Would you turn down $45 mil if you knew it was hurting the poor?
CARE, the well-known and respected development organization, says, "You betcha." CARE made international headlines last week when they chose to reject a form of US food aid commonly known as monetization. The NY Times took a stab and explaining the way this type of food aid works:
Under the system, the United States government buys the goods from American agribusinesses, ships them overseas, mostly on American-flagged carriers, and then donates them to the aid groups as an indirect form of financing. The groups sell the products on the market in poor countries and use the money to finance their antipoverty programs. It amounts to about $180 million a year.
Experts agree that this type of food aid undermines local producers and its not an efficient use of resources. We applaud CARE for their bold decision! We can also act boldly by advocating for fairness in our food aid policy under the 2007 farm bill. Instead of using food that is shipped directly from the US to feed people in emergency situation, we believe there should be flexibility to use cash purchases to buy food directly from local and regional producers. In fact, the Bush Administration supports this change and asked for 25% of food aid resources to be available for this purpose in the 2007 farm bill. Let's hope that the Senate adopts this important reform when they consider the bill in a few weeks.
Read more about CARE's decision here.
TrackBack URL for this entry:
Listed below are links to weblogs that reference Would you turn down $45 mil if you knew it was hurting the poor?: