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600 400- The Relationship MILLIONS OF BUSHELS to Other Exporting Countries Wheat U U.S. Government Programs ,'0. -:,,," -%%Can da ,~ Canada, _ -!A . t * 200 - . .- U.S. Commercial 0 •I I ii . A ustra l i a 0and •",hen Argentina FY'54 5 FY'4 '56 '58 '60 '62 '64 tation charges equivalent to the foreign-flag rate. For shipments required to be made in U.S.-flag vessels under agreenents signed oil or afterJanuary 1, 1965, the foreign countries finance in dollars the freight costs equivalent to the foreign-flag rate. Since the beginning of the program, the export market value of all commnodities is estimiated to be $10.5 billion, which is $3.9 billion less thai the estimated cost to CCC. The actual cost of financing title I exports fron July 1, 1954, through )ecember 31, 1965, wvas $14.3 billion- $13.1 billion program costs, $972 million ocean transportation costs (including $460 million ocean freig' t differential), and $247 nillion interest costs. Through December 31, 1965, CCC has been reimbursed by appropriations in the aioulnt of $12.9 billion. Additional re- imbursements through the sale of foreign currencies used by other government agencies and foreign currencies used for housing projects under Public Law 161 totaled $1.3 billion and $86 million, respectively. _ Use and Administration of Foreign Currencies Title I sales agreements include the terns for the deposit and use of foreign currency. Section 104 of Public Law 480 provides a vicle variety of uses. (See table VI.) Each agreement specifies the percentages of the total proceeds to be used for grants and loans to the purchasing government under sections 104 (c), (e), and (g), and for loans to private business firms under section 104(e). The percentage for U.S. uses authorized by section 104 of the Act is shown as a combined total. As shipments are made, the recipient government deposits to the account of the U.S. Disbursing Officer an aiount of its own currency equivalent to the dollar amount due. The Treasury 1)epartilent establishes anl adininisters regulations concerning the deposit, custody, sale of the currencies. Title I sales proceeds earmarked for U.S. uses are generally available to U.S. Government agencies only their use is charged to regular agency appropria tions. These currencies are used for the payment of U.S. Government obligations overseas, for acconimiodation exchange sales for dollars to U.S. Government personnel, and, where possible, for sale to U.S. citizens The Relationship to Other 600 400 I Exporting Countries MILLION POUNDS DAIRY PRODUCTS: Butter-Cheese-Non-fat dry milk U.S. Government Programs I *",.~New Zealand' "1 .+ Ne' Zeaand i of Denmark I , Nha 20 " 20I t Asrla .. U.S. Commercial mfft0 __1 cY '54 '56 ._ . Autaia 00 '58 '60 '62 '64 '65 - 25
TABLE VI.-Agencles responsible for administering the expenditure of foreign currencies under Public Law 480 Authority Currency use Responsible agency I Sec. 104: (a)--------- Agricultural market development ------------------ Department of Agriculture. (b)--------- Supplemental stockpile-------------------------- Office of Emergency Planning. (c)--------- Common defense------------------------------- Departments of Defense and State (AID). (d)-------- Purchase of goods for other countries -------------- Department of State (AID). (e)--------- Grants for economic development -------------------- Do. (e) --------- Loans to private enterprise------------------------- Do. (f)--------- Payment of U.S. obligations--------------------- Any authorized U.S. Government agency. (g)--------- Loans to foreign governments --------------------- Department of State (AID). (h)-------- International educational exchange----------------- Department of State. (i)------- Translation of books and periodicals---------------- U.S. Information Agency. (j) ------- Arn-rican-sponsored schools and centers------------ Department of State and U.S. Information Agency. (k)-------- Scientific, medical, cultural, and educational activities- National Science Foundation, Department of State, Smithsonian Institution, and other appropriate agencies. (I)--------- Buildings for U.S. Government use----------------- Department of State. (m)-------- Trade fairs -------------------------------------- U.S. Information Agency. (n)-------- Acquisition, indexing, and dissemination of foreign Library of Congress. publications. (o)--------- American educational institutions------------------ Department of State. (p)--------- Workshops and chairs in American studies----------- Do. (q)--------- Purchase of nonfood items for emergency uses -------- )epartment of State (AID). (r)--------- Audio-visual materials --------------------------- Department of State and U.S. In'ormation Agency, (s)--------- Sales for dollars to U.S. tourists------------------- Treasury Department. t)------- Sales for dollars to U.S. citizens for travel and other Do. purposes. I Assigned by Executive order. for travel and other purposes. The dollars received are credited to the Commodity Credit Corporation. In countries where the supply of currencies is in excess of requirements for the payment of normal expenses, "U.S. use" proceeds are available for use under both regular appropriations and appropriations for "Special Foreign Cu-rrency Programs" for purposes authorized by sections 104 (a), (b), (d), (f), and (h) through (r) of Public Lav 480 and by other lavs. In addition, sales of currencies to U.S. citizens for travel or other purposes may be undertaken under sections 104 (s) and (t). The Treasury Department has determined that U.S. holdings of the currencies of Burma, Ceylon, Guinea, India, Israel, Pakistan, Poland, Tunisia, the United Arab Republic, and Yugoslavia are in excess of foreseeable U.S. requirements for the fiscal year 1966. Agencies desiring to use currencies for special foreign currency programs (which may cover activities of lower priority than regular appropriations) include estimates in their budget submissions to the Bureau of the Budget. 26 Budget recommendations arc prescnted to the Congress , for appropriation. On completion of congressional action, each agency informs the Treasury Department of the foreign currencies it plans to use under these appropriations. The Treasury Department provides the foreign currencies Mhen needed, the appropriation is charged with the dollar value, and the dollar proceeds of the transaction are credited to the Commodity Credit Corporation. Executive Order No. 11036, dated July I1, 1962, providLs in part that "foreign currencies which accrue under title I of the Act may be used for the purpose set forth in section 104 of the Act in amounts consonant with applicable provisions of law and of sales agreements and loan agreements. Except as may be inconsistent with such law or agreement, priority shall be accorded to the sale of such currencies to appropriations or to their sale otherwvise for dollars." Loans and grants to the purchasing country committed in the sales agrcement under sections 104(c) and (g) of
