US denies delisting RP from food aid program

The United States Embassy belied reports that the US government has removed the Philippines from the list of beneficiaries of its food aid program.

In an interview, US Embassy charge d’ affaires Robert Fitts said yesterday that the Philippines even got an increase in the food aid this year.

Fitts was reacting to a claim by opposition Sen. Edgardo Angara that the Philippines has been taken out of the list of beneficiaries of the US food aid program under the Public Law (PL) 480 because the Arroyo administration diverted a portion of the assistance to local government units (LGUs).

"No, that’s not true... not true at all. We’ve already proposed $20 million," Fitts told reporters. "We do PL 480 in the Philippines every year. This year, we’ve earmarked $20 million, but that is subject to negotiations on the commodities and what the market says."

Fitts cited the program as valuable because it not only brings food commodities to the Philippines, but also generates revenues to be used in projects negotiated between the two governments.

He said most of the assistance package goes to Mindanao.

Under PL 480, food commodities are delivered to the beneficiary-countries. The goods are then sold to raise money to fund development projects, mostly in agriculture.

Angara said P1.5 billion of the money generated under the food assistance program was diverted instead to the LGUs.

President Arroyo said she has yet to receive a report on the supposed delisting of the Philippines from the PL 480 program, but added that she doubted the veracity of Angara’s allegation.

The President pointed out that the program was even one of the items discussed during her visit to the US in November. "To begin with, it was in our joint communiqué." — Paolo Romero