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Anti-waste effort likely to waste $489 million worth of food aid

A Monday report by USAID’s inspector general finds that “while initial guidance following the pause in foreign assistance funding provided a waiver for emergency food assistance, shipments of in-kind food assistance have been delayed around the world. USAID-funded implementers face conflicting instructions, and USAID staff express concerns about potentially circumventing the restrictions on external communications by providing clarifying guidance. According to USAID staff, this uncertainty put more than $489 million of food assistance at ports, in transit, and in warehouses at risk of spoilage, unanticipated storage needs, and diversion. As a routine matter, USAID pre-positions emergency food aid in BHA warehouses around the world, including approximately 29,000 metric tons in Houston, Texas, valued at nearly $39 million, more than 40,000 metric tons in a warehouse in Djibouti in East Africa valued at $40 million, and over 10,000 metric tons in a South African warehouse valued at $10 million. All BHA warehouses have prepositioned emergency food aid commodities supplied by US manufacturers and American farmers, as required by law.”

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