USAID Funding for Pakistan Food Shortfalls

UNCLAS ISLAMABAD 002611


AIDAC

E.O. 12958: N/A
TAGS: EAID ECON PGOV PK PINR PREL PTER PREF IO

SUBJECT: USAID Funding for Pakistan Food Shortfalls


1. (U) Summary. The U.N. World Food Program (WFP) expects food
shortfalls in Pakistan in late 2009. Current donor pledges to the
WFP Emergency Operation (EMOP) will improve, but not resolve, the
food pipeline situation. USAID is providing USD 21 million in
immediate funding to WFP to prevent any possible food pipeline
breaks in the coming months.

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Food Shortfalls
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2. (U) At an October 21 donors meeting, the WFP Country
Representative for Pakistan announced that WFP faces a USD 8.5
million food shortfall in November and December 2009, even if the
organization receives all current donor pledges from the
international community. As a result, WFP has announced that the
organization is planning to reduce rations of wheat for internally
displaced person (IDP) families by half, beginning November 1.


3. (U) Pledged assistance, if received, would arrive in mid-November
at the earliest - too late to prevent the imminent food pipeline
break in November and subsequent halving of family wheat rations.
In addition, if WFP does not receive the pledged assistance, or
receives pledged funding later than expected, food shortfalls in
wheat and oil will total approximately USD 21 million for the
remainder of 2009.

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Initiatives to Prevent the Food Pipeline Break
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4. (U) WFP is working on a plan to cover the anticipated shortfalls
through borrowing commodities from the Government of Pakistan (GoP)
or other WFP non-emergency food programs, in addition to requesting
increased WFP global funding and additional assistance from
international donors. However, pledged funding must be received
before November 1 to prevent food pipeline breaks in 2009.


5. (U) WFP currently provides approximately USD 30 million in food
assistance per month to 2.4 million beneficiaries in Pakistan. At
current funding levels, food pipeline breaks are also expected in
early 2010 for wheat, pulses, oil, and salt. Even if WFP is
successful in covering the gap for November and December, WFP will
need increased donor assistance to fill the 2010 pipeline. To
ensure that WFP is able to continue providing full rations to IDP
families in the coming months, Post, in consultation with USAID's
Office of Food for Peace in Washington D.C., plans to provide WFP in
Pakistan with USD 21 million in new support. This assistance will
mitigate pipeline breaks in 2009 and contribute to WFP's 2010
pipeline. Post will continue to press donors to contribute to WFP's
EMOP and encourages WFP to seek additional collaboration and in-kind
assistance from the GOP.


6. (U) Funds for this purpose were appropriated as part of the
fiscal year (FY) 2009 Emergency Supplemental. Note: USAID/Pakistan
notified Congress of its spending plan and funds were released -
including USD 75 million for Humanitarian Assistance - at the end of
FY 2009. USAID/Pakistan has obligated all funds contained in the
Supplemental Appropriation under an agreement with the GoP. This
funding is therefore available for immediate sub-obligation to WFP.

Patterson