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USAID Administrator Testimony on Food Aid

Contact: U.S. Agency for International Development (USAID) Press Office, 202-712-4320; Public Information, 202-712-4810

WASHINGTON, May 16 /Standard Newswire/ -- U.S. Agency for International Development, Henrietta Fore, testified today before the Senate Foreign Relations Committee on the global food crisis. Food prices have soared in the last six months and plans are being developed to ensure that U.S. assistance will be available to those in need.

"We are in the midst of a global food crisis unlike other food crises we have faced, not caused by natural disasters, conflict or drought. It is not localized-instead it is pervasive and widespread, affecting the poor in developing countries around the world," said Administrator Fore in her opening statement to the committee.

The cause of the crisis is the rising price of food. Last year, commodity prices rose by 40 per cent. This year costs have risen over 50 per cent, causing the world's poorest two billion people severe hardship. Africa and Asia are the hardest hit. In the Western Hemisphere, Haiti is also gravely affected.

"The rapidly increasing cost of food is also weakening the ability of governments of both poor and middle-income countries to sustain growth, protect the vulnerable, or even to maintain order. Rising prices also reduce our ability to respond to emergency feeding requirements around the world through our food aid programs," said Administrator Fore.

Hardship due to price increases is made worse by natural disasters and drought. The catastrophic cyclone in Burma, hitting that country's major rice producing region in the middle of the rice harvest, is a reminder of the fragile situation we face in many countries and will certainly have implications for regional markets.

Administrator Fore explained, "Our immediate efforts will help provide stability in the short term. This will provide the foundation to achieve medium and long range goals that will help increase supply."

President Bush has requested $770 million in additional funds to enable USAID to meet ongoing emergency needs by maintaining purchasing power and to address new food needs in both rural and urban areas. An additional $225 million of International Disaster Assistance funding would support critical nutritional interventions, increased access to farm inputs and improved ability to monitor widespread vulnerability.

For more information about Administrator Fore's testimony and USAID's food aid programs, please visit www.usaid.gov.