitive information, may be shared with donor organizations.

The baseline study will serve as a reference point in order to assess the overall development results in the
endline evaluation. Furthermore, it will provide valuable data for both Pearl Dairy and potential future
investors. In general, the baseline study will enhance communication and evaluative thinking, as well as
generate preliminary lessons learnt throughout the project implementation.

As per IFC’s Access to Information Policy, a modified, summarized version of the final report will be made
publicly available. All business-sensitive and otherwise confidential information relating to the privacy of
individuals will be removed from the publicly available report.