Public Law 480
Public Law 480 (PL 480), also known as the Food for Peace (FPA) Act, was passed in 1956. The law has three titles, which are detailed below.
Contents
Title I: Trade and Development Assistance
The USDA administers Title I. According to the USDA:
- "FPA, Title I–Trade and Development Assistance, provides for government-to-government sales of U.S. agricultural commodities to developing countries on credit or grant terms. Agreements under the Title I credit program may provide for repayment terms of up to 30 years with a grace period of up to 5 years. The authority also allows for grant programs, which have outnumbered loans in recent years. Depending on the agreement, commodities provided under the program may be sold in the recipient country and the proceeds used to support agricultural, economic, or infrastructure development projects.
- "Since fiscal year 2006, new funding has not been requested because demand for food assistance using credit financing has fallen or grant programs have been a more appropriate tool."[1]
Title II: Emergency and Private Assistance
Title II is administered by USAID. It "provides for the donation of U.S. agricultural commodities to meet emergency and nonemergency food needs in other countries, including support for food security goals." Traditionally, agricultural commodities are donated by the U.S. government to the UN World Food Program or private voluntary organizations (PVOs), but they can also be provided through government-to-governemtn agreements. "Nonemergency assistance may only be provided through PVOs, cooperatives, and intergovernmental organizations."[2]
Title III: Food for Development
Title III is also administered by USAID. It "provides for government-to-government grants to support long-term growth in the least developed countries. Donated commodities are sold in the recipient country, and the revenue generated is used to support economic development programs. In recent years, this title has been inactive."[3]
Resources and articles
Related Sourcewatch articles
References
- ↑ Public Law 480, Title I, U.S. Department of Agriculture, Accessed April 24, 2011.
- ↑ Public Law 480, Title I, U.S. Department of Agriculture, Accessed April 24, 2011.
- ↑ Public Law 480, Title I, U.S. Department of Agriculture, Accessed April 24, 2011.
