foreign donations programs - PDF, 101 mb - usaid

Countries buying commodities fff
title IV dollar credits had repaid
the U.S. $34.6 million through
1965. The local currencies which
countriesacquire when they sell
title IVfood andfiber to their own
citizens is usedfor economic development
projects agreeableto the
U.S.-such as this grainelevator in
the Ryukyu Islands.
1956 RECIPIENTS: Ten Years Later
From the beginning of Public Law 480 through
December 31, 1965, 506 sales agreements have been
signed with 60 countries. Under sales and donation
programs combined, 150 million tons of farm commodities,
having a total export market value of $14.6
billion, have been supplied to over six score countries,
The first complete fiscal year cf Public Law 480
operations was fiscal year 1956. By the end of that
fiscal year, title I sales programs were underway with 27
countries. In seeking ways to measure the effectiveness
of Public Law 480, the Agriculture Trade Development
and Assistance Act, one yardstick is the degree to which
commercial marketing has replaced concessional imports.
Even restricting consideration to imports from the
United States, it is interesting to review the current
picture of those countries who were recipients in 1956.
Fourteen of the 27 countries were no longer receiving
title I food aid in 1965 (see Table XXXVIII). All but
two were receiving virtually 100 percent of their agricultural
imports from the United States on full coinmercial
terms. Together, these 14 had tripled their
combined commercial purchases of U.S. food and fiber,
In 1956, seven of these countries purchased 50 percent
or more of their U.S. agricultural imports on a coinmercial
sales basis. In 1963, eleven of them did.
Some among this group of 14 had become food aid donor
nations.
Even if one excludes France, Germany, and the United
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Kingdom, who in 1956 were at the end of U.S. supported
postwar reconstruction, and whose current commercial
purchases are very large, the remaining countries bought
commercially almost $1.2 billion in U.S. agricultural
products in 1965. This was over four times their
commercial purchases in 1956.
The remaining 13 of the original 27 recipients were still
receiving title I food aid a decade later (see Table
XXXIX). Nevertheless, their combined commercial
purchases from the Uiited States had more than doubled
during the period, rising from $79 million in 1956 to
$168 million in 1965. Of these 13, three countries had
made the transition to title IV purchases for dollars by
December 31, 1965, and were still receiving title I shipments
only as a result of agreements signed prior to 1965;
an additional four countries will begin to buy under
title IV during 1966.
A wide range of problems confronts that group of
countries still buying U.S. farm commodities under title
I. Some are making encouraging, even surprising progress.
Others have not yet mastered basic problems of
capital formation, manpower training, and agricultural
technology. Many still face difficulties in breaking away
from antiquated systems of cultivation, land tenure, and
marketing. Some are under relentless pressure from
population increases.
Despite these and other difficulties, most of the continuing
title I recipients have succeeded in expanding
food production fast enough to keep pace with population
growth.
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