Vietnam Digital Trade
SCOPE OF WORK
National Short-term Technical Assistance (STTA) Global Value Chain Expert
(Lead/focused on Electronics and Leather/Footwear Sectors) (Local Expert 1)
Date: XXX February 2024
Position: National STTA Global Value Chain Expert (Lead/focused on electronics and Leather/Footwear Sectors) (Local Expert 1)
Reports to: USAID Vietnam Digital Trade (VDT) Technical Team
Location: Hanoi or other provinces in Vietnam (if required)
Eligibility: Vietnamese Nationals
LOE: (STTA) 40 days
Period of Performance: –March – July 2024
International Development Group LLC is an international development consulting firm that assists donors, governments, and the private sector to create and take advantage of opportunities for sustainable, broad-based economic development and poverty reduction. IDG provides entrepreneurs and policymakers with the practical tools needed to achieve real and measurable impact for their communities and countries. IDG assistance programs aim to build the capacity, skills, and knowledge of local individuals and institutions in the public, private, and not-for-profit sectors, fostering synergies between local knowledge and international experience.
Project Background
The VDT is a two-year activity (2023-2025) addressing regulatory gaps and promoting private sector engagement in the rapidly growing digital economy. USAID VDT Activity [1] supports the Ministry of Industry and Trade (MOIT)’s implementation of frameworks that facilitate digital trade, with an emphasis on supporting MOIT in holding public-private dialogues to ensure implementation is done in consultation with the private sector. Regulations that are responsive to private sector needs remove bottlenecks in trade faced by enterprises and increase regulatory transparency, helping to shape an e-commerce sector where enterprises of all sizes can benefit. The Activity encourages the participation of small and medium enterprises (SMEs) in digital trade by introducing new business models and other best practices, such as traceability of goods, as well as facilitating cross-border connections between enterprises via MOIT’s digital trade promotion platform.
Activity Background
In Vietnam, over 800,000 Vietnamese SMEs account for the 40% of GDP and employ 80% of the workforce, who are mainly engaged in labor-intensive manufacturing and resource extraction. Currently, only 21% of SMEs participate in the global supply chain, while it is over 30% in Thailand and it is 46% in Malaysia. Therefore, SMEs rarely benefit from the spillover effect of FDI enterprises through technology transfer, knowledge and productivity improvement.
Vietnam continued its trade surplus in 2023 with an estimated 26 billion USD or nearly triple the figure in 2022, which is making it eight consecutive years. SMEs could double their export value by 2025, but unlocking this potential necessitates addressing several challenges, like the limited access to capital, technology, and skilled labor. Moreover, inadequate digital infrastructure and logistical bottlenecks further impede efficient connectivity and data exchange within these complex networks. Adding to these challenge is a knowledge gap – limited awareness of GVC intricacies and insufficient managerial skills can cripple effective participation. Finally, the intricate standards and regulations imposed by global markets pose a hefty compliance burden for smaller firms.
The MOIT Department of Planning and Finance (DPF) is assigned to develop a Five-year Action Plan to support SME participation in the global value chain (GVC) for Prime Minister’s approval. The Five-Year Action Plan aims to increase productivity, efficiency, technology capabilities, and competitiveness in industry sectors and enhance export competitiveness and GVC participation of Vietnamese. The Action plan will be aligned with the National Industrial Action Plan currently drafted by the MOIT and will also contribute to the National Program on Promoting Domestic Private Sector Participation in Regional and Global Value Chains towards 2030.
In order to prepare the five-year action plan, under the approved work plan between the MOIT and USAID, the USAID VDT will support the MOIT DPF to conduct an assessment report on the impact of the digitalization of the global value chain on the export activities of Vietnamese SMEs. The research is focused on (i) clarifying the process of digital transformation of GVC (including general approach of digitalization of GVC and SME’s participation, policy framework to help SME to reduce negative impacts), (ii) identify opportunities and challenges for SMEs in participating and benefiting from this process for export development, and (iii) recommendations and proposed solutions to support SMEs (including international experiences and benchmarking with Vietnam).
The assessment report will focus on four main sectors, i.e., electronics, food processing, timber and furniture and leather and footwear. The activity is expected to be implemented through (i) survey to assess the impact to businesses; (ii) consultative workshops with relevant stakeholders; and (iii) finalize the assessment report. These tasks will be carried out from March – July 2024.
