FINANCING
NORMAL LEVELS OF COMMERCIAL IMPORTS OF BASIC FOODSTUFFS in the context of the Marrakesh Decision on least-developed and net food-importing developing countries |
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Commodity Policy and Projections Service FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONS |
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© FAO 2003
Chapter I: FOOD IMPORTS OF NET FOOD-IMPORTING DEVELOPING COUNTRIES
Chapter II: THE MAJOR PLAYERS IN INTERNATIONAL FOOD TRADE
A. International trade houses
B. Grain-exporting state trading entities
C. Private importers
D. State-owned food import agencies
E. Commercial banks
F. Export credit and insurance agencies, and export-import banks
Chapter III: FOOD IMPORT FINANCING TECHNIQUES
A. Overview
B. Sellers credit
C. Usance and deferred Letters of Credit
D. Bank loans to importers
E. Commercial paper
F. Forfeiting
G. Counter trade and Bilateral Payment Agreements
H. Warehouse receipt finance
I. Islamic finance
Chapter IV: FOOD IMPORT FINANCING PRACTICES
A. Open account sales
B. Documentary collection
C. Sales under letter of credit conditions
D. Transactions under counter trade and Bilateral Payment Arrangements
E. Warehouse receipt finance
F. Intra-firm trade
G. Cash-paid imports by major corporate and government-owned entities
Chapter V: WEAKNESSES IN INTERNATIONAL FOOD TRADE FINANCING SYSTEMS
A. Trade driven by long-term corporate relations, on open account terms
B. Exports by state entities
C. Transactions under Bilateral Payment Arrangements
D. Private sector imports using warehouse receipt finance
E. Imports through international traders local offices
F. Conclusion
Chapter VI: AN INTERNATIONAL REVOLVING FUND FOR FINANCING FOOD IMPORTS
A. Obstacles to financing food imports in developing countries
B. The effect of sudden new food import needs
C. The need for a food financing facility
D. Providing funds at the time of need for increased food financing
E. How could a market-friendly food financing facility be structured?
Annex 1: Marrakesh Ministerial Decision
Annex 2: Production, exports and imports of cereals and vegetable oils and oilseeds
Annex 3: Trade flows for wheat, maize, rice, palm oil and soybean oil
Annex 4: Major international grain and vegetable oils trading companies
Annex 5: Major state trading companies - food exports
Annex 6: Major state trading companies - food imports
Annex 7: Major export credit agencies for world food trade
List of LDCs and NFIDCs
LDC (Least Developed Countries) (Weighted by reliance on imports)
NFIDC (Not Food Importing Developing Countries (Weighted by reliance on imports)
Afghanistan
Angola
Bangladesh
Barbados
Benin
Bhutan
Botswana
Burkina Faso
Burundi
Cambodia
Cape Verde
Cent Afr Rep
Chad
Comoros
Congo, Dem R
Cote d'Ivoire
Cuba
Djibouti
Dominica
Dominican Rep.
Egypt
Eq Guinea
Eritrea
Ethiopia
Gambia
Guinea
Guinea-Bissau
Haiti
Honduras
Jamaica
Jordan
Kenya
Kiribati
Lao People's Dem. Rep.
Lesotho
Liberia
Madagascar
Malawi
Maldives
Mali
Mauritania
Mauritius
Morocco
Mozambique
Myanmar
Nepal
Niger
Pakistan
Peru
Rwanda
Samoa
Sao Tome Pm
Senegal
Sierra Leone
Solomon Is
Somalia
Sri Lanka
St Kitts Nev
St Lucia
St Vincent
Sudan
Tanzania
Togo
Trinidad Tob
Tunisia
Tuvalu
Uganda
Vanuatu
Venezuela
Yemen
Zambia