Business Matchmaking for Investment Mobilization to Accelerate the Establishment of a Sustainable Plastic Value Chain in Indonesia

Date documents can be requested until : 14 July 2025 16:00
Title : Business Matchmaking for Investment Mobilization to Accelerate the Establishment of a Sustainable Plastic Value Chain in Indonesia
Procurement No. : 100013085
Process : RFP

Date documents can be requested until : 07 July 2025 16:00
Title : Business Matchmaking for Investment Mobilization to Accelerate the Establishment of a Sustainable Plastic Value Chain in Indonesia
Procurement No. : 100013085
Process : RFP
Description : GGGI Indonesia Country Office is inviting eligible universities or university research centers to submit their proposals for the following scope of work:

PROJECT BACKGROUND:
GGGI is supporting the Government of Indonesia, specifically the Ministry of National Development Planning (Bappenas), in realizing green growth in the plastics sector through the Plastic Circular Investment Initiative (PCII). The overall objective of PCII is to enable investment mobilization to accelerate the establishment of a sustainable plastic value chain in Indonesia. PCII is comprised of three components, namely (1) technical assessment on the landscape of both recycled plastics and bioplastics for a more updated and detailed understanding of several technical aspects such as existing initiatives and infrastructure and financing needs; (2) facilitate matchmaking between Indonesian and international businesses to accelerate circular economy implementation on the ground; and (3) provide technical studies for selected investment project to assess, among others, the technical and financial feasibility.

Noting the development of alternative plastics in Indonesia, PCII will focus on two areas, namely recycled plastics and bioplastics. The former has seen an increasing trend with both public and private sector stakeholders implementing upstream and downstream activities, such as better product design for packaging and reverse logistics particularly for post-consumer packaging. Currently, the government is advocating mono-material plastic product manufacturing using high-value plastics (HVPs), namely high-density polyethylene (HDPE), low-density polyethylene (LDPE), polyethylene terephthalate (PET), and polypropylene (PP). Baseline data shows that HVP production contributes 85% of the total national plastic production and is targeted to reach 100% by 2045. Additionally, the government also envisions gradual increase in recycling rates for these HVPs by 2045: 12% to 16% (HDPE), 3% to 7% (LDPE), 64% to 68% (PET), and 21% to 25% (PP). This is to be done while improving the recycled content of plastic products, which currently stands at 6.92%, to 50% by 2045. Moreover, the government is pushing for improvements in relevant infrastructure, including facilitating investments in the establishment of 148 recycling plants in 10 provinces by 2045.

On the other hand, the latter is an emerging initiative gaining traction on the ground, with several local businesses providing bioplastic-based products and international cooperation on research and development taking place. Biopellets are already domestically produced, with a total capacity of 44,400 tons per year in 2022. Furthermore, bioplastic-based products are already manufactured at approximately 13,800 tons annually in the same year. Nonetheless, a more robust regulatory framework is necessary to support the market growth in Indonesia and possibly contribute to international demands.

Moreover, the application of digital solutions is beginning to show an increasing trend, noting their benefits in the form of accurate data provision as a basis for continuous improvement by policymakers, businesses, and grassroots players. This is applicable to all segments of the entire value chain, covering upstream, midstream, and downstream activities. An example is the use of digital solutions to enforce and monitor traceability, among others, in plastic materials and products, ensuring the execution of sustainable sourcing and manufacturing activities.

PCII is designed to align with and support the implementation of the Indonesia Circular Economy Roadmap and Action Plan in 2025-2045 which covers five priority sectors, including retail (with a focus on plastic packaging). Additionally, PCII is also well aligned with ongoing initiatives pushing for the accelerated implementation of Extended Producer Responsibility (EPR) schemes being spearheaded by the Ministry of Environment (MoE) through the Producers Waste Reduction Roadmap. The design of PCII enables GGGI to deliver interventions with respect to the identified enabling environment and project design for greenfield and/or brownfield initiatives, serving as a combined package to ensure real impacts.

As part of the PCII implementation process, acknowledging the significance of international cooperation to further accelerate the transition into a more circular ecosystem in the sector, PCII also aims to facilitate network building and engagement between local and foreign businesses and entities to establish concrete partnerships for transformational impacts. This starts with the identification of critical areas in Indonesia in need for said partnerships through discussion sessions, building on the ongoing Landscape Analysis, including EPR, digital solution application and result-based financing. This is to be complemented by mapping local and international players working in said critical areas and convening them in business networking events with the aim of providing insights on existing actors and their relevant services to enable the development project ideas as the basis for international partnerships. This is envisioned to create a pool of partnerships, through a Call for Proposals mechanism, ready for further project design and investment mobilization from various financing sources.

Against this backdrop, GGGI is commissioning a Business Matchmaking program to enable accelerated international partnership establishment.

OBJECTIVE OF THE ASSIGNMENT:
Against this backdrop, GGGI is interested in procuring the services of a consultancy firm (hereinafter referred to as ‘Firm’) to conduct the Assignment relevant to recycled plastics and bioplastics. The firm shall possess ample experience in the plastic sector, specifically the recycled plastics and bioplastics areas, including its regulatory enablers, supply and demand (local and international), technological needs, and financing schemes for both recycled plastics and bioplastics; and access to a wide network of stakeholders active in said areas, both government agencies and the private sector, such as waste management service providers, recyclers, manufacturers, and brands.

For further details on the Scope of Work, please refer to the Terms of Reference available under the published Document Set.

IMPORTANT TIMELINES:
The tender submission deadline is 7 July 2025, 16:00 pm KST (Korean Standard Time) / 15:00 pm WITA.
Note: If any bidder has any request for clarification on the TOR or any part of the tender documents, GGGI will be happy to clarify if the request is received on or before 7 days before the deadline (namely: if the tender submission deadline is 16:00 15 April KST, then the due date for submission of request for clarification is 16:00 8 April KST).

Interested parties will be required to register their details on the GGGI e-Green Procurement Portal (https://in-tendhost.co.uk/gggi).

HOW TO OBTAIN THE DOCUMENTS:
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SUBMITTING YOUR RESPONSE VIA THE PORTAL:
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