Food Aid:

Competing Goals and Requirements Hinder Title I Program Results

GGD-95-68, Jun 26, 1995

Contact:

Benjamin F. Nelson
(202) 512-4128
contact@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

Pursuant to a legislative requirement, GAO reviewed the impact of Title I assistance on: (1) sustainable economic development in recipient countries; and (2) long-term market development for U.S. agricultural goods in those countries.

GAO found that: (1) U.S. agricultural exports and world food aid have decreased because there are other donor countries and new programs such as the Department of Agriculture's (USDA) market development program; (2) title I has had minimal effect on sustainable economic development in recipient countries; (3) the primary way in which title I food aid can contribute to broad-based sustainable development in the recipient country is to give the country the foreign exchange savings it needs to invest in long-term economic development projects; (4) the link between title I and market development is uncertain, since USDA and other agency studies have not shown a link between title I assistance and the establishment of a long-term commercial market share for U.S. agricultural products; (5) price-sensitive exports restrict title I market development opportunities; (6) Title I program management has been streamlined by assigning title I programs to USDA and titles II and III to the Agency for International Development (AID); and (7) while the objectives of P.L. 480 legislation can support U.S. foreign policy and trade interests, they can also impede the development of an effective program strategy.

Status Legend:

More Info
  • Review Pending-GAO has not yet assessed implementation status.
  • Open-Actions to satisfy the intent of the recommendation have not been taken or are being planned, or actions that partially satisfy the intent of the recommendation have been taken.
  • Closed-implemented-Actions that satisfy the intent of the recommendation have been taken.
  • Closed-not implemented-While the intent of the recommendation has not been satisfied, time or circumstances have rendered the recommendation invalid.
    • Review Pending
    • Open
    • Closed - implemented
    • Closed - not implemented

    Matters for Congressional Consideration

    Matter: If Congress wants to continue to support title I objectives and devote resources to achieving them, it may want to consider refocusing the program on more specific economic and/or market development objectives by eliminating some of the multiple and competing requirements of the present framework.

    Status: Closed - Not Implemented

    Comments: Congress considered changes in the P.L. 480 Title I Program as part of its development of the 1996 Farm Bill Export Title and decided not to make changes in the program responsive to this recommendation.

    Matter: If Congress wants to continue to support title I objectives and devote resources to achieving them, it may want to consider restructuring the program to concentrate on a single objective, such as market development.

    Status: Closed - Not Implemented

    Comments: Congress considered changes in the P.L. 480 Title I Program as part of its development of the 1995 Farm Bill Export Title and decided not to make changes in the program responsive to this recommendation.

    Matter: If Congress wants to continue to support title I objectives and devote resources to achieving them, it may want to consider eliminating the program and transferring its resources to resources to existing programs with compatible purposes.

    Status: Closed - Not Implemented

    Comments: Congress considered elimination of the P.L. 480 Title I Program as part of its development of the 1996 Farm Bill Export Title, but decided to retain the program without any major changes.

    Matter: If Congress wants to continue to support title I objectives and devote resources to achieving them, it may want to consider eliminating the program and replacing it with a new program or programs unencumbered with a history of competing objectives and outdated program requirements.

    Status: Closed - Not Implemented

    Comments: Congress considered elimination of the P.L. 480 Title I Program as part of its development of the 1995 Farm Bill Export Title, but decided to retain the program.