TERMS OF REFERENCE (TOR) FOR BARENTO PRIVATE

LIMITED COMPANY’S ENGAGEMENT IN AGRO-BUSINESS

ACTIVITIES IN OROMIA REGIONAL STATE, ETHIOPIA
Tables of Contents
1. Background................................................................................................................................4
2. Purpose of the ToR.....................................................................................................................5
3. Objectives...................................................................................................................................6
4. Scope of Work............................................................................................................................6
5. Methodology...............................................................................................................................7
6. Deliverables................................................................................................................................7
7. Timeline......................................................................................................................................7
8. Resources Available....................................................................................................................8
9. Professional Qualifications..........................................................................................................9
10. Conclusion..............................................................................................................................10
1. Background
Barento Private Limited Company (Barento PLC) is committed to enhancing agricultural
productivity and sustainability in Oromia Regional State, Ethiopia. With a team of agricultural
experts boasting over 30 years of experience and sufficient financial resources, Barento PLC
aims to engage in various agro-business activities that align with the government’s agricultural
policies and development goals.

Agro-business is a cornerstone of Ethiopia’s economy, particularly in the Oromia Regional State,

which boasts diverse agro-climatic zones and extensive arable land. Agriculture contributes
approximately 36% of Ethiopia’s GDP and provides 79% of employment, with Oromia playing a
leading role due to its agricultural potential. The region significantly boosts Ethiopia's export
earnings by producing key commodities like coffee, pulses, and oilseeds, which account for 80%
of national exports. Furthermore, agriculture supplies about 70% of raw materials for agro-
processing industries, underscoring its role in value addition, job creation, and food security
enhancement.

The agro-business sector is pivotal in addressing Ethiopia's food security and nutrition
challenges, as over 22% of the population faces food insecurity. By adopting modern farming
techniques and sustainable practices, the Agricultural Development-Led Industrialization (ADLI)
strategy aims to improve productivity and ensure better nutrition for all citizens. Sustainability-
focused agro-business practices are crucial for mitigating issues like land degradation, water
scarcity, and climate change in Oromia. Such practices also contribute to community
development by creating jobs, building capacity, and empowering rural populations, aligning
with national efforts to reduce poverty and boost livelihoods.

However, challenges such as low productivity due to traditional farming methods, limited access
to credit, and climate-related risks hinder the sector’s potential. These challenges present
opportunities for innovation, such as introducing agri-tech solutions and diversifying into high-
value crops and livestock. By aligning with government policies emphasising market-oriented
development, providing investment incentives, and fostering agricultural innovation entities like
Barento PLC can play a vital role in enhancing Ethiopia's agro-business sector. This would not
only drive economic growth but also ensure food security and sustainable development for the
region and the country at large.

2. Purpose of the ToR

The purpose of this Terms of Reference (ToR) is to outline the framework for Barento PLC’s
engagement in agro-business activities within Oromia Regional State. This document will serve
as a formal submission to the Agricultural and Natural Resources Bureau of Oromia Regional
State and the Ministry of Agriculture, detailing the company’s objectives, proposed activities,
and alignment with national agricultural strategies. Dr. Abiy Ahmed, the Prime Minister of
Ethiopia, has spearheaded transformative policies and programs to revitalize the agricultural
sector, which is vital for the country's economic growth and food security. Among these
initiatives is the Agricultural Growth Program (AGP), aimed at improving agricultural
productivity and market access for smallholder farmers by promoting sustainable practices and
enhancing the quality of inputs. The Feed the Future Initiative, backed by the U.S., supports
Ethiopia’s efforts to boost agricultural production and nutrition while fostering inclusive
economic growth. The government is also advancing Climate-Smart Agriculture by investing in
irrigation, improved seed varieties, and sustainable land management to address climate change
impacts. Additionally, the administration is encouraging agro-processing industries to add value
to raw agricultural products, creating jobs and stimulating local economies. Strengthening
market linkages and supporting cooperatives are also key priorities to ensure farmers have access
to profitable markets and collective resources. Moreover, significant investments in rural
infrastructure, such as roads and storage facilities, aim to reduce post-harvest losses and improve
market accessibility.

Barento PLC, with its extensive experience and expertise in agriculture, is well-positioned to
align with these government efforts and succeed in the agro-business sector. The company can
leverage its 30 years of agricultural expertise to implement best practices in crop production and
livestock management, contributing to the goals of the AGP and other initiatives. By adopting
climate-smart agriculture techniques, Barento PLC can enhance productivity while supporting
environmental sustainability. Establishing agro-processing facilities would enable the company
to add value to local products, creating jobs and fostering economic growth. Collaborating with
local cooperatives could strengthen the supply chain network and improve market access for
smallholder farmers. With adequate financial resources, Barento PLC can invest in modern
technologies and infrastructure to boost efficiency and productivity. By focusing on high-
demand crops and livestock products, the company can play a crucial role in addressing
Ethiopia's food security challenges. Additionally, engaging in training and capacity-building
programs for local farmers will enhance agricultural practices across the region, aligning with
government efforts to empower smallholders.

By actively participating in these initiatives, Barento PLC not only stands to thrive in Ethiopia's
growing agro-business environment but also contributes significantly to Dr. Abiy Ahmed's
vision of a transformed agricultural sector that drives economic development and ensures food
security for all.

