THE U.S. GRAIN ARSENAL

Food as a weapon

Political and Economic Agenda President Hoover – used food relief to

support anticommunist forces in Eastern Europe.

President Carter – boycotted grain against Soviet Union after their involvement in Afghanistan.

Post WWII – U.S. gave food aid to Italy and France to suppress lingering socialist sympathizers.

Public Law 480

Pl 480 originated in 1954 as a means to open new foreign markets for our agricultural goods.

Also provided us a tool to control the value of our agricultural commodities. We dump excess food on foreign markets.

$30 billion worth of agr. commodities in last 25 years.

Types

Title 1 – Offer low interest loans to food-deficient countries so they can pay us back in the purchase of U.S. food stocks. Create dependency.

Title 2 – Charity donations of food aid to “friendly” countries for emergency and non-emergencies. Creates dependency.

Title 3 – Like title 1, but loans are eligible to be forgiven. Creates dependency.

Examples

Bangladesh – since 1974, 90% of all aid has been title 1. Although their government subsidizes the price, more than 90% of the food goes to the middle class. Advantages the more wealthy and disadvantages the poor.

South Korea – in 1975, $6 billion of the proceeds from the sale of title 1 credit went to their military budget.

Cooley Program

Established in 1971, it further advantaged U.S. farmers and agricultural corporations by giving funds in local currencies instead of U.S. dollars.

This prevents the depreciation of the dollar.

Food Colonialism

In many cases, title 1 credit has only been awarded after formal agreements to increase purchases from the U.S.

Have assisted countries in transitioning into wheat and grain dependency and developing businesses that require U.S. imports such as local livestock.

EAT AMERICAN! Dependency on U.S. imports has

strategically been implemented to increase our global political leverage.

Chile

1970 – Socialist government under president Salvador Allende took power.

White house, CIA, and TNCs, collectively suspended all title 1 credits to Chile under their common political and economic agenda.

Food security at risk due to dependency on food aid loans.

U.S. also denied the sale of food of cash.

Chile Continued.

1973 – The socialist Allende government was successfully overthrown by a local military coup supported by the United States.

U.S. supported the new government with $52 million in title 1 credits.

This made up 84% of all loans to S. America. U.S. supported a military dictatorship to

strengthen its own political and economic power.

Chile Aftermath

Chile became the world’s 9th largest purchaser of U.S. arms.

30% unemployment. Inflation up 600%. Infant morality up 18%. 80% of an average citizen’s income went

towards food. Average caloric deficiency of 40%.

Changes in PL 480

1975 – Congress stated that ¾ of title 1 credits must be given to “poor” countries. (countries with per capital GNP of $300 or less)

83% of non-food aid given out to countries above “poor” line

Poverty line was changed to $520 so the U.S. could continue to lend to ally countries and new countries with economic potential in industries such as oil.

Conclusion

The United States has and is continuing to use food as a means to gain global political and economical leverage.

Humanitarianism and peace have been used to cover up and justify this selfish agenda.

Our history of international food aid demonstrates this with the many instances in which the U.S. has disregarded democratic and poor populations in favor dictatorships and militaristic goverments.