US Public Law 480 Program

US PL 480 refers to Public Law 480 of

the United States, which is also known as the
Agricultural Trade Development and Assistance
Act. This was enacted in 1954 in line with the US
Policy of using its agricultural productivity to
enhance the food security of developing countries
and the determination of the importing country's
capacity (Philippines) of improving its food
security.
Link to SPECIAL PROJECTS
DIVISION

PL 480 consists of three food aid titles:

Title I. Of this law provides for
government-to-government sale on credit of US
commodities under long-term, concessional
arrangement. This was amended later to include
commodity sale to private entities. Payment of the
commodities is expected over 30 years with a
grace period of seven years. Beneficiaries of the
program are developing countries that find it
difficult to provide for the food needs of its
citizens through commercial sources because of
foreign exchange problems.

Title II. Involves donations to governments, through public or private agencies, to meet
humanitarian food needs of recepient governments.
Title III. Involves government-to-government grants aimed at supporting economic
development needs of least developed countries.
The US Department of Agriculture (USDA) administers Title I while the US Agency for
International Development (USAID) administers Title II and Title III
Under Title I, the US Agriculture Secretary determines the value allocated to partnercountries of the US, and with the recepient government, the commodity involved.lThe
Philippines has time and again been a recepient of the US PL 480 Title I Program. Recent
Philippine availments of the US PL 480 Program were made under Title I and were managed by
the Department of Agriculture (DA), through the National Agricultural and Fishery Council
(NAFC).
Under the Program, the Philippines has received commodity loans from 1991-1994 and
1998-2000. Soybean meal was the sole commodity requested until 1998. It has expanded to
include sorghum and rice in 1999.
The year, commodities and amount involved and specific purpose of the yearly tranche are
as follows:
Year

Amount
($ 'M)

Commodities

Specific Purpose

1991

15

Soybean meal

National budget support

1992

20

Soybean meal

National budget support

1993

20

Soybean meal

For Medium-Term Livestock

Development Program

1994

15

Soybean meal

For Medium-Term Livestock

Development Program

1998

10

Soybean meal

For agricultural programs

and projects

1999

30

Soybean meal,
sorghum and rice

For agricultural programs under

the 10-point Agenda in Agriculture
and Fisheries

2000

40

Soybean meal
and rice

For agriculture and fisheries

modernization programs

2001

40

Soybean meal, corn

rice and feed peas

For agriculture and fisheries

modernization programs

Total

190