Posted June 4, 2014
Two U.S. senators introduced legislation to end U.S. restrictions on international food aid programs, which would save hundreds of millions of dollars per year and provide aid to some 9 million hungry people around the world, according to an article on Reuters by Patricia Zengerle available here. Yahoo News and Global post also published Zengerle’s article here and here.
U.S. Senators Bob Corker of Tennessee, the top Republican on the Senate Foreign Relations Committee, and Democrat Chris Coons of Delaware, chairman of the Africa subcommittee, introduced the Food for Peace Reform Act of 2014.
The program is restricted by laws requiring most food be produced in the U.S, as opposed to purchased locally, which results in a higher cost and longer duration to reach people in need.
“At a time when our budget is strained and U.S. resources are limited, Congress needs to find ways to be more efficient and effective with every dollar,” Corker said in a statement.
The bill would allow both U.S. and locally produced commodities, vouchers or cash transfers to be used for aid, whichever is the most cost-effective option.
The effect on U.S. agriculture would be small; U.S. food aid contributed only 0.86 percent of total exports from 2002-2011 and only 1.41 percent of net farm income.
The bill would allow the U.S. Agency for International Development to ship food on any vessels that were available versus using U.S. cargo preference requirement, which could reduce shipping rates by 46 percent.
The bill would also end “monetization,” a requirement that 15 percent of all U.S. donated food be sold by first aid organizations, which produces cash for funding development projects.
According to sponsors of the legislation, eliminating monetization would save 25 cents out of every taxpayer dollar spent, could feed 800,000 more people, and save $30 million per year.
It would also transfer current food aid authorities from the farm bill to the Foreign Assistance Act.
For more information on international law and organizations, please visit the National Agricultural Law Center’s website here.
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