Public Law 480, Title I
Food for Peace Act (FPA) was formerly referred to as Public Law 480 or P.L.
480. FPA has three titles, and each title has a specific objective and
provides assistance to countries at a particular level of economic
development. Title I is administered by USDA, and Titles II and III are
FPA, Title I–Trade and Development Assistance,
provides for government-to-government sales of U.S. agricultural commodities
to developing countries on credit or grant terms. Agreements under the Title
I credit program may provide for repayment terms of up to 30 years with a
grace period of up to 5 years. The authority also allows for grant programs,
which have outnumbered loans in recent years. Depending on the agreement,
commodities provided under the program may be sold in the recipient country
and the proceeds used to support agricultural, economic, or infrastructure
Since fiscal year 2006, new funding has not been requested
because demand for food assistance using credit financing has fallen or grant
programs have been a more appropriate tool.
FPA, Title II–Emergency and Private Assistance,
provides for the donation of U.S. agricultural commodities to meet emergency and
nonemergency food needs in other countries, including support for food security
Agricultural commodities donated by the U.S. government to meet
emergency needs are traditionally provided through the WFP or PVOs, though they
may also be provided under government-to-government agreements. Nonemergency
assistance may only be provided through PVOs, cooperatives, and
intergovernmental organizations. Title II is administered by
FPA, Title III–Food
for Development, provides for government-to-government grants to support
long-term growth in the least developed countries. Donated commodities are sold
in the recipient country, and the revenue generated is used to support economic
development programs. In recent years, this title has been inactive.
480 Title I Resources
Questions or comments can be directed to the
Division at 202-720-4221
or via e-mail at PPDED@fas.usda.gov.