Opportunity Information: Apply for 72036722APS00002

This opportunity is a USAID/Nepal addendum to the broader 2020-2022 Global Development Alliance (GDA) Annual Program Statement (APS). The central idea is to use public-private partnerships to tackle development problems through market-driven, enterprise-based solutions rather than purely traditional aid approaches. USAID/Nepal is specifically trying to engage businesses more directly to reduce barriers to inclusive, broad-based economic growth, strengthen the overall investment climate, and speed up innovation that can stimulate trade and investment. In practical terms, the addendum narrows the focus to partnerships with companies operating in Nepal's food system, aiming to reinforce and complement ongoing efforts to raise agricultural productivity and efficiency while also supporting a more diversified and resilient economy.

The addendum is looking for private sector partners capable of delivering innovations that support USAID/Nepal's climate and food-system priorities in two main areas. The first is Climate Smart Agriculture (CSA), described as a package of approaches meant to transform agriculture by increasing sustainable productivity, improving adaptation to climate impacts, and reducing greenhouse gas emissions where possible. Nepal is highly exposed to climate risks, so the intent is to back partners that can bring CSA technologies, services, or business models to a scale that works for smallholder farmers and strengthens resilience at the community level. The call also leaves room for partners proposing larger "system-wide" effects, such as shifting how inputs, advisory services, finance, aggregation, or market incentives operate across a value chain so that climate-smart practices become easier and more profitable to adopt.

The second priority area is improved food safety alongside reduced food loss and waste (FLW). USAID/Nepal highlights that weak food safety and inconsistent food quality hurt nutrition outcomes, limit trade opportunities, and contribute to avoidable losses, especially for perishable and animal-sourced foods. These issues reduce consumer confidence and decrease the consumption and effective use of nutrient-dense foods, which has direct implications for diets and public health. They also create export constraints because inadequate food safety systems make it harder to comply with sanitary and phytosanitary (SPS) requirements, which are often prerequisites for accessing higher-value regional or international markets. From an investment perspective, the addendum suggests that food safety risks and quality uncertainty can discourage private sector investment in processing, cold chains, logistics, and formal trade. To address this, USAID/Nepal is signaling interest in partnerships that build stronger market linkages, improve value-chain efficiency (including shortening the time from harvest to consumption), and make strategic investments in infrastructure and processes that preserve product quality and safety, thereby reducing losses and improving marketability.

A key restriction in this addendum is that USAID/Nepal will only issue awards to a local partner, with "local" defined under Nepali law and clarified through specific organizational criteria. To qualify as the direct awardee, an entity must have its principal place of business or operations in Nepal, be majority owned and controlled by Nepali citizens or lawful permanent residents of Nepal, and be governed by a body whose majority are also Nepali citizens or lawful permanent residents. If the organization has offices, registration, or projects outside Nepal, the requirement is that key management decisions must still be made by the Nepal-based office. The addendum explicitly states that the awardee cannot be a United States-based organization. At the same time, USAID notes that private sector partners involved in the partnership may be local or international, although collaboration with Nepali private sector actors is preferred. In effect, the structure encourages Nepal-led partnerships while still allowing international firms to participate through collaboration rather than as the prime recipient.

The solicitation is issued as a cooperative agreement, which usually implies a closer working relationship with USAID during implementation than a standard grant, including substantial involvement by the agency in coordinating, shaping, or jointly managing elements of the activity. The activity category is Agriculture under CFDA (now often referred to as Assistance Listing) 98.001. The posted award ceiling is up to USD 2,000,000. The funding opportunity number is 72036722APS00002, titled "APS-OAA-21-00001 Addendum USAID/Nepal," and it was released by USAID's Nepal mission in Kathmandu. The original closing date listed is December 16, 2022, and the opportunity is presented under the broader "Other" opportunity category, consistent with APS-style solicitations that often accept concept notes and encourage co-created partnership concepts rather than prescribing a single, fixed project design.

In terms of who can participate from the private sector side, the addendum lists a wide range of eligible entity types, reflecting the GDA model's emphasis on mobilizing private capital, capabilities, and distribution networks. These include for-profit businesses of various sizes (including SMEs), private financial institutions and investment vehicles (banks, microfinance institutions, private investment firms, mutual funds, private equity funds, and insurance companies), industry and business associations, cooperatives, and private foundations connected either to commercial entities or to nonprofit/philanthropic goals. Overall, the opportunity is designed to attract partners that can bring real market leverage such as technology, financing, supply-chain infrastructure, quality and safety systems, and scalable service delivery models that improve resilience, strengthen food safety, cut losses, and ultimately expand economic opportunities in Nepal's food system.

  • The Nepal USAID-Kathmandu in the agriculture sector is offering a public funding opportunity titled "APS-OAA-21-00001 Addendum USAID/Nepal" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 98.001.
  • This funding opportunity was created on 2022-04-18.
  • Applicants must submit their applications by 2022-12-16. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • Each selected applicant is eligible to receive up to $2,000,000.00 in funding.
  • Eligible applicants include: Unrestricted.
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