Food aid is provided, either by intercontinental transfer from developed countries, or by purchase in the recipient country or a nearby developing country, provided there is a local or regional marketable surplus. EC Council Regulation No. 1292/96 on food aid policy and food aid management and special operations in support of food security endorses the growing practice of food aid procurement within the benefiting country or from a neighbouring country. The advantages are believed to include, inter alia, a contribution to the local or regional agricultural marketing and business systems. Hence, such procurement is expected to have development impact in the source economy.
Available literature was reviewed, and case studies to investigate development impact were undertaken in Ethiopia and Uganda, where combined local procurement of food aid grain is over 300,000 tonnes per annum. The background and objectives, research findings, and policy recommendations of the project are presented.
Policy Implications Arising from the Development Impact of Local and Regional Procurement of Food Aid, Emerging Markets Group (EMG) Ltd, London, UK, 2 pp.