Food for Peace, Now Administered by USDA
All Food for Peace authorities transferred from USAID to USDA effective January 1, 2026. At least 50% of funding must be used for U.S. agricultural commodities and U.S.-flagged ocean transportation. New $200M annual minimum for ready-to-use therapeutic foods.
What it does
Food for Peace (FFP) is the United States’ largest international food aid program, established by Public Law 480 in 1954. It provides:
- FFP Title II: emergency food aid and nonemergency development food assistance
- FFP Title III: least-developed country economic development through donated commodities (limited use in recent years)
For decades, USAID administered FFP while USDA managed parallel international food aid programs (Food for Progress, McGovern-Dole, Section 416(b)).
What changed in the Farm Bill 2.0
1. Transfer to USDA
All FFP authorities are transferred from USAID to USDA, effective January 1, 2026. This includes:
- Asset management
- Contracting and grants
- Regulatory authority
- Program administration
References to USAID in related laws are deemed transferred. USDA must promulgate updated regulations.
This isn’t just administrative, it reflects a major policy shift in how the U.S. delivers international food aid.
2. 50% U.S. commodity floor
At least 50% of funds made available to USDA under FFP Title II must be used to procure U.S. agricultural commodities and provide their ocean transportation.
This reverses USAID’s gradual shift toward local and regional procurement (LRP) and cash transfers, which had been promoted as more efficient and beneficial to recipient country economies.
3. New ready-to-use therapeutic food minimum
When global child wasting rates exceed 5% AND Title II funding exceeds $1.2 billion, at least $200 million annually must be used for procurement of ready-to-use therapeutic foods (RUTF).
4. Other extensions
- Farmer-to-Farmer Program reauthorized through FY2031, transferred to USDA
- Bill Emerson Humanitarian Trust reauthorized through FY2031, USDA management
- Food for Progress extended through 2031
- Food Aid Consultative Group terminates 2031, with USDA leadership
Why this matters
Three competing dynamics:
- Pro-U.S. agriculture interests see this as good, more U.S. commodity demand, more U.S. shipping
- Humanitarian organizations see this as problematic, restricts flexibility to respond to crises
- Recipient country governments lose some local economic development from local procurement
Who it matters for
- U.S. grain producers: the 50% commodity floor is real demand
- U.S. shipping: Port of New Orleans, Gulf Coast ports especially
- Humanitarian organizations: operational flexibility constraints
- USDA Foreign Agricultural Service: major new responsibility