Food transfer programs

When are food transfer programs appropriate What are the criteria to keep in mind when deciding how much to distribute in the form of rations and how much as cash Program designers should keep the following four key considerations in mind when deciding if food transfer programs are appropriate or necessary ... 

The best targeting mechanisms for food transfer programs include the use of individual targeting mechanisms, such as means tests and proxy means tests self-targeting meth-... 

The administrative costs of food transfer programs are relatively high, because transporting and storing food in bulk is costly and these costs are incurred in addition to the personnel and information system costs incurred by cash transfer programs. 

Retail Stores. Several programs deliver in-kind transfers to beneficiaries using food stamps or vouchers, for example, the public distribution system in India and the Food Stamp Program in the United States. Beneficiaries receive their allotted amount of food upon presenting the proper documents, namely, vouchers, passbooks, identity cards, or electronic cards. When the program uses cards, official ration shops or private retail shops can authorize or record the transactions using POS machines or terminals (described in box 5.13). 

Debit Cards, Smart Cards, and Cell Phones. A number of programs are introducing new transaction methods that seek to reduce transaction costs and the use of checks and vouchers. These methods include several types of debit cards and prepaid cards, smart cards, and cell phones. In 1993, the U.S. Food Stamp Program, for example, introduced a system based on smart cards, which is known as electronic benefit transfers, to replace paper vouchers. By December 2002, the system delivered benefits to 90 percent of the 19 million beneficiaries through 145,000 retail stores using POS terminals (O Connor and Silbermann 2003). 

In-kind food transfers. Targeted food transfers and rations, other food-based programs, supplements for mothers and children, school-based feeding programs and transfers. 

The main objective of cash and near cash transfer programs is to increase poor and vulnerable households real incomes. The main difference between cash, near cash—such as food stamps, coupons, or vouchers that may be used to purchase food—and in-kind transfers is the amount of choice given to beneficiaries in acquiring the types of commodities they want to consume. Cash transfers obviously allow recipients to purchase anything they wish near cash transfers, such as food stamps, can restrict recipients choices to certain types of commodities while in-kind transfers limit the selection to the commodities received. Some programs deliver transfers that are partially in cash and partially in kind and others provide vouchers, coupons, or stamps, which are something in between in cash and in kind. 

In-Kind Food Transfers and Other Food-Based Programs... 

In-kind food transfers and other food-based programs provide additional resources to households by making food available when they need it the most in the form of food ra-... 

The food-based programs covered in this section include food rations and other in-kind food transfers and supplementary feeding, school feeding, and emergency food distribution programs. 

Many people have strong ideas about the use of food-based versus cash transfers. Food distribution programs have played an important role in social policy and development, partly because of the availability of food aid from Australia, the United States, and other OECD countries (del Ninno, Dorosh, and Subbarao 2007). The debate on the use... 

---