An online review of Foreign Agricultural Service initiatives and services

Progress in Peru Through P.L. 480, Title I

June 2007
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By April LaCroix

Fruit fly project in Huara Sayan, Peru Photos courtesy of Special Unit P.L. 480, Peru’s Ministry of Economy and Finance

In an Andean valley just north of Lima, Peru, farmers are trained and equipped to eradicate the destructive fruit fly from their fields. The pest previously inflicted losses of $1.5 million annually in the Huaura Sayan Valley. The situation was bleak until assistance came from a program financed by Title I of Public Law 480 (P.L. 480, also known as Food for Peace) through the Office of Agricultural Affairs in Lima of FAS (the Foreign Agricultural Service). In the year after the completion of the project, the farmers’ income has grown by 59 percent, and their profits have grown by 45 percent.

Fruit fly monitoring system in Huara Sayan, Peru

This is but one of the many successful projects financed by P.L. 480, Title I, that have improved the lives of Peruvians and paved the way for economic growth. Over the past 40 years, P.L. 480 programs funded through Title I and Title II (the latter administered by the U.S. Agency for International Development) have provided over $1 billion in assistance to Peru.

Title I funds are generated by the sale of U.S. agricultural commodities to Peru on concessional credit terms, and are invested in development projects to improve s agriculture, health, and transportation. Since 2000, investments under P.L. 480, Title I agreements totaled over $42 million. The funds are administered through Peru’s Ministry of Economy and Finance, which evaluates proposals, makes recommendations, and oversees the projects.

The projects included such diverse activities as reforestation, capacity building, gene technology, pediatric care, health centers, roads, and bridges. The following examples demonstrate the breadth and impact of P.L. 480 Title I projects in Peru.

Municipal road building in San Marcos-Alto, Peru

Connecting Communities to Opportunities
Rivers flooded and destroyed roads, agriculture, irrigation infrastructure, and much more in the San Martin region of Peru. With roads destroyed, many villages were left isolated – unable to participate in the local economy or in coffee and cattle operations. Using P.L. 480 funds, a road was restored; consequently, transportation in the area has become more efficient, reducing costs associated with trade within the region and with external markets.

Protecting Genetic Heritage
INIA, Peru’s National Institution of Agricultural Research and Extension, is responsible for studying, managing, and safeguarding Peru’s agricultural biodiversity.

For several decades, its efforts were hampered by insufficient funding. By 2003, laboratories and gene banks were in an advanced state of disrepair, and some were unable to function.

That year, P.L. 480 funds provided INIA with the infrastructure and equipment necessary to comply with standards set by the Food and Agriculture Organization of the United Nations and Biodiversity International. INIA now manages a coordinated network of national germplasm banks with 30 well-documented collections, where 12,287 specimens of 225 species of crops, including indigenous potatoes and corn, and their wild relatives reside. INIA can now work effectively to preserve Peru’s crop genetic diversity.

Providing Essential Health Care
Prior to the construction of a health center in Tupala, the closest medical care for this community in the mountains near Lake Titicaca was 42 kilometers away. Residents had to travel over an hour and fifteen minutes on poor roads with minimal public transportation to receive medical care.

Projects in Peru made possible by P.L. 480, Title I

Now the Tupala Health Center provides care for 380 families (approximately 1,900 people) in the community, including emergency medical treatment. In addition, the educational component of the project has improved the health and domestic hygiene of Tupala families.

Creating Leaders in Agriculture
MESA (the Multinational Exchange for Sustainable Agriculture) organizes ecological farmer-to-farmer exchanges between Peru and the United States. The program promotes training and cross-cultural opportunities for agriculturists who then share new insights and skills with their home communities.

Participants receive training in the United States on diverse agricultural operations, such as farms producing vegetables, fruits, organic milk, gourmet cheeses; sustainable cattle ranches; and vineyards. In 2005, P.L. 480 helped support 10 interns in the Peruvian MESA program. In 2006, based on the program’s success, twice as many interns received training. This year, 27 interns, including 6 women, from 20 regions of Peru will be stationed in 14 U.S. states.

April LaCroix was an intern with the FAS Office of Agricultural Affairs in Lima, Peru. E-mail: aglima@usda.gov