Briefing on Purchase for Progress April 2008 Kansas City United Nations World Food Programme

This presentation will cover: Global Food Procurement Background   Key figures/trends Purchase For Progress   Concept and Challenges

Food Procurement Mission statement: “ to provide acceptable food to beneficiaries in a timely and cost efficient manner”.

Maize Sorghum Wheat Mung Beans Soybeans Black Beans KEY FIGURES Total Purchases US$ 767 million 2.1 million mt 2007

2003 includes 518,000 mt worth US$ 182 million for Iraq 2004 includes 1,562,000 mt worth US$ 540 million for Iraq Food Procurement Trends million mt US$ million 2007

Where did we purchase in 2007? North America 206,857 mt 68million US$ Latin America 135,316 mt 111million US$ Europe 167,399 mt 72million US$ Asia 667,961 mt 262million US$ Oceania 22 mt 9,000 US$ Africa 902,297 mt 253million US$ 82 Countries: 69 Developing 13 Developed UN World Food Programme, Food Procurement Service

Purchase for Progress Context Changing global environment Changing global environment Part of a range of tools to enable hunger solutions Part of a range of tools to enable hunger solutions Focus on low-income farmers and communities Focus on low-income farmers and communities Concept widely supported Concept widely supported

What is Purchase for Progress? A CONCEPT AN OPPORTUNITY A PLAN

Objectives With a particular focus on low-income and small- holder farmers, Purchase for Progress aims to: Identify and share best practices for WFP, NGOs, governments and agricultural market stakeholders to increase profitable engagement in markets Identify and share best practices for WFP, NGOs, governments and agricultural market stakeholders to increase profitable engagement in markets Increase capacities in order to raise income from agricultural markets Increase capacities in order to raise income from agricultural markets Increase farmers’ sales to WFP Increase farmers’ sales to WFP Transform WFP food purchase programmes Transform WFP food purchase programmes

Activities 1. Competitive tendering practices 2. Purchasing directly 3. Contracting for risk reduction 4. Processing options Cross-cutting activities are: Partnerships & Training, Monitoring & Evaluation Policy Advice & Advocacy

UN Agencies & The World Bank NGOs Regional Organisations Bilateral Partners Donors Research Institutions National Governments Traders & Processors Farmers & Communities

Why WFP? Relatively stable demand Experience Operational capacity

Challenges Inputs and finance Infrastructure Quality Prices Contract defaults

Monitoring Business-as-usual Pilot activities Food security, market and policy analysis System design Indicators against baseline: real- time, mid- and end-term evaluations

Innovations to connect low- income and small-scale farmers to markets