Food Procurement Annual Report WFP Food Procurement January December 2006 January - December 2006
Procurement Mission Statement To ensure that appropriate commodities are available to WFP beneficiaries (operations) in a timely and cost-effective manner. Further to the procurement mission statement, the WFP s Financial Rules state: When conditions are equal, preference will be given to purchasing from developing countries. WFP s general policy is to purchase from pre-qualified suppliers through a competitive bidding process. Competitive bidding guarantees that the best possible prices are obtained and that the purchase is carried out in a transparent manner. This process entails an analysis of the cost of the commodity as well as the costs of transport and handling up to the delivery point. Before issuing a tender, careful consideration is given to the location of the most advantageous place to buy, relative to the area of need. Factors such as the acceptability of the commodity on offer to the tastes of the receiving beneficiaries and the delivery time to destination play an important part in this evaluation. Donor or recipient countries conditions and restrictions on origin, destination, quality, packing and marking often limit the flexibility of the purchase and impact on this procurement planning. 2
KEY FIGURES Total Purchases Maize US$ 600,965,102 Mung Beans Wheat 2,015,388 mt Sorghum Black Beans Soybeans 3
What did we purchase? % of Total Quantity (2,015,388 mt) Wheat Flour 188,707 mt 9.36% Blended Food 228,093 mt 11.32% Wheat 302,862 mt 15.03% Vegetable Oil 78,194 mt 3.88% Maize 616,323 mt 30.58% Sugar 40,771 mt 2.02% Sorghum 49,652 mt 2.46% Rice 250,499 mt 12.43% Pulses 172,280 mt 8.55% Maize Meal 54,872 mt 2.72% Other 33,136 mt 1.64% 4
Where did we purchase? North America 177,916 mt Europe 241,193 mt Asia 652,763 mt Africa 779,634 mt Latin America 159,777 mt Oceania 4,106 mt 84 Countries: 70 Developing 14 Developed 5
WFP Food Purchases Origin of Goods as per DAC Category By each category DAC Category Quantity mt % mt Value US$ % US$ LDC 618,313 30.68% 161,655,333 26.90% LIC 394,543 19.58% 89,465,832 14.89% LMIC 245,800 12.20% 117,874,012 19.61% UMIC 293,206 14.55% 91,272,729 15.19% Developed 463,526 23.00% 140,697,196 23.41% TOTAL 2,015,388 100.00% 600,965,102 100.00% By grouped categories DAC Category Quantity mt % mt Value US$ % US$ LDC/LIC 1,012,856 50.26% 251,121,164 41.79% LMIC/UMIC 539,006 26.74% 209,146,741 34.80% SUB TOTAL 1,551,862 77.00% 460,267,906 76.59% Developed 463,526 23.00% 140,697,196 23.41% TOTAL 2,015,388 100.00% 600,965,102 100.00% LDC: Least Developed Countries LIC: Other Low-Income Countries (per capita GNI < $825 in 2004) LMIC: Lower Middle-Income Countries (per capita GNI $826-3,255 in 2004) UMIC: Upper Middle-Income Countries (per capita GNI $3,255-10,065 in 2004) 6
Food Origin 77% from developing countries* (in value terms US$) Country Quantity mt Value US$ Afghanistan 2,400 569,960 Argentina 15,767 10,449,187 Armenia 5,595 1,382,065 Azerbaijan 1,930 689,140 Bangladesh 1,671 781,972 Belize 200 62,278 Benin 6,101 1,708,353 Bhutan 2,239 565,248 Bolivia 9,968 4,167,714 Botswana 40 12,400 Brazil 17,607 3,480,044 Burkina Faso 19,506 5,648,425 Cambodia 21,617 5,389,383 Cameroon 4,442 1,676,503 Central Afr. Rep. 150 58,188 Chad 366 322,792 Country Quantity mt Value US$ China 9,843 4,365,536 Colombia 12,815 6,674,032 Côte d'ivoire 3,556 1,619,044 Cuba 1,735 1,274,002 Dem.Rep.Congo 2,300 925,042 Ecuador 26,399 28,006,026 Egypt 10,556 2,927,298 El Salvador 183 87,516 Ethiopia 158,214 37,011,737 Gambia 96 7,838 Ghana 5,324 1,733,919 Guatemala 14,013 5,621,513 Honduras 18,114 7,951,504 India 103,527 15,721,528 Indonesia 24,466 22,511,962 Kazakhstan 6,948 1,421,219 7
