Expression of Interest (EoI) for EPC (Engineering, Procurement, and Construction) Services for the establishment of Maize-Based Animal Feed Processing Center

dZi Foundation

Details / requirements:

dZi Foundation:

dZi Foundation is a US-based non-profit organization dedicated to working with rural communities in Nepal to achieve prosperity by removing barriers to basic needs, fostering sustainable livelihood opportunities, and enhancing local capacity to drive transformational change. Our current strategic plan adapts to evolving policy and development landscapes, sharpening our focus on partnerships, local ownership, and long-term sustainability beyond external investments.

Background

dZi Foundation/ Nepal implements a project, Initiative for Shared Prosperity in Koshi River Basin in Nepal (ISPKN), and the project also integrate a model of targeting the end-to-end design, procurement, and physical execution of one municipal level market center focused on commercial value addition, supply chain resilience, and economic self-sufficiency. The initiative utilizes an EPC (Engineering, Procurement, and Construction) framework through open competitive bidding. This model enforces single-point management accountability to guarantee strict compliance with engineering standards, procurement efficiency, environmental safeguards, and construction punctuality.

Gadhi Rural Municipality, Sunsari (Maize-Based Animal Feed Processing Center)

1. Project Overview

  • Implementation Framework: The initiative utilizes an EPC (Engineering, Procurement, and Construction) framework through open competitive bidding. This model enforces single-point management accountability to guarantee strict compliance with engineering standards, procurement efficiency, environmental safeguards, and construction punctuality. 
  • Household Impact: The establishment and operationalization of this hub must directly benefit a minimum of 200 farming households within the market hub area, specifically prioritizing smallholders, women, and marginalized producers. 
  • Financial Co-Investment: The selected EPC contractor, in coordination with project steering entities, must mobilize a minimum of 25% of the total asset co-investment locally from municipal budgets, local cooperatives, and private sector commercial partners to ensure long-term regional ownership.

2. Site and Commodity Specifications

  • Location: Gadhi Rural Municipality, Sunsari district, Koshi Province.
  • Target Commodity & Volume: Bulk processing of yellow maize, tapping into an area covering 2,700 hectares across Wards 3, 4, 5, and 6, with an estimated seasonal production of 8,000 MT. 
  • Value-Added Focus: Establish a commercial feed-milling plant to address the critical provincial Total Digestible Nutrients (TDN) feed deficit (currently sitting at a 23.35% shortfall provincially). The plant will directly supply high-quality feed to Sunsari District’s massive livestock sector, which boasts the province's third-largest cattle population (169,634 head) and high layer hen counts (213,841).

3. Project Timeline & Payment Milestones

The total duration for the complete engineering, procurement, construction, and initial trial commissioning is strictly constrained to a 6 to 9-month execution window from the date of contract signing. All payments are strictly performance-based, requiring verified on-site structural validation and written municipal/cooperative sign-offs before disbursements.

Milestone ID
Key Deliverable
Target Schedule
M-01

Inception report, engineering blueprints & local clearances: Submission of finalized architectural/structural blueprints, industrial flow designs, environmental impact mitigation plans, and signed municipal building permits. 

Month 1
M-02
Civil infrastructure mobilization & substructure completion: Completion of ground clearings, site grading, concrete foundation pouring, and structural framing.
Month 4
M-03
Machinery delivery & local co-investment verification: Physical arrival of specialized processing machinery lines at the site. Requires verification that at least 25% local/private co-investment funding has been formally committed and integrated into project books.
Month 6
M-04
Electromechanical installation & GESI asset compliance: Complete assembly of production lines, connection of power transformers, setup of quality-control labs, and verified physical completion of all women-friendly/inclusive facility spaces.
Month 8
M-05
Trial commissioning, household benefit sign-off & handover: Successful completion of uninterrupted plant trial runs, formal quality/food-safety certification filings, submission of an operational data register proving a direct benefit stream to a minimum of 200 local households, and formal governance handover.
Month 9
4. Technical Scope of Work (EPC Pillars)