3. Objectives
● Enhance Agricultural Productivity: To implement innovative agricultural practices that
increase crop yields and livestock productivity.
● Promote Sustainable Practices: To adopt environmentally friendly practices that align
with sustainable development goals.
● Support Local Communities: To create job opportunities and empower local farmers
through training and capacity-building initiatives.
● Contribute to Food Security: To ensure a stable supply of food products for local
consumption and export.
● Align with Government Policies: To operate within the framework of national
agricultural policies and contribute to the overall economic development of Ethiopia.

4. Scope of Work
Barento PLC plans to engage in a variety of agro-business activities, including but not limited to:
● Crop Production:
○ Cereal production (teff, wheat, maize).
○ Horticulture (fruits and vegetables).
○ Oilseed production (sesame, sunflower).
● Livestock Farming:
○ Dairy farming and production of dairy products.
○ Poultry farming for egg and meat production.
○ Meat processing for domestic and export markets.
 ● Agro-Industrial Processing:
○ Food processing (packaged foods, juices).
○ Edible oil extraction from local oilseeds.
● Agri-Tech Solutions:
○ Implementing modern farming technologies.
○ Providing training on agri-mechanization and irrigation systems.
● Renewable Energy Initiatives:
○ Exploring biogas production from agricultural waste.
○ Implementing solar-powered irrigatiosystems.

5. Methodology
To achieve the outlined objectives, Barento PLC will employ the following methodologies:
● Research and Development: Conduct thorough market research to identify viable crops
and livestock suited to Oromia's agro-climatic conditions.
● Stakeholder Engagement: Collaborate with local farmers, community leaders, and
government agencies to ensure alignment with community needs and government
policies.
● Capacity Building: Develop training programs for local farmers focusing on best
practices in crop production, livestock management, and sustainable farming techniques.
● Monitoring and Evaluation: Establish a framework for monitoring project progress and
evaluating outcomes against set objectives.

6. Deliverables
Barento PLC will provide the following deliverables:
● Project Proposal Document: A comprehensive proposal outlining specific agro-
business activities, expected outcomes, timelines, and resource requirements.
● Training Materials: Development of educational resources for farmer training sessions.
● Progress Reports: Regular updates on project implementation, challenges faced, and
insights gained.
● Final Report: A detailed report summarizing project outcomes, lessons learned, and
recommendations for future initiatives.
7. Timeline
The proposed timeline for initiating agro-business activities is as follows:
● Inception Phase (Month 1): Finalization of project proposal and stakeholder
consultations.
● Implementation Phase (Months 2-12): Execution of agro-business activities including
training programs and production initiatives.
● Monitoring Phase (Ongoing): Regular monitoring of activities with quarterly progress
reports.
● Evaluation Phase (Month 12): Final evaluation and reporting on project outcomes.

Table 1: Time line

Timeline Activities

Finalization of project proposal and

Month 1
stakeholder consultations.

Execution of agro-business activities,

Months 2-12 including training programs and production
initiatives.

Regular monitoring of activities with quarterly

Ongoing
progress reports.

Final evaluation and reporting on project

Month 12
outcomes.

8. Resources Available
Barento PLC has allocated sufficient financial resources to support the proposed agro-business
activities. Additionally, the company possesses:
● A team of highly experienced agricultural experts.
 ● Access to modern agricultural technologies and equipment.
● Partnerships with local institutions for knowledge sharing and capacity building.

Table 2 : Resources Available

Resources Available Details

Sufficient funds allocated to support proposed

Financial Resources
agro-business activities.

A team of highly experienced agricultural

Experienced Team
experts with over 30 years in the field.

Access to modern agricultural technologies

Technology Access
and equipment to enhance productivity.

Collaborations with local institutions for

Partnerships
knowledge sharing and capacity building.

9. Professional Qualifications
Barento PLC's team includes professionals with:
● Extensive experience in agricultural management and development.
● Expertise in sustainable farming practices.
● Knowledge of local agricultural policies and market dynamics.
Table 3: professional Qualification

Profession Qualifications Experience

- MSc/BSc in Agronomy, 30+ years in agricultural

Agronomist Plant Sciences, or related management and
fields development

- MSc/BSc in Irrigation
Agronomy, Agricultural 30+ years in irrigation design
Irrigation Specialist
Engineering, or related and management
disciplines

- PhD in Plant Science or 30+ years in plant research

Plant Scientist
related fields and development

- MSc/BSc in Animal Science 30+ years in livestock

Animal Scientist
or Veterinary Science management and research

- MSc/BSc in Environmental
Environmental Protection 30+ years in environmental
Science, Natural Resources
Expert policy and protection
Management, or related fields

- MSc/BSc in Agricultural
Agricultural and Natural 30+ years in sustainable
Science, Natural Resource
Resources Professional agriculture practices
Management, or related fields

10. Conclusion
This Terms of Reference outlines Barento Private Limited Company's commitment to engaging
in meaningful agro-business activities in Oromia Regional State. By leveraging its expertise,
financial resources, and commitment to sustainability, Barento PLC aims to contribute
significantly to the agricultural sector while supporting local communities and aligning with
government policies. The company looks forward to collaborating with the Agricultural and
Natural Resources Bureau of Oromia Regional State and the Ministry of Agriculture to realize
these objectives effectively.