Microfinancing and the Economy

[Guest]

.

[Soriak]

I share your view of many charities.... I choose mine carefully....currently working with Feed My Starving Children in Minneapolis, where 94 cents of each $1 goes directly to food purchases... the vast bulk of work done by volunteers. Food goes to those in 3rd world who can not help themselves.

Do you know if the food is purchased in the US and shipped to the third world, or bought in developing countries? The former is sadly very widespread amongst charities and is partially responsible for the shortage of domestic agriculture - the local farmers can't compete with the free food given away by aid organizations. I think there's a trend now happening where aid organizations buy food from local farmers and hand it out, which is a great way to a long-term solution. (Farmers can expand, knowing they can sell everything they produce)

[cpbailey]

Saves a LOT of fuel, too.  I think much of the food aid policy from the US is to make a market for OUR crops.  So fuelish!   

Colette

[Williejeff]

Regarding Feed My Starving Children... Rice is grown here, purchased and shipped...however, the food goes to only those in true need, like Haiti, where the deforestation has resulted in a destruction of the soil.  There is little hope.

I support an orphanage there.  I have noted that there are no loans available for Haiti, and for very good reasons.  So, without the ability to loan money to people in Haiti, I choose to use an organization like Feed My Staring Children to help feed children in the orphanage.

Interesting the orphanage has to pay the shipping/receiving on their side.  Communication with the orphanage indicates that they do buy all they can locally, but there is not enough food to purchase, (most farmland is used to produce coffee and mangoes) resorting to having to pay a slightly higher meal cost for the packed food from Feed My Starving Children.  The preferred market is the local market.  The corrupt government obviously severely and negatively affects the lives and the hope of the people.

Other examples of where the 'charity rice' was sent was in the devastation resulting from the Indian Ocean Tsunami.  The food sent allow people to live and now they are rebuilding their lives and businesses.

Thus, I would argue the work of a charity is important to help people survive, so they can become farmers and merchants again.