The selling of agricultural commodities to obtain foreign currency for use in U S assistance programs PVOs monetize USG donated commodities through PL480 Title II and USDA programs Monetization can be conducted by direct negotiation with government parastatals or through sealed-bid auctions to wholesalers and mid-level merchants 1995 US legislation requires that a minimum of 15% of Title II food aid be monetized each year
A P L 480 provision added by the Food Security Act of 1985 that allows private voluntary organizations to sell a small percentage of donated P L 480 commodities within the recipient country The currency generated by these sales can then be used for such purposes as defraying the cost of food distribution within the country