The Evaluation of the Impacts of Title II Monetization Programs for Wheat and Crude Edible Oils in Mozambique, 1997-2007
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From 1997-2007, the United States Agency for International Development (USAID) Title II
monetization programs sold more than US$200 million of food aid wheat and unrefined
vegetable oils in Mozambique. This research has three objectives: 1) to document the lessons
learned from past monetization programs in Mozambique; 2) to identify the intended and
unintended effects of monetization in Mozambique; and 3) to document indirect successes as
a result of using monetization in Mozambique, if any. Monetization programs in
Mozambique prior to 1997 demonstrated positive effects on market development and
contributed to food security in a critical period. During later periods, the monetized food aid
displayed the negative effects of uncoordinated food aid deliveries and arrival of quantities
beyond absorptive capacity, depressing prices for locally produced staples and adding to
market price volatility.