Founded in 1975, Chemonics is an employee-owned international development company headquartered in Washington, D.C. The company consists of approximately 5,000 employees and has conducted work in more than 150 countries.
Chemonics’ primary U.S. Government customer is the U.S. Agency of International Development (USAID), having earned over $8 billion in revenue from the agency from 2017-2021. According to data from USASpending.gov, USAID awarded nearly $28 billion in prime contractor revenue in this same time period, indicating that Chemonics holds a nearly 29% market share in USAID. This indicates a saturation in the U.S. market for their expertise, and sheds light on their launch of a division in the United Kingdom in 2019.
Areas of expertise
Chemonics work centers on several key areas such as supply chain management; economic growth and trade; health; peace, stability, and transition; education and youth; gender equality and social inclusion; Democracy and governance; agriculture and food security, and more.
The following constitutes examples of contracts Chemonics holds in some of these areas as well as notable partners that have supported their work.
Peace, Stability, and Transition
Libya Transition Initiative – This SWIFT V task order aims to foster stability and public confidence in public institutions and to prevent further political fragmentation in Libya. Chemonics has supported four iterations of this program (09/2021-09/2026; Ceiling: $158M; Obligated: $13M).
Iraq Regional Program (IRP) – This SWIFT V task order aims to increase stability in Iraq by improving conditions in areas liberated from the Islamic State of Iraq and Syria (ISIS) and mitigating challenges that threaten overall stability (09/2021-09/2026; Ceiling: $275M; Obligated: $19M).
Agriculture and Food Security
Famine Early Warning Systems Network (FEWS NET) 7 – FEWS NET provides tools and data for monitoring and forecasting the incidence of drought and flooding to identify shocks to the food supply system that could lead to famine. Chemonics implements the FEWS NET early warning team charged with integrated emergency food insecurity analysis through a Washington-based office and more than and more than 20 field offices. Chemonics has been supporting FEWS NET since 2000 (04/2019-04/2024; Ceiling (shared): $900M; Obligated: $79M).
Supply Chain Management
Global Health Supply Chain Program-Procurement and Supply Management (GHSC-PSM) – This program coordinates the procurement and delivery of lifesaving health commodities in more than two dozen countries. The company has been awarded five task orders focused on HIV/AIDS, Malaria, and reproductive health-related commodities (04/2015-11/2023; Ceiling: $9.5B; Obligated: $7B).
USAID is planning to compete the next iteration of this work, NextGen Global Health Supply Chain, this year. Chemonics has awarded its largest subawards to companies providing pharmaceutical and other health products on this IDIQ.
We recognize this is a cross over of health and supply chain management.
Example of a partner
Mylan Laboratories: From 2018 to 2021, Mylan Laboratories was awarded $348 million in subcontractor revenue to provide pharmaceutical products to support GHSC task orders focused on HIV/AIDS and reproductive health. Mylan, which is now part of Viatris, is a global drug manufacturer.
Bangladesh Advancing Universal Health Coverage program – This R&D program focuses on advancing universal health coverage in Bangladesh by introducing innovative business and operational models, creating research-based health service packages for the poor, and experimenting with new health service delivery channels (10/2017-09/2022; Ceiling: $90M; Obligated: $78M).
Example of a partner
Surjer Hashi Network: In 2019, Surjer Hashi Network (SHN) was awarded $17 million in subcontractor revenue for supporting this contract. Funded by USAID, the network operates a large number of clinics for the poor across Bangladesh.
Economic Growth and Trade
Ukrainian Economic Support program – This program focuses on encouraging startup businesses and small and medium sized enterprises, increasing domestic market competition, and supporting the competitiveness of Ukrainian firms in international markets (10/2018-10/2023; Ceiling: $42M; Obligated: $37M).
Example of a partner
J.E. Austin Associates, Inc. (JAA): In 2019, JAA was awarded over $3 million in subcontractor revenue for supporting this contract. Based in Washington DC, JAA assists businesses, governments, and non-profit organizations in achieving economic development through private sector development, identifying competitive potential in the agricultural sector, and supporting entrepreneurship.
The FedSavvy Strategies Takeaway
- Chemonics is formidable USAID contractor that knows how to speak to both USAID and partner country priorities and pain points, providing them an advantage in bidding USAID work. This has led them to attain a highly significant market share in USAID.
- The company is well versed in key areas, such as agriculture and food security, health, supply chain management, and economic growth and trade. As evidenced by their work on FEWS NET and their GHSC IDIQ, Chemonics can deliver these services on complex, large-scale programs that operate across multiple countries simultaneously.
- Due to their ubiquity in the U.S. Government development market, it is possible Chemonics will continue to pursue work with other international governments, as they have done in the United Kingdom.