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Consultant for Development of a National Industrial Policy Framework, Palestine

Date of Publication
Application Deadline
Company
Cowater International
Brief Description
Terms of Reference
Trade Facilitation and Customs Support Programme (Tasdeer) in the Occupied Palestinian Territories (OPTs)

Consultant for development of a National Industry Policy Framework “NIPF”

The Project: FCDO Trade Facilitation and Customs Support (Tasdeer)
The Trade Facilitation and Customs Support programme (Tasdeer) is financed by Foreign and Commonwealth and Development Office (FCDO) and operational from 2020 – 2023. The objective of Tasdeer is to improve the trade performance and customs capabilities in the OPTs. It will ultimately contribute to increased inclusive private sector-led economic growth and fiscal sustainability in the OPTs. The programme is designed to be flexible and adaptable, and it will work politically and technically to make progress across the four-key interrelated workstreams.

Workstream 1 (WS1): Support to expedite the movement of goods and reduce transaction costs.

Workstream 2 (WS2): Support to improve Palestinian trade-related institutions and business enabling environment.

Workstream 3 (WS3): Support to improve the private sector’s skills and innovation to export and create jobs.

Workstream 4 (WS4): Support to improve PA’s customs readiness to assume functions from Israel and revenues from trade-related taxes.
 
The programme is implemented by a Cowater-led consortium on behalf of FCDO. A Steering Committee, including representatives from FCDO, the Ministry of National Economy (MoNE) and the Ministry of Finance (MoF), approves interventions identified and designed by the programme. The interventions are reviewed, and quality assured by a Strategic Advisory Panel comprised of experts from the core consortium members across the four-key interrelated workstreams. 

Background
The industrial sector in Palestine has the potential to allow for long-term sustained investment, growth, absorb labour and create direct and indirect job opportunities, promote better living standards, and improve the national income. However, the industrial base in Palestine is subject to heavy restrictions that currently limit its ability to achieve its full potential. Today, according to PCBS, the contribution of industrial sector share to Gross Domestic Product (GDP) is 13.2% and constitutes 22% of the labour force.
 
Although the lack of success in boosting Palestinian industrial production can be attributed to Israeli restrictions on the Palestinian economy and the negative effects of the Paris Protocol that governs economic relations between the PA and Israel. However, the Palestinian industrial sector also suffers from structural problems that limit its competitiveness and impede its transformation into a leading sector due to the lack of a coherent industrial development policy.
 
The Palestinian industrial sector is diverse and includes a wide range of industries, including mining and extractives, construction, textiles, food, plastic, pharmaceuticals, and others, most of which are dominated by small family-owned business, while larger businesses are limited in number. The Palestinian Federation of Industries (PFI) represents the sector. The federation started its work in 1999 with a representation of six industrial associations. Today, fourteen different industrial associations are members of the federation, including: food and beverages, construction, stone and marble, pharmaceuticals, chemicals, metal and engineering, textiles, garments and leather, paper, printing and packaging, handicrafts, plastic and rubber, and furniture. The PFI advocates for better industrial policies and regulations and works on developing and upgrading industrial performance
 
The Palestinian Authority has expressed in the National Economic Policy Agenda the goals and priorities for the industry sector as an engine for investment, economic growth, and employment. Enhancing the sector’s contribution to economic growth requires a long-term strategic commitment by the Palestinian Government to support and facilitate an enabling environment for the private sector operators who are the ultimate drivers of the sector output. Furthermore, the Ministry of National Economy Sectorial Strategy for Developing the National Economy 2021 – 2023 (MoNE Strategy) identified industrial development as a top priority along with strategic goals including advanced and competitive Palestinian industry sector.
 
Furthermore, there is a need to complement MoNE Economic Development Strategy with a clear policy framework for industrial development including setting the governments approach towards industrial development as a mean to influence the structural transformation of the economy.
 
The Palestinian government has a crucial role to play in defining an industrial policy and institutional framework which both enables and encourages good participation and high performance from all sector stakeholders. The involvement of the private sector and inclusion of its views in developing the National Industrial Policy Framework (NIPF) is crucial alongside international best practices to achieve the following core objectives:

  1. Provide a strategic direction to the economy to promote industrial development and accelerate economic growth.
  2. Identify sectors and products with high growth potential as "priority “sectors and products and provide selective supports to them.
  3. Push towards innovation and transition to the digital economy.
  4. Increase the industrial competitiveness so it can maintain its role as a driver of sustainable growth and employment.
  5. Reorient industrial development towards products with high value-added content.
  6. Promote export development; enhancing domestic trade; and ensuring consumer protection.
  7. Create a favorable investment climate for the private sector as well as entrepreneurs and MSMEs.
  8. Adoption of sustainable green industry technologies.

