WASHINGTON, Aug. 31, 2004 – The U.S. Department of Agriculture today announced the signing of a Public Law 480, Title I, agreement with the government of Peru.

The agreement provides $6 million for the sale of approximately 36,600 metric tons of wheat. After purchasing the U.S. wheat, the government of Peru will then sell the wheat in Peru. The revenues will be used to improve agricultural development, build trade capacity and protect Peru’s biodiversity.

The fiscal year 2004 agreement with Peru was signed on Aug. 30, 2004. The supply year is fiscal year 2004. The Foreign Agricultural Service will announce purchase authorizations, and sales will be made by private U.S. traders on a competitive-bid basis.

The P.L. 480, Title I, program provides for sales of U.S. agricultural commodities on concessional credit terms to governments and private entities in developing countries that have demonstrated the potential to become commercial markets, are undertaking measures to improve their food security and agricultural development, and show the greatest need for food. This year, USDA expects to provide concessional financing for around 255,000 tons of U.S. commodities to four countries under Title I.

For further information, contact Karen Darden at FAS of (202) 720-1346, or by e-mail at Karen Darden@fas.usda.gov.

FAS news releases are available on the Internet at http://www.fas.usda.gov.

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PR 0172-04