20 August 2003

U.S. Donates 50,000 Metric Tons of Wheat to Georgia, August 19, 2003

(USDA's Veneman, Georgia's Kirvalidze sign agreement)

The United States is providing 50,000 metric tons of hard red winter wheat to augment supplies of that commodity in the Republic of Georgia.

The U.S. Department of Agriculture (USDA) says the Georgian government will sell the donated wheat to local companies that make bread and other wheat-based products. Proceeds from these sales will be used for various agricultural endeavors including market development, credit programs, and the establishment of food safety regulations.

The shipments are expected to arrive in Georgia in October.

Following is a USDA press release:
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U.S. Department of Agriculture
Washington, D.C.
www.usda.gov

VENEMAN SIGNS DONATION AGREEMENT FOR U.S. WHEAT TO GEORGIA

WASHINGTON, Aug. 19, 2003 - U.S. Agriculture Secretary Ann M. Veneman and Georgian Minister of Agriculture and Food David Kirvalidze today signed a donation agreement for 50,000 metric tons of U.S. hard red winter wheat. Georgia borders the Black Sea between Turkey and Russia.

"This donation of U.S. wheat helps meet the needs of Georgia's people at a time of reduced regional supplies, while also supporting that government's commitment to more market-oriented agricultural and economic development," Veneman said. "We are pleased that we can offer this assistance to Georgia."

Agriculture Secretary Ann M. Veneman and Georgian Minister of Agriculture and Food David Kirvalidze signed a donation agreement for 50,000 metric tons of U.S. hard red winter wheat.

The U.S. wheat donated to the government of Georgia will be sold locally to meet urgent needs in the marketplace. The wheat will be used by flourmills, bakeries and other firms to increase local supplies of bread and other wheat-based products. Georgia is a net importer of wheat. The donated wheat is expected to depart U.S. ports next month for October delivery.

Proceeds from the wheat sales will be used by the government of Georgia for projects in areas such as private agribusiness and market development, credit programs, water use, animal husbandry, rural extension, and the development and enforcement of food safety policies.

The signing of the agreement followed a meeting between Veneman and Kirvalidze. In June of this year, Kirvalidze participated as a speaker in the Ministerial Conference on Agricultural Science and Technology hosted by USDA in Sacramento.

The donation will be made under USDA's Food for Progress program, administered by the Foreign Agricultural Service. The Food for Progress program provides for USDA donations of agricultural commodities to needy countries to encourage economic or agricultural reforms that foster free enterprise. For more information about this program, visit http://www.fas.usda.gov.

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