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* Program & Funding Overview: The Sustainable Private Sector in Forestry (SPSF) Programme invites expressions of interest for the Roundwood Market Development Challenge Fund, offering grant funding across three windows ranging from up to $10,000 (Micro) to $30,000 (Large) to strengthen roundwood value chains in Ethiopia.
* Target Target Regions: Projects must be implemented in designated target areas, including Oromia (Asela, Adama), Amhara (Dessie, Kombolcha), Tigray (Endomohoni), or Central Ethiopia (Buee).
* Eligibility & Qualifications: Open to legally registered MSMEs, cooperatives, private companies, consortia, and social enterprises that have a tested proof of concept, a financially sustainable business model, and practical plans for job creation and gender/youth inclusion.
* Co-Financing Requirement: Applicants must commit matching funds of at least 30% (for Micro Grants) or 50% (for Medium and Large Grants) of the total project cost.
* Submission Deadline & Instructions: Expressions of Interest (EOI) must be submitted electronically to ilriettender@cgiar.org by November 20, 2026, with the exact subject line "Round Wood Market Development Challenge Fund".

CALL FOR EXPRESSION OF INTEREST (EOI)

Roundwood Market Development Challenge Fund, Ethiopia

Overview

The Sustainable Private Sector in Forestry (SPSF) Programme, supported by SIDA and UNDP, hereby invites eligible entities to submit Expressions of Interest (EOI) for the Roundwood Market Development Challenge Fund.

This initiative aims to stimulate innovative, market-driven solutions that strengthen roundwood value chains, bridge wood supply gaps, enhance climate resilience, and power green industrial growth across target areas in Ethiopia. Target regions and areas include Oromia Region (Asela and Adama), Amhara Region (Dessie and Kombolcha), Tigray Region (Endomohoni), and the Central Ethiopia Region (Buee).

Key Tender Details
  • Issuance Date: October 28, 2026

  • EOI Submission Deadline: November 20, 2026

  • Target Value Chain: Roundwood (Production, sorting, grading, sizing, and processing)

  • Submission Email: ilriettender@cgiar.org

  • Email Subject Line Requirement: Must state Round Wood Market Development Challenge Fund without modifications

Funding Windows & Cost-Sharing Requirements

The fund operates under three competitive grant windows:

Grant WindowFunding Amount (USD)Target ApplicantsIndicative FocusMinimum Co-Financing Requirement
Micro Grant

Up to $10,000

Start-ups, Cooperatives, MSMEs

Piloting & validating innovations; proof-of-concept strengthening

30% of total project cost

Medium Grant

$10,001 – $20,000

Growing MSMEs, Private Firms, Consortia

Scaling tested innovations; expanding market reach; strengthening operations

50% of total project cost

Large Grant

$20,001 – $30,000*

Established Enterprises, Lead Firms, Anchor Buyers, Processors

Systemic innovations with strong crowd-in potential; market transformation

50% of total project cost

*Under special circumstances with international partners, higher amounts may be considered under separate criteria.

Disbursement Schedule

Grants are performance-based and disbursed across three tranches within 12 months of signing:

  1. Tranche 1 (30%): Disbursed upon contract signing and proof of matching fund availability.

  2. Tranche 2 (40%): Disbursed upon reaching agreed mid-term milestones (e.g., equipment purchased/installed or 50% of staff hired).

  3. Tranche 3 (30%): Disbursed upon completion and submission of an impact report demonstrating market traction or sales.

Eligibility Criteria
1. Eligible Applicants
  • Registered Micro, Small, and Medium Enterprises (MSMEs)

  • Cooperatives and Unions

  • Legally registered producers, processors, and traders’ associations

  • Private companies (national or international)

  • Consortia led by a private sector or market-oriented organization

  • Social enterprises and startup innovators

2. Minimum Eligibility Requirements
  • Legal Status: Must be a legally registered entity.

  • Geographical Focus: Must have a concrete plan to implement the project within the designated programme districts and value chains.

  • Job Creation & Income: Must demonstrate how the innovation creates jobs and increases income levels within the community.

  • Proof of Concept: Must be piloted or tested with demonstrable results (primarily required for Medium and Large grant windows).

  • Commercial Viability & Systemic Impact: Clear business model with a pathway to financial sustainability and broader market system transformation.

  • Inclusion & Environment: Practical measures to integrate women and youth, coupled with full compliance with national environmental and forestry regulations.

Evaluation Criteria

Submissions are reviewed by a Selection Committee using the following weighted scoring system:

CriteriaDescription / Focus AreaWeight (%)
Inclusion and Social Impact

Jobs and income enhancement for youth, women, and marginalized groups

20%

Innovation and Technical Soundness

Feasibility, robustness, novelty, and relevance of the solution

15%

Commercial Viability & Market Systems Impact

Business case, profitability, and systemic change potential

15%

Experience & Team Track Record

Technical capacity and organizational track record

15%

Sustainability

Post-grant continuity, adoption incentives, and scalability

10%

Co-Investment

Proportion of matching funds committed by the applicant

10%

Environmental Impact

Promotion of forest conservation and climate benefits

5%

Budget Realism

Cost alignment with proposed activities and outputs

5%

Financial Sustainability

Long-term financial viability model

5%

Total 

100%

Application Process & Timeline
  • Stage 1: Expression of Interest (EOI)

    • Deadline: November 20, 2026

    • Length: Maximum 3–5 pages.

    • Requirements: Completed EOI form, brief description of innovation, proof of concept/early sales evidence, estimated budget, co-financing plan, organizational registration documents, and key project indicator framework.

  • Stage 2: Full Proposal (Invitation Only)

    • Shortlisted candidates will be invited to submit a detailed 10–15 page proposal including a comprehensive business plan, financial model, and environmental/social safeguards plan.

Submission & Contact Information
  • Submission Email: Send applications electronically to ilriettender@cgiar.org.

  • Subject Line: Must be exactly Round Wood Market Development Challenge Fund.

For Inquiries & Application Support:

  • Management Team Lead: B. Teshome

  • Email: b.teshome@cgiar.org

  • Phone: +251 911 93 45 84

  • Office Address: Gurdshola, Addis Ababa, Ethiopia