International Livestock Research Institute (ILRI) Expression of Interest: Modernizing Innovative Forest Product Value Chains and Creating Inclusive Jobs

CALL FOR EXPRESSION OF INTEREST
Forest Product Market Development Challenge Fund, Ethiopia
Issuance Date: April 22, 2026 
Closing Date: May 22, 2026

Background and Rationale

Ethiopia possesses significant forest and tree-based resources with high potential to contribute to economic growth, rural livelihoods, climate resilience, and industrial development. Key value chains including round wood, gums and resins, forest honey, tree seedlings, and biomass briquettes offer substantial opportunities for private sector engagement. However, these value chains face systemic constraints, including weak market linkages and fragmented supply chains; low productivity and limited access to improved technologies; quality and standardization challenges; limited access to finance for MSMEs, underdeveloped service markets (inputs, logistics, certification, etc.). At the same time, youth and women remain underrepresented in higher-value segments of these markets despite their strong participation at production level.

To address these challenges, the Forest Product Market Development Challenge Fund (FPMD- CF) is established under the Sustainable Private Sector in Forestry (SPSF) Programme to catalyze

private sector innovation and investment, strengthen forest market systems, and promote inclusive economic opportunities. The SPSF Programme is funded by SIDA and UNDP and is designed to strengthen Ethiopia’s forest sector by promoting sustainable, market-driven development and enhanced private sector engagement. The programme applies a Market Systems Development (MSD) approach to address systemic constraints, improve
competitiveness, and unlock the full economic and employment potential of forest-based value chains. SPSF aims to contribute to inclusive economic growth, job creation, and environmental sustainability through catalytic and market-oriented interventions. The programme is being implemented across six regions and eight target areas in Ethiopia. These include Oromia Region (Asela and Adama), Amhara Region (Dessie and Kombolcha), Tigray Region (Endomohoni), Afar Region (Amibara), Somali Region (Boodaley), and the Central Ethiopia Region (Buee). The geographical focus ensures targeted support to areas with significant forest sector potential and
strong opportunities for enterprise development and market system strengthening.

Objective of the Challenge Fund

The overall objective is to stimulate innovative, market-driven solutions that strengthen forest-based value chains and create sustainable, inclusive economic opportunities in Ethiopia.

Specifically, the Challenge Fund seeks to:

• Support innovative business models, technologies, and services with demonstrated feasibility or early-stage traction
• Enhance the competitiveness and growth of MSMEs in forest-based value chains
• Improve productivity, quality, and value addition
• Strengthen market linkages and service delivery systems
• Promote job creation and entrepreneurship for youth and women
• Catalyze scalable and replicable solutions that attract further private investment

Tender details

• Deadline: 2026-05-22
• Bid closing time: 17:00
• Bid opening: 2026-05-22 17:00
• Bid opening (note): No Specific Opening Date and Time
• Region: Addis Ababa
• Publishing entity: International Livestock Research Institute (ILRI)
• Buyer TIN: 0004800917
• Buyer address: CMC road near Gurd shola
• Published: Apr 20, 2026
• Posted at: 2026-04-20T13:18:06.000Z
• Buyer website: https://www.ilri.org/