Food Aid Works: A Report on the Benefits of Monetizing Food Aid
The Alliance for Global Food Security released The Value of Food Aid Monetization: Benefits, Risks and Best Practices, a study that found that monetization generates multiple benefits in the recipient country and that by selling the commodity for a fair market value, as called for in the House Farm Bill, it is unlikely to disrupt commercial trade. The study provides empirical evidence validating what many in the aid community already knew – that food aid, and monetization specifically, works.The study evaluated five separate monetization programs and found that all of them largely achieved their goals while minimizing market disruption. IRD's Cashew Value Chain program in The Gambia was one of the projects evaluated.
The USAID-funded Serbia Agribusiness Project, implemented by IRD from 2007-2012, assisted the Serbian agricultural sector to become more competitive in local, regional, and international markets.
Presenting at the House Agriculture Committtee were Joe Somers from Informa Economics, who conducted the study; Ellen Levinson, executive director of the Alliance for Global Food Security; former Ambassador to Chad Christopher Goldthwaite; Jennifer Hyman, director of communications for Land O'Lakes; and Mike Schulte of the Oklahoma Wheat Commission. Read about the study's key findings here.
The Informa Monetization Study was commissioned by the Alliance for Global Food Security, a coalition of 14 private voluntary organizations and cooperatives that are engaged in food aid, agriculture, nutrition and food security programs in over 100 developing countries. IRD has been a member since its founding. The Alliance pulls together the practical experience of its members to develop recommendations for effective food aid and food security policies and programs.