Page 1 and 2: owl. ------------ FOOD FOR PEACE 19
Page 3 and 4: This is a world problem. The stakes
Page 5 and 6: THE ANNUAL REPORT OF THE PRESIDENT
Page 7 and 8: 6 CON TENTS-Continued Purchase of g
Page 9 and 10: AGRICULTURAL TRADE DEVELOPMENT AND
Page 12 and 13: SUMMARY AND HIGHLIGHTS Increasing n
Page 14 and 15: TABLE I.-Authorizations: Titles I a
Page 16 and 17: A A " 9 I -4C tf
Page 18 and 19: ecipient governments can apply to e
Page 20 and 21: TABLE Ill.-Major commodity exports
Page 22 and 23: TITLE I SALES FOR FOREIGN CURRENCY
Page 24 and 25: 100 80 Shipments-by Commodity S..-W
Page 28 and 29: the Act (country uses) are availabl
Page 30 and 31: TABLE VII.-Status of foreign curren
Page 32 and 33: Status and Uses of Foreign Currency
Page 34 and 35: U.S. strawberriesscore a hit in Eur
Page 36 and 37: A British housewife samples America
Page 38 and 39: Utilization Research Awards of gran
Page 40 and 41: date, and ao budget requests have b
Page 42 and 43: Cooley loans of localcurrencies -.
Page 44 and 45: U.S. Information Agency Programs Si
Page 46 and 47: "Electricity in the Home, on the I'
Page 48 and 49: To assist in correcting inadequacie
Page 50 and 51: TABLE XV.-Loans for economic develo
Page 52 and 53: TABLE XV.-Programs administered by
Page 54 and 55: vided international travel for Amer
Page 56 and 57: During the reporting period the equ
Page 58 and 59: hybrid material resistant to diseas
Page 60 and 61: esearch, to conduct or attend semin
Page 62 and 63: translation of educational material
Page 64 and 65: India. Activities include the prepa
Page 66 and 67: (5-324 0 ----- In 1965for the first
Page 68 and 69: TABLE XXVI.-U.S. Government buildin
Page 70 and 71: Israel ($18,0OO).-New York Universi
Page 72 and 73: FOREIGN DONATIONS PROGRAMS American
Page 74 and 75: Dike construction in Korea. Self-he
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(A I El Salvador-Earthquake relief.
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- Voluntary organization works prog
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'a Hog & feed grain production-Chej
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British Guiana-School feeding, mate
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World Food Program The World Food P
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Cambodia-Employing 3,000 workers --
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00 Indonesia-Rehabilitation after v
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Sudan-Afforestation-Bahr El Ghazal
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Zambia-Training and maintenance of
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FOREIGN DONATIONS PROGRAMS These em
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During 1965, 2.4 billion pounds of
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normally approved by a prompt cable
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A ,A These Chilean students are amo
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At a refugee camp inSouth Vietnam,
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to 18.9 million in the previous yea
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BARTER OPERATIONS emergency stockpi
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TABLE XXXV.-Value of materials, equ
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TITLE IV LONG-TERM DOLLAR CREDIT SA
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a solid food and agriculture base f
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Countries buying commodities fff ti
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116 TITLE II.-FOREIGN DONATIONS Pur
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Summary of 1965 Amendments Affectin
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TABLE 2.-Public Law 480 exports, qu
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.. TABLE 4.-Dollar value of commodi
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TABLE 4.-Dollar value of commoditie
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TABLE 5.-Dollar value of commoditie
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SBarley............................
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TABLE 7.-Approximate quantities of
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oBarley. C ri . Total..............
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TABLE 10.--Uses of foreign currency
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TABLE 11.-Uses of foreign currency
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TABLE 13.-Status of foreign currenc
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TABLE 15.-Title I, Public Law 480,
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TABLE 16.-Title II, Public Law 480,
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TABLE 24.-Title III, Public Law 480
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Area and country TABLE 24.-Title II
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TABLE 25.-Title III, value of mater
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TABLE 26.-Title 1l1,materials, equi
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TABLE 26.-Title III, materials, equ
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TABLE 27.-Title III, value of agric
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TABLE 29.-Dollar value of commoditi
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TABLE 3 3.-Approximate quantities o
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TABLE 3 4 .- Approximate quantities
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TABLE 36.-Title IV, Public Law 480,
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