  • Phase 1: Engineering & Detailed Design
    • Process Flow Layouts: Design optimal, food-safe processing flows for feed milling crushers. 
    • Inclusive Structural Design: Incorporate explicit Gender Equality and Social Inclusion (GESI) elements directly into physical building blueprints, mandating women-friendly spaces such as separate restrooms, clean changing areas, lactation rooms, well-lit pathways, and safety systems scaled for diverse operators. 
    • Environmental Safeguards: Engineer comprehensive waste-mitigation frameworks to handle processing by-products (e.g., maize stover) for ecological sustainability or secondary commercial applications. 
  • Phase 2: Procurement & Supply Chain Management
    • Specialized Machinery Lines: Source, test, and ship complete commodity-specific processing configurations including heavy-duty maize shellers, pulverizers, horizontal feed mixers, pellet mills, and moisture-controlled grain silos. 
    • Quality Control & Utilities: Procure laboratory testing equipment (Soxhlet apparatus, refractometers, moisture meters) alongside high-capacity power transformers (30-50 kVA) to protect the facility against local grid fluctuations. 
  • Phase 3: Construction & Operational Commissioning
    • Civil Works & System Integration: Execute all earthworks, foundation casting, structural steel framing, thermal-insulated wall partitioning, and interior hygiene-grade surfacing. Install and wire all electromechanical processing machinery, automated control panels, laboratory arrays, and industrial backup power units. 
    • Trial Runs & Licensing Support: Lead uninterrupted trial operational runs to validate plant throughput parameters, safety controls, and product consistency, preparing documentation for necessary food safety licensing (e.g., DFTQC compliance).

5. Bidder Evaluation Criteria

Bidding firms will be assessed based on a 100-point matrix broken down into the following weighted focus areas: 

1. Regional Experience in Nepal (25%): Track record of executing similar agricultural, industrial, or civil engineering infrastructure projects located within the Eastern and Central regions of Nepal (e.g., Koshi, Madhesh, and Bagmati provinces), showing clear understanding of mid-hill and flatland terrain logistics.

2. Multi-Stakeholder Collaboration Model (25%): Proactive engagement methodologies working alongside local communities, farmer groups, and cooperatives, interfacing with local municipal governments (Palikas) for permitting/leasing, and coordinating with private sector commercial actors for downstream market linkages.

3. Technical Approach & SOW Compliance (25%): Quality and feasibility of engineering designs, logical sequencing within the proposed 6–9 month fast-track schedule, and the robustness of integrated environmental safeguards and structural GESI provisions.

4. Financial Capabilities & Local Co-investment Plan (25%): Financial viability and historical liquidity of the EPC firm to manage projects, alongside the credibility and transparency of the proposed mechanism to securely mobilize the minimum 25% local/private co-investment share.

6. Risk Management, Submission & Inquiries

  • Conflict Sensitivity & Grievance Redress: The contractor must ensure absolute geographic, ethnic, and ward-level balance during local construction labor recruitment to prevent localized community friction. The contractor is required to set up an accessible, transparent, and anonymous grievance box and logging mechanism at the site on day one of mobilization to capture and immediately address complaints. 
  • Submission Requirements: Interested Nepali companies/firms/organizations or JVs of similar registered entities meeting the qualifications can submit their EOI with: (1) a cover page, (2) a brief technical and financial proposal of not more than 10 pages, (3) updated company profiles with the latest renewal and tax clearance certificates, and (4) evidence of at least 3 similar assignments. 
  • Inquiry: Any questions or clarification regarding the EOI should be directed to procurement.np@dzi.org by July 2, 2026, with a subject line- Inquiry for Gadhi RM.
  • Submission Deadline: Please submit your EOI by July 12, 2026, to procurement.np@dzi.org with a subject line- EOI for Gadhi RM. Please ensure that the attachment is not larger than 10 MB.

dZi may engage one or more firms to carry out the assignment and reserves the right to accept and reject any or all proposals without assigning any reason whatsoever.

Overview

Category Development Project, Expression of Interests, Tender Notice, Bid
Openings 1
Position Type Contract
Posted Date 28 Jun, 2026
Apply Before 12 Jul, 2026
City Lalitpur