In order to support the MOIT, VDT will hire three local STTA experts to fulfil the following tasks:
National STTA Global Value Chain Expert (Lead/focused on electronics and Leather/Footwear Sectors) (Local Expert 1) (this SOW). The Local Expert 1 will be in charge of designing and leading the activity in cooperation with VDT Technical team, MOIT DPF and other Local Expert 2. The Local Expert 1 will have the main responsibility of drafting the assessment report with focus on electronics and Leather/Footwear sectors; as well as consolidating part on timber/furniture and food processing sectors from Local Expert 2. The Local Expert 1 will also participate in the survey to assess the impacts to businesses, and consultative workshops with relevant stakeholders.
National STTA Global Value Chain Expert (focused on Timber/Furniture and Food processing Sectors) (Local Expert 2). The Local Expert 2 will be in charge of drafting the part of the assessment report focused on Timber/Furniture and Food processing Sectors which will be incorporated into the final assessment report, in cooperation with VDT Technical team, MOIT Legal Department and Local Expert 1. The Local Expert 2 will also participate in the survey assess the impacts to businesses and consultative workshops with relevant stakeholders (focused on Timber/Furniture and Leather/Footwear Sectors).
In consultation with the VDT Technical Team, the Local Expert 1 will work primarily closely with the MOIT DPF and the Local Expert 2. The Local Expert 1 may also be required to work in collaboration with other members of the VDT team in order to undertake this activity.
Key Tasks/Responsibilities:
The Local Expert 1 will be responsible in:
- Collaborate with VDT team, MOIT DPF, and Local Expert 2 to design and agree on the activity plan, the timeline, and outline of the assessment report.
- Desk study on the impact of the digitalization of the global value chain on the export activities of Vietnamese SMEs (focused on electronics and Leather/Footwear Sectors).
- Lead to conduct the survey on the impact of the digitalization of the global value chain on the export activities of Vietnamese SMEs in coordination with Local Expert 2:
- Develop a comprehensive questionnaire for 4 sectors (focused on electronics and Leather/Footwear sectors) in corporate part of the Local Expert 2;
- Identify key stakeholders for sending survey questionnaires and interviews in the target sectors (focused on electronics and Leather/Footwear sectors);
- Conduct interviews with relevant stakeholders in collaboration with Local Expert 2, (focused on electronics and Leather/Footwear sectors).
- Draft the part of the assessment report related to electronics and Leather/Footwear sectors, in analyzing survey responses and interview information.
- Participate in and present key findings and recommendations of the assessment report (focused on part of electronics and Leather/Footwear sectors) at the consultative workshops in Hanoi and HCMC to get feedbacks and comments to finalize the assessment report
- Lead to complete the final assessment report with recommendations on and proposed solutions to support SMEs, incorporating part of Local Expert 2, including feedbacks and comments from consultative workshops.
Deliverables
- A concise activity plan outlining the activity's scope, objectives, methodology, key milestones, timeline and outline of the assessment report agreed upon by VDT team, MOIT DPF, and the Local Expert 2.
- A list of suggested key stakeholders for the surveys and interviews in electronics and Leather/Footwear sectors; and a list of key stakeholders the 4 sectors incorporated with Local Expert 2.
- Part included in final survey questionnaires on electronics and Leather/Footwear sectors; and final survey questionnaires covering 4 targeted sectors, in corporate with Local Expert 2.
- Written part on the impact of the digitalization of the global value chain on the export activities of Vietnamese SMEs (focused on electronics and Leather/Footwear sectors).
- Active participation and a presentation on key findings and recommendations of the assessment report (focused on part of electronics and Leather/Footwear sectors) at the consultative workshops in Hanoi and HCMC to get feedbacks and comments to finalize the assessment report.
- A final assessment report on the impact of the digitalization of the global value chain on the export activities of Vietnamese SMEs, in corporate with part of the Local Expert 2, including feedbacks and comments from consultative workshops.
Qualifications
- Degree in economics, law, political science or related topics.
- In-depth understanding of the economic background of the global value chain, preferably in the electronics, Leather/Footwear sectors in Vietnam.
- Understanding of the digital transformation, preferably in the electronics and Leather/Footwear in Vietnam.
- At least 8 years of experience as an economic expert specialized in global value chain, preferably with relevant experience in the electronics and Leather/Footwear sectors.
- Prior involvement in projects related to global value chain, preferably in the electronics and Leather/Footwear sectors.
- Strong written, and oral English and Vietnamese.
How to apply:
Proposals should be submitted to [email protected] [2] no later than March 28, 2024.