Food Origin 77% from developing countries* (in value terms US$) Country Quantity mt Value US$ Kenya 113,959 29,661,206 Laos 471 189,643 Lebanon 1,634 455,296 Lesotho 5,334 1,256,434 Malawi 37,272 9,446,430 Malaysia 27,824 17,061,399 Mali 8,543 2,448,406 Mauritania 59 6,186 Mexico 39,573 6,479,531 Morocco 658 555,892 Mozambique 31,143 7,439,410 Myanmar 13,324 3,287,539 Namibia 5,969 1,868,993 Nepal 49,189 16,475,059 Nicaragua 2,249 663,319 Niger 217 154,624 Country Quantity mt Value US$ Pakistan 147,979 34,733,974 Palestinian Terr. 51,139 15,741,841 Peru 243 68,947 Philippines 470 160,961 Rwanda 10,675 4,095,722 Senegal 1,594 217,355 Somalia 25 15,550 South Africa 109,217 28,580,576 Sri Lanka 9,666 3,233,263 Sudan 33,187 8,693,784 Syria 935 549,698 Tajikistan 255 14,167 Tanzania 30,298 8,583,806 Thailand 5,223 2,154,072 Togo 129 49,252 Turkey 98,040 27,872,926 8
Food Origin 77% from developing countries* (in value terms US$) Country Quantity mt Value US$ Uganda 162,281 41,202,876 Ukraine 11,326 2,980,775 Uruguay 912 299,136 Vietnam 13,254 3,642,172 Yemen 1,488 385,031 Zambia 18,425 4,719,288 TOTAL 1,551,862 460,267,906 Country income classification based on 2005-2007 DAC list 9
Food Origin 23% from developed countries (in value terms US$) Country Quantity mt Value US$ Australia 4,106 1,350,056 Austria 344 173,720 Belgium 49,451 21,975,276 Bulgaria 6,170 995,504 Canada 134,186 32,532,091 Denmark 14,345 8,083,846 France 29,628 11,746,925 Germany 16,214 4,228,336 Italy 49,054 13,306,150 Japan 51,638 14,425,222 Netherlands 7,186 4,146,471 Russian Fed. 54,175 14,930,206 United Kingdom 3,300 983,439 USA 43,730 11,819,956 TOTAL 463,526 140,697,196 10
Food Origin (in value terms US$) TOP 15 Countries Country Value US$ % Uganda 41,202,876 6.86 Ethiopia 37,011,737 6.16 Pakistan 34,733,974 5.78 Canada 32,532,091 5.41 Kenya 29,661,206 4.94 South Africa 28,580,576 4.76 Ecuador 28,006,026 4.66 Turkey 27,872,926 4.64 Indonesia 22,511,962 3.75 Belgium 21,975,276 3.66 Malaysia 17,061,399 2.84 Nepal 16,475,059 2.74 Palestinian Terr. 15,741,841 2.62 India 15,721,528 2.62 Russian Fed. 14,930,206 2.48 TOTAL 384,018,683 63.90 11
Food Procurement Trends US$ million million mt 1,200 4.0 1,000 800 600 400 200 0 90 92 94 96 98 00 02 04 06 3.5 3.0 2.5 2.0 1.5 1.0 0.5 0.0 Value (US$ million) Qty (million mt) Value - without Iraq (US$ million) Qty - without Iraq (million mt) 2003 includes 518,000 mt worth US$ 182 million for Iraq 2004 includes 1,562,000 mt worth US$ 540 million for Iraq 12
How to do business with WFP Know WFP s requirements Register as a WFP vendor Participate in tenders SUBMIT THE BEST OFFER Competitive Tendering subject to Vendor Registration. International Registration to be completed On-Line through UN Global Market Place, www.ungm.org Local/Regional Registration through Country Office c/o WFP Representative / Country Director contact details on www.wfp.org 13
UN World Food Programme Food Procurement Service Via C.G. Viola, 68/70-00148 Rome, Italy E-mail: food.procurement@wfp.org Fax: +39 066513 2339