Apr 16, 2021
WASHINGTON, DC -- Last week, the U.S. Department of Agriculture issued a tender for more than 78,000 MT of long grain rice destined for food aid projects in West Africa. Yesterday, the full amount was awarded, providing a significant boost to the southern long grain industry and a bountiful supply of nutritious U.S. rice to those in need.
The rice purchased by the U.S. Department of Agriculture (USDA) will be used in several projects through the Food for Progress program (FFPr). FFPr programs create a win/win scenario whereby U.S. agricultural producers provide significant quantities of a commodity to designated markets. The commodity, in this case rice, is then bartered with the proceeds invested in local agricultural development. The destination markets are studied in advance to ensure that the commodity sold in the local marketplace does not distort market prices and supports local industry.
In the past, USDA FFPr programs have successfully supported the development of local value chains for cashews, mangoes, and sesame. These products are then produced for export and have appeared on shelves in U.S. stores such as Costco and Walmart.
According to the USDA, Food for Progress has two principal objectives: to improve agricultural productivity and to expand trade of agricultural products. In this instance, U.S. rice will be monetized for a variety of agricultural development programs in three countries in West Africa: Mali, Burkina Faso, and Côte d’Ivoire.
“This tender marks the completion of a project that began many years ago, calling forward rice, and culminated with this significant purchase in 2021,” said Jesica Kincaid, USA Rice senior manager of international trade policy. “FFPr projects can choose to call forward any commodity that makes sense in the local marketplace. USA rice has worked to cultivate relationships with various PVOs and implementing agencies over the years to ensure that rice is always considered.”
FFPr is a critical piece of U.S. food assistance programs and has consistently utilized rice in its programming. USA Rice supports these programs and continues to emphasize the importance of them remaining fully-funded and including multiple destinations.
“The U.S. rice industry and USA Rice are very happy to see the culmination of this long-awaited tender,” said Kincaid. “ The purchase and distribution of this U.S.-grown rice will benefit many people, from the farmers and millers in the U.S., to the eventual recipients of the aid and development projects in West Africa.”