New Report on Global Hunger Bolsters Argument for Food Aid Reform

“The cost of delivering America's food aid abroad is much higher than it could be owing to a requirement that nearly all American food aid be purchased in the U.S. rather than in foreign markets closer to the recipient,” says the report, “Renewing American Leadership in the Fight Against Global Hunger and Poverty.”   (http://www.thechicagocouncil.org/globalagdevelopment/)

The report also recommends limiting to “extremely rare and unusual circumstances” the now common practice of monetization—selling often highly subsidized U.S. food in poor countries to generate revenues for antipoverty programs.

CARE agrees with the report's recommendations. In 2006 CARE decided to stop monetizing food aid by this year.“ Monetization is unnecessarily expensive and can have unintended harmful consequences on local agriculture and trade in poor countries,” says David Kauck, CARE senior technical advisor and an expert on food security issues. CARE's decision meant sacrificing $45 million a year in development assistance. “It is gratifying to see that the Chicago Council has also reached the conclusion that shipping food overseas and selling it is not the best way to fund worthwhile development programs,” Kauck added.

This week a coalition of humanitarian organizations, including CARE and with backing from Representatives Jim McGovern (D-MA) and Jo Ann Emerson (R-MO), announced a comprehensive plan to end world hunger. Like the Chicago Council report, this plan includes a call for the United States to provide funding for food programs that would replace monetization.

About CARE:
Founded in 1945, CARE is a leading humanitarian organization fighting global poverty. Working side by side with poor people in more than 65 countries, CARE helps empower communities to address the greatest threats to their survival. Women are at the heart of CARE's efforts to improve health, education and economic development because experience shows that a woman's achievements yield dramatic benefits for her entire family. CARE is also committed to providing lifesaving assistance during times of crisis, and helping rebuild safer, stronger communities afterward. We advocate for policies that defend the dignity of all people and promote the eradication of poverty. Get involved at www.care.org.