The development of a NIPF will be the basis for an appropriately sequenced and coordinated policy to improve the efficiency and performance of the industrial sector and promote investments in this sector.
 
Successful implementation of the policy should result in a significant broad-based growth. However, growth of the productive industrial sector will depend on the capacity of many players (e.g., the private sector, investors, governmental, non-governmental and donor institutions) interacting and cooperating, and effective cross industry sector communication, and coordination mechanism.
 
Tasdeer will utilize its resources and contract a senior expert to support MoNE in formulating a coherent NIPF, supporting programmes for its implementation and provide capacity building for relevant stakeholders.
 
The proposed intervention will include conducting a situation analysis on the constraints and opportunities at the macroeconomic level, microeconomic level, and specific industry sectors level, as well as assessing enabling environment and subsequently develop a NIPF along with vision, objectives, strategic development programmes, action plan and sustainable national coordination mechanism.
 
Objectives and Activities

This assignment has two main objectives:

1. Generate a comprehensive situational analysis of the industrial sector in Palestine and provide recommendations on the following:

  • Definition and scope of the Industrial sector for the purposes of the proposed NIPF.
  • The constraints and opportunities on the macroeconomic level, and microeconomic level for the industrial sectors.
  • The potential industrial sectors and products with the highest growth potential (e.g., Increase local market share, increase exports, GDP contribution, employment, and other indicators).
  • The industrial enabling environment: laws, regulations, procedures, Free Trade Agreements, and development strategies.
  • The analysis will apply Gender Equality and Social Inclusion (GESI) considerations include collecting disaggregated data when available and applicable.
  • The Expert will review case studies and lessons learned and benchmarks from other countries as part of formulating the recommendations. The Expert is also expected to consult with MoNE and other relevant stakeholders in the industrial sector.

2. Formulate the NIPF along with:

  • Strategic objectives and a set of policies for the development of the industrial sector.
  • Strategic development programmes for the industrial sector.
  • A detailed action plan to support the implementation of the strategic development programmes.
  • Design an efficient system of governance to steer, execute and monitor the implementation of Industrial policy.

Scope of Work
The scope of work for conducting this assignment by the Expert includes all activities necessary to accomplish the stated objectives of the assignment, including:
 
Activity 1: Conduct situational analysis and provide recommendations

  1. The Expert will conduct a review of:
    • The current definition of the Industrial sector in relevant laws and government policies.
    • The constraints and opportunities on the macroeconomic level, microeconomic level, and for each industrial sector.
    • The current outlook of the industry sector in Palestine, its current integration in the wider economic supply chain (including with the services and agriculture sectors).
    • Industry expansion plans, institutional support programmes provided by the government.
    • Current regulations, procedures, and Free Trade Agreements that benefit the sector.
  2. The Expert will conduct quantitative and qualitative situation analysis of the potential industrial sectors and products with the highest growth potential (e.g., increased exports, GDP contribution, employment, and other indicators). The analysis will include:
    • Macroeconomic and microeconomic factors and indicators.
    • Industrial sectors specific level factors and indicators.
    • Disaggregated data by gender and skill levels where applicable and available.
    • Any other data that is relevant to the situational analysis.
  3. Based on the above review, the Expert will compile the data and provide analysis and recommended measures including on, inter alia:
    • Analysis on the level of competitiveness of the potential industrial sectors and products.
    • Analysis on the level of labor skills, technology, and R&D of the potential industrial sectors and products.
    • The appropriate definition of the Industrial Sector for the purposes of the proposed NIPF.
    • Enhancing the industrial enabling environment: laws, regulations, procedures, and development strategies.

Activity 2: Define the national industrial development objectives to include vision, national industry development objectives and strategic development programmes.

Based on the findings of the situational analysis and the enabling environment assessment, the Expert will provide policy and technical support to MoNE in setting the industrial transformation vision, national industry development objectives, and strategic development programmes to implement these objectives in consultation with all relevant stakeholders. The Expert will review case studies and lessons learned from other countries as part of formulating his recommendations.
 
Activity 3: Formulate a National Industrial Policy Framework (NIPF) The Expert will support MONE to develop a NIPF to achieve the vision, national industrial objectives and a set of policies including:

  1. Formulate a NIPF based on the consultation, summaries of interviews and small group discussions with relevant industry stakeholders
  2. Develop strategic development programmes to implement the NIPF.
  3. Develop an action plan to identify key roles and actions required by all stakeholders to ensure successful implementation of the development programmes.
  4. Design a system of governance to steer, execute and monitor the implementation of Industrial policy.
  5. Environment protection and reducing COVID pandemic risks will be part of the formulation of the NIPF.

Deliverables
The consultant is required to provide the final written report in a suitable format which includes: 

  1. A comprehensive industry outlook and situational analysis based on the data listed in the scope of work section of this TOR for the potential industrial sectors and products.
  2. The NIPF general framework and set of policies to define the vision and national industry development objectives based on data provided in the scope of work of this ToR.
  3. The full consultation briefing notes with stakeholders.
  4. The strategic development programmes.
  5. An action plan to implement the strategic development programmes.
  6. A System of governance to steer, execute and monitor the implementation of Industrial policy.

The following tasks will be performed according to the description explained in the scope of work above.

Tasks; No Days; Deliverable                             

  • Initial meeting with the MONE and Tasdeer to agree on the plan and ways of working; 1 day; a work plan
  • Desk review of relevant materials; 2
  • Stakeholders consultations; 10
  • Situation analysis including quantitative and qualitative data; 2; inception report for the scoping study based on desk review and stakeholder consultations
  • Compile and provide analysis on quantitative and qualitative data collected based on stakeholders' workshops input; 4; Draft scoping report
  •  Validation workshops for the scoping report; 2; finalised scoping report with comments incorporated
  • Formulate a draft National Industrial Policy Framework along with set of policies & strategic development programmes, an action plan, and structure for a sustainable industrial policy council at national and local level; 18; draft of national industrial policy framework with consolidated sections from local consultants.
  • validation workshop (upon completion of the draft); 2; draft report
  • Formulate a final National Industrial Policy Framework taking in consideration the stakeholder comments; 2; final draft of the Industrial Policy Framework with comments incorporated.
  • Submit the final report; 2; Final draft of the report on March 6, 2022.
  • Total; 45.

Duration
Tasdeer will contract a Senior Industrial Policy Expert to lead and deliver the two activities as detailed in this TOR.
 
The expected level of effort for the assignment is up to 45 days to be completed over 2.5 months.
 
Reporting
The Industrial Policy Expert will report to the Tasdeer WS1 Lead and is expected to work with the Deputy Minister of Ministry of National Economy. The expert is also expected to engage with relevant entities (i.e., PCBS, MoFP, IPEA, PFI, etc.) to collect the required data to complete the assignment.
 
Location
This role is open to internationals and nationals. The expected location of work is Ramallah.
 
Qualifications and Expertise

  1. Advanced university degree (Masters or equivalent) in a relevant field.
  2. A minimum of 10 years of proven work experience in an international context that has allowed her/him exposure to develop successful industrial development policies and programmes and sector industrial economic models.
  3. Background in industrial policy; industrial development; industrial productivity; analysis of industrial performance and capabilities; strategies and policies for industrial growth and development; economic and policy assessment at manufacturing and industry level.
  4. Previous experience in working on relevant issues in Palestine and understanding of the political context is a plus.
  5. Ability to lead and facilitate focus group discussions, and individual interviews, demonstrating commitment to achieve group objectives, understanding the needs and goals of others, and adapting own views and behavior when appropriate.
  6. Demonstrates analytical capability to analyze impacts of priority industrial and national policies in the areas of industrial development and analyze operational problems and situations to help design sustainable solutions to find practical ways around the bottlenecks.
  7. Demonstrate awareness of the gender and social inclusion issues and is familiar with gender equality and inclusion data collection tools and analytical frameworks.
  8. Strong interpersonal and communication skills.

Excellent speaking and writing skills in English. Arabic is a plus.

APPLICATION PROCESS
To apply, please email hr@tasdeer.ps with your cover letter and CV. 

Candidates are encouraged to apply by December 15th at 1PM EST.

Please give your email the following subject: Title of the Position, Candidate Last Name, First Name.

We thank all applicants, however only those shortlisted will be contacted.
  


ABOUT US
With more than 35 years’ experience, Cowater International is Canada’s global leader in management consulting services specializing in international development and has managed the implementation of over 800 projects in more than 80 countries around the globe. We work with governments, partner organizations, communities and civil society to design and implement sustainable solutions that generate lasting social, financial and environmental impacts. Our adaptive approach to management has led to our award-winning work and recognition as one of Canada’s Best Managed Companies in 2017, 2018 and 2019. Headquartered in Ottawa, Canada, Cowater International also has corporate offices in Montreal, Quebec; London, United Kingdom; Nairobi, Kenya; and Brussels, Belgium, in addition to project offices in a wide variety of other locations across Sub-Saharan Africa and Asia.

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