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Europe Daily Bulletin No. 9892
Contents Publication in full By article 12 / 35
GENERAL NEWS / (eu) eu/development

€394 from food facility

Brussels, 29/04/2009 (Agence Europe) - On Wednesday 29 April, the European Commission adopted a €394 million package of projects to support agriculture and improve the food security situation in developing countries. This is the second financing decision in the framework of the € 1 billion Food Facility which was adopted at the end of last year as a response to the growing food security problems in many developing countries. On 30 March, the Commission made its first financing decision in the framework of the Food Facility, for the funding of projects of a total value of €314 million in 23 (different) developing countries in Africa, Asia and Latin America. There is still a remaining €708 million from the food facility for other projects. Louis Michel, the commissioner responsible for development and humanitarian aid, explained that in these tough global economic times, agriculture can provide good growth potential in developing nations and be one source of their economic recovery, “that's why Europe's support to this sector is so vital". Addressing the period in-between emergency aid and medium- to long-term development cooperation, the Food Facility will operate for a period of 3 years (2009-2011). Three types of activity will be supported: measures to improve access to agricultural inputs like fertilizers and seeds, and services like vets and advisors; other small-scale measures aiming at increasing agricultural production like microcredit, rural infrastructure, training and support to professional groups in the agricultural sector; and safety net measures, allowing for social transfers to vulnerable population groups, often in the form of labour-intensive public works (roads, irrigation projects etc).

The decision adopted by the Commission provides support of a value of €194 million to projects and programmes in 23 developing countries: Benin, Bolivia, Burundi, Cambodia, Guatemala, Jamaica, Kenya, Kyrgyz Republic, Laos, Lesotho, Madagascar, Mozambique, Nepal, Nicaragua, Niger, Palestinian Territories, Philippines, Senegal, Somalia, Sri Lanka, Togo, Yemen and Zambia. Five of these countries - Kenya, Burundi, Palestine, Philippines, Mozambique - are also covered under the first financial decision. Funding will be channelled through International Organisations: the UN Food and Agriculture Organisation (FAO), the International Fund for Agricultural Development (IFAD), the World Food Programme (WFP), the World Bank, UNICEF and specialised agencies like the International Bureau for Animal resources (IBAR, for livestock in Somalia) and UNRWA (in Palestinian Territories).

A second part of the overall €394 package - amounting to €200 million - will be channelled through non-state actors, like NGOs and the private sector. In May, the Commission will officially invite them to submit funding proposals for projects. 35 developing countries are eligible for projects under this scheme. (L.C./transl.rh)

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