Food Aid: Humanitarian or Expert Marketing?

Shortly after the turn of the century, the developing world shifted from food independent to food dependent. In his book The Real Cost of Cheap Food, Michael Carolan argues that this shift was due to both an inability to compete in the increasingly globalized agricultural market, and strategic bestowments of food aid from developed countries. From about 1960 on, developing countries began to import wheat in greater and greater quantities at the expense of growing their own food supplies (Carolan). Why the sudden shift away from traditional crops to imported ones? For one thing, farmers in developing countries couldn’t compete with the cheap agricultural products grown in the developed world. Farmers in developed countries had the infrastructure necessary to produce mass quantities of cheap crops (Carolan). In addition to their farmers being priced out of agricultural production, developing countries were also presented with large quantities of wheat imports from the US at a subsidized rate. Faced with food shortages, developing countries accepted these subsidies and began replacing their traditional diet with more and more wheat. But, why wheat? The US had a surplus of wheat after World War II (Carolan). In order to move the stock without disrupting its market value, it was offered at a subsidized rate in the form of “food aid” (Carolan). On the surface, this seems like a charitable act. However, it also served to create a wheat dependency in the developing world. Once the supply of wheat began to dwindle, prices for the crop rose. Developing countries, now unable to produce sufficient food to feed themselves, were forced to pay up lest they go hungry. Carolan argues that food aid is a way to drum up demand for a commodity in a new market, even if that market doesn’t have much capital. Once the new market becomes dependent on that commodity, the exporting country can increase the price without the fear of losing buyers. It makes one wonder–is food aid humanitarian, or all business?

Carolan, Michael S. The Real Cost of Cheap Food. London: Earthscan, 2011. Kindle Edition.

5 thoughts on “Food Aid: Humanitarian or Expert Marketing?

  1. Jess

    Learning that food was being used in this way I began to rethink my approach to disaster related food drives as well. In retrospect, this seems naive, but I failed to consider the market manipulation that food donations create. I also did not give thought to how the food reaches the beneficiaries. The shipping costs, both actual and carbon, which are also subsidized, are disheartening. In addition to which, military accompaniment to travel through foreign waters is frequently required, another large expense. All told, the resources that were given with good intentions are tainted by the extreme length of delivery and inefficacy of resources. Now I know, the next time I donated to a cause it will be with money.

  2. robman56

    Hi Melanie,

    You’ve touched on a really sensitive topic here that encapsulates so much of what is wrong with our present day food commodity chain structure. Food aid is definitely seen by the wider public as something that is charitable, necessary, and certainly falls within the lines of the most basic of sympathy for those who are less fortunate. It is so twisted and troubling how as you said, food aid for the most part is about business, and not at all about charity or concern for others’ well being. Unfortunately, because of the way developing countries eventually become dependent on exporting countries through the food aid process, it is incredibly hard to imagine a scenario where that food aid could be perceived as coming from a place of general concern, and not just an unloading zone for overstocked commodities. Further, because there is this widespread general perception that food aid is a good thing (and in some contexts it can be), fixing the dynamics of the system itself at this point seems fruitless without realizable, actionable work at all levels of government and policy making.

    Well said!

  3. aaa11

    Unfortunately profit really is at the center of every economy whether humanitarian aid is involved or not. In social science, whenever the dynamic of dependence is created the relationship is never realistically mutual. In fact, as you have pointed out the false premise of what aid actually can entail; the movement of surplus goods to less developed economies. In the short term this might curtail hunger somewhat, but it also has an effect on local production of goods. So goes the saying “give a man a fish, he’ll eat tonight, but teach a man to fish and he’ll eat for a lifetime.” Entrepreneurs will look to create demand for supply and innocent bystanders will almost always be caught in the wake of their actions. We have seen this phenomenon of exploitation with not just food but oil extraction and labor throughout history all over the world. To really address these issue economies need to strive towards self-sustainability. I argue that this even needs to go so far as to provide the individual with the means to be self-sustainable. Based off reductionism the individual is part of the whole and if we start at the individual level only then will it be possible to correct the whole.

  4. barnold2

    Melanie,

    I really enjoyed this post, especially with the information and topics covered this week in lesson 4. To see the affects that developed countries have had in contributing the rise in poverty in Haiti is nothing short of heartbreaking. To see Bill Clinton admit to the failure of his administration and how it contributed to the state that Haiti finds itself now, even though his apology in and of itself was a political move, really got me thinking. As the US and other leaders of the free world interject in the affairs of other countries to help them develop global partners, this week’s lectures, readings and videos really brought to light how even humanitarian efforts are, at their core, self-serving.

  5. akb23

    Hi Melanie, I think that you (and Carolan) have touched upon a really important topic. I sometimes feel a sense of indignation when thinking about the amount of food thrown away in the West in comparison with the people that go hungry in less developed countries. One would think that simply donating the excess food would make the most sense. However, as you point out, this can disrupt the local economies and make one country dependent on another for something that ends up becoming a basic resource. I’m excited to learn more about food waste as the course goes on, and hopefully we can come across actual solutions that don’t end up creating more problems than there were to begin with.

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