US / Agriculture

ODA Spending

How much ODA does the US allocate to agriculture?

The US was the third-largest DAC donor to agriculture in 2021.

The US’ prioritization of agriculture within its broader development program in 2021 (2% of total ODA) was much lower than the 6% average for DAC donors in that year, making it last among DAC donors, in relative terms. Supporting global food security, however, has become an important priority for the US.

How is US agricultural ODA changing?

Relative funding to agriculture ODA has been declining since 2017, with a shift from 5% of total ODA in 2017 to 2% of total ODA in 2021.

How does the US allocate agricultural ODA?

Bilateral Spending

In 2021, the US disbursed US$988 million to agriculture bilaterally, including US$139 million in earmarked funding through multilaterals, which was significantly less than the 2017 peak of US$1.4 billion. The top investment area in 2021 was ‘agricultural policy and administrative management,’ which received US$751 million, or 76% of US bilateral agriculture ODA. This area has seen significant growth in the last five years, increasing steadily since 2017 (US$321 million). The 2^nd-largest area of investment was ‘agricultural alternative development’ with US$110 million, or 11% of bilateral ODA to agriculture, which has fluctuated over the past five years. This project area includes operations to reduce illicit drug cultivation through other agricultural marketing and production opportunities, in line with the US’ overall policy focus on national security concerns within all ODA sectors. The 3^rd-largest area was ‘agricultural development’ with US$76 million, or 8% of bilateral ODA to agriculture, which has seen a clear decline since a peak of US$764 million in 2017.

Multilateral Spending and Commitments

The US provided US$164 million, or 14%, of its total agricultural ODA in the form of core contributions to multilateral organizations in 2021 ( DAC average: 49%). This low share was mainly due to the US’ large bilateral portfolio in agriculture and food security. Top recipients included the World Bank’s IDA (7% of total agriculture ODA) and the FAO (4%).

The table below summarizes the US’ more recent commitments to multilaterals working on agricultural development. Some of these commitments are considered core funding to multilaterals while others will be earmarked funding through multilaterals from the US.

Funding & Policy Outlook

What is the current government's outlook on agricultural ODA?

US food security efforts encompass food assistance, agricultural and rural economic development, and nutrition: The focus on food security is reflected in USAID’s JSP FY2012- FY2026, which cites the US Global Food Security Strategy 2022-2026 as an instrument to implement its overall strategic objectives. A critical part of these efforts are food assistance initiatives including in-kind food transfers and cash-based programs that provide means to acquire food. These functions, now part of Feed the Future, are authorized through 1) the Food for Peace Act, 2) the Food for Progress Act, 3) the McGovern-Dole Program, and 4) the Emergency Food Security Program. There were slight increases in the FY2023 budgets for the Food for Peace Act (US$1.8 billion) and the McGovern-Dole Program (US$243 million). IFAD remained consistent in FY2023 at US$43 million . The Biden Administration has indicated that it views agricultural development as key to relieving global hunger, a problem exacerbated by the COVID-19 pandemic and the Russian war in Ukraine. The FY2024 Biden budget contains US$1.2 billion for food security and agricultural programs.

The US’ largest bilateral agriculture initiative is Feed the Future: Feed the Future is led by USAID, in cooperation with the US Office of Agricultural Policy and the Office of Global Food Security, and focuses on 1) improving agricultural production and markets and creating new opportunities for security and prosperity; 2) strengthening community resilience; 3) reducing hunger and improving nutrition, especially among mothers and children; and 4) increasing the exchange of ideas, technologies, and products. It places a special emphasis on smallholder farmers, especially women, the extreme poor, youth, other marginalized communities, and SMEs. In 2022, Congress passed the reauthorization of the Global Food Security Act, which provides authorization for US global food programs for another 5 years.

Key bodies