VZCZCXYZ0009
RR RUEHWEB

DE RUEHGT #0082/01 0132312
ZNR UUUUU ZZH
R 132311Z JAN 10
FM AMEMBASSY GUATEMALA
TO RUEHC/SECSTATE WASHDC 0739
INFO RUEHGT/AMEMBASSY GUATEMALA

UNCLAS GUATEMALA 000082 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EAID ECON PREL PGOV GT
SUBJECT: Guatemala - Diplomacy and Development Plan for the Global 
Hunger and Food Security Initiative 
 
REF: A) 09 STATE 124059; B) 09 STATE 127466 
 
¶1.  (U) Summary: Embassy Guatemala welcomes the opportunity to 
continue its engagement with the Government of Guatemala (GoG) and 
others on food security (Ref A and B).  Guatemala is highly 
vulnerable to food crises and progress on this issue is integral to 
economic development.  At present, the GoG has a food security plan 
(the Strategic Plan for Food Security and Nutrition 2009-2012 
(PESAN) and various food security institutions in place.  Using new 
and existing diplomatic and programmatic resources, Embassy efforts 
will support PESAN and bolster the objectives described within the 
Global Hunger and Food Security Implementation Plan (IP) and the 
Global Hunger and Food Security Initiative (GHFSI) key principles. 
 
 
¶2. (U) Throughout 2010 food insecurity will remain a major issue in 
Guatemala.  Experts expect the food crisis to worsen; though much 
will depend on the results of the January - February 2010 harvest. 
Continuing problems will increase pressure on the GoG to respond in 
a comprehensive and well-funded manner.  While the GoG has taken 
some steps to address the crisis, it also needs to look at more 
inclusive and holistic solutions to address underlying problems - 
stagnant economic growth and massive income inequalities - that 
contribute to food insecurity.  Embassy Guatemala has been 
aggressive in raising hunger issues at the highest levels of 
government, business and civil society; the Ambassador's visits to 
child recovery centers and food distribution centers have 
underscored the need to address food security issues.  Throughout 
FY10, the USG will continue to work with the GoG and civil society 
on these issues and make food security a priority issue. End 
Summary. 
 
HIGH LEVEL OF FOOD INSECURITY PROMPTS GOG ACTION 
 
¶3.  (U) With the Western Hemisphere's highest national levels of 
chronic child malnutrition (43.4%), Guatemala is extremely 
vulnerable to changes in variables affecting food security.  In 
2009, drought conditions, the global economic crisis, slumping 
remittances, increased fertilizer and fuel prices the prior year, 
and a national poverty rate of 51%, induced a crisis prompting the 
reluctant President Colom to declare a food security state of 
emergency.  While crisis conditions remain, experts anticipate that 
the problem will worsen as it expands from Guatemala's Dry Corridor 
to the Highlands (Altiplano) in the first semester of 2010.  In 
response, Embassy Guatemala established a Food Security Working 
Group (FSWG) in August 2009 which will continue to coordinate the 
USG response and the Global Hunger and Food Security Implementation 
Plan (IP) indefinitely. 
 
¶4.  (U) In June 2009, Guatemala's National Council on Nutritional 
and Food Security (CONASAN) published the Strategic Plan for Food 
and Nutritional Security 2009-2012 (PESAN).  PESAN identifies five 
strategic components to improve food security, including: improved 
food availability, greater public access to the basic basket of 
goods, improved consumption through nutritional education, improved 
provision of basic health and hygiene services, and strengthening 
the institutional capacity of the National System for Food and 
Nutritional Security (SINASAN) and civil society in food security. 
The plan enumerates various indicators and objectives to track 
progress in achieving these goals. 
 
USING DIPLOMACY TO ADVANCE FOOD SECURITY PRIORITIES 
 
¶5.  (U) To address the ongoing food crisis, and to advance the US 
interest in long-term food security, the USG will leverage various 
diplomatic and programmatic resources to support PESAN, the 
objectