TERMS OF REFERENCE (TOR) FOR CONSULTANT

Contract to develop the Intergovernmental Authority on Development

(IGAD) Trade policy

Contracting Authority:
IGAD Secretariat, Avenue Georges Clemenceau, P.O Box 2653 Djibouti, Republic
of Djibouti, Tel: + 253-354050, Fax: 253- 356996, Email: igad@igad.int

The Project Manager is: Mr. Joseph Rwanshote, Project Manager Trade, Industry
and Tourism under the Economic Cooperation and Social Development.

A. Context and Background

The Regional Integration Department as an operating arm of the World Bank

works with stakeholders such as Inter Governmental Authority on Development
(IGAD) to promote the economic and social development of countries in Eastern
Africa in line with the African Union (AU) and the New Partnership for Africa’s
Development (NEPAD) priorities. It has the role to assist and facilitate the work
of Regional Economic Communities (RECs) because they are the building blocs
for the realisation of the African Economic Community as stipulated in the Abuja
Treaty. Regional integration is the centerpiece for World Bank’s support to RECs
through activities like advocacy, capacity building and others.

The IGAD region consists of seven countries; namely, Djibouti, Eritrea, Ethiopia,
Kenya, Somalia, Sudan and Uganda and all of them with the exception of Kenya
are least developed and are members of COMESA though not all have acceded to
the Free Trade Area. Kenya and Uganda belong to the East African Community.
Agriculture is the mainstay of the economies with the exception of Djibouti.
Agriculture provides the bulk of exports, food, raw materials for industries as
well as employment for about 80% of the population. The majority of the people
lives in rural areas and depends on agriculture, either directly or indirectly for
their livelihood. In most countries, weak transport infrastructure and regulation
remains a major constraint to economic and social development especially for
landlocked countries (Ethiopia and Uganda).

The process of trade liberalization and market integration within IGAD has been
very slow and remains an aspiration. The implementation of sound intra-regional
trade policy has been impeded by the lack of concerted efforts to introduce
harmonized macroeconomic policies; the absence of regional framework that
enables member states to enforce decisions through enactment of harmonized
national policies, legislation and mechanisms. The establishment of common
strategic framework is not only key to ensuring IGAD member States access to
international markets, but remains an essential facility for enhancing regional
integration and promotion of intra-regional trade.

In addition, the Tripartite Summit of the Heads of State and Government of the
COMESA, EAC and SADC met in Kampala, Uganda (October 2008) and approved
the expeditious establishment of the first continental Free Trade Area (FTA)
encompassing the member and partner States of the three RECs with the
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ultimate goal of establishing a single Customs Union. Therefore, it is essential for

IGAD member States, which are also members of the COMESA to work towards
the adoption and implementation of regional trade policy and establish a strong
partnership with the new regional economic community.

It is in this context that the IGAD Secretariat has requested the World Bank for
support to develop IGAD Trade Policy in order to facilitate the implementation of
a coherent trade policy that will foster a conducive business environment in the
IGAD region. The trade policy will be implemented in line with the roadmap set
out under IGAD Minimum Integration Plan (MIP) and will constitute the first step
of a comprehensive capacity building project on trade development in IGAD
countries.

B. Objective of the trade policy

In line with the strategic directives provided under IGAD Minimum Integration
Plan (MIP), the policy will focus on issues furthering harmonization of national
policy and regulatory regimes, to support the growth of more regional trade and
services as a means to facilitate trade integration within the subregion. To
identify the activities that are necessary to enhance trade between member
states. To encourage gradual removal of tariff and non-tariff barriers. The policy
must identify the economic and political barriers, the costs and benefits to a Free
Trade Area. Strengthening IGAD operational capacities and assisting in program
implementation in trade facilitation and infrastructure development, will achieve
the following objectives:

 Facilitate trade flow within the subregion;

 Promoting free movement of goods and factors of production;
 Supporting the creation of larger regional market and better access to
intra-regional and international markets;
 Enhancing competitiveness among domestic actors in particular private
sector business.

C. Duties and responsibilities of the consultant

The Consultant will be required to utilize appropriate quantitative and qualitative

tools and methods to achieve the goals and objectives of the policy. Duties and
responsibilities of the consultant will include:

 Conduct research on trade development issues in IGAD region and

prepare analytical reports on intra-regional trade analysis as it relates to
major issues of concern to member States;

 Analyze trends, challenges and prospects in regional trade through policy-

oriented research on trade development in IGAD subregion;

 Review and consider national and regional experiences of the process of

trade liberalization and identify specific actions that IGAD member States
may domesticate;

 Conduct in-depth national and regional assessments on trade sector’

capacities and potential competitive advantages. This will imply data
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collection, identification and tracking of both government and non-

government barriers, consultations with the private sector and other
stakeholders.

 Formulate proposals for strategies, policies and programs as well as

effective measures aimed at harmonizing national regimes and legislations
on trade facilitation;

 Formulate proposals for regional policy on comprehensive and coordinated

approach that entails improvements in infrastructure and provision of
efficient and competitive transport infrastructure and services. This will
include the infrastructure of roads, railways, ports, information and
communications technology; the removal of illegal roadblocks; and the
simplification and harmonization of customs and border procedures.

D. Methodology

After his/her recruitment, the consultant shall:

 Be located at IGAD Headquarters and work in-house with IGAD

Secretariat and member States;

 Submit to the IGAD Secretariat a concept note on the policy including

details about critical issues and the methodology he/she will use to
conduct the assignment. The concept note shall include the methodology
that he/she will have adopted.

 Undertake field missions to selected IGAD member States to collect

relevant data and information and hold discussions with officials,
management and experts and other stakeholders in trade and transport
sectors;

 Prepare and submit a draft report for review by Member States, and IGAD
Secretariat.

 Prepare a final report, which incorporates the comments made to the draft
report and submit it to the Executive Secretary of IGAD.

 Act as a resource person in the validation workshop by member states

and stake holders to validate the findings of the study.

 NB: IGAD Secretariat reserves the right to compel the consultant to

repeat the assignment until it is satisfied that it meets the minimum
quality standards expected.

E. Duration of the Assignment

The assignment will last for a period of two (2) months according to the
following timeframe:

 One (1) month for five (5) missions to IGAD member States (including
travel time).
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 One (1) month for drafting and finalizing the study report.

The Consultant is expected to submit the first draft of his/her report to IGAD
Secretariat not later than one month. The report will be evaluated by IGAD
Secretariat.

Two hard copies and a soft copy should be submitted to the IGAD Secretariat
within the agreed period.

F. Budget and cost breakdown

This assignment is expected to be completed within two (2) months from the
commencement date. The consultant will be paid an honorarium of ten thousand
United States Dollars (US$ 15,000) per month, upon satisfactory completion of
the study as scheduled. The secretariat will also pay a per diem of 200 USD per
night and issue an economy class ticket during travels to the secretariat and
member states.
The consultant will present the trade policy to the IGAD Secretariat, after
incorporating the comments of the Secretariat, he will later present the report to
a validation workshop from member states.

G. Qualifications

Education
Advanced university degree, preferably a Doctorate, in economics or
development economics with an emphasis on international trade and trade
facilitation issues, macroeconomics or closely related areas.

Work Experience
Five to seven years of progressively responsible experience required in applying
the principles of economic and social development, preferably in the context of
Africa. Practical experience in regional integration and economic cooperation,
and at least one of the above mentioned areas that was gained through
involvement in macroeconomic analysis, international trade policy formulation
and negotiations, infrastructure development policies as well as implementation
of programs, research, teaching or related work. Record of relevant publications
would be an asset.

Languages
Fluency in written and spoken English or French is required. Knowledge of
another official UN language is desirable.

Applications should be submitted to:

THE PROGRAM MANAGER TRADE, INDUSTRY AND TOURISM

IGAD SECRETARIAT
AVENUE GEORGES CLEMENCEAU
P.O BOX 2653
DJIBOUTI, REPUBLIC OF DJIBOUTI.
Tel: 253 354050/ Fax: 253 356994,
E-mail: igad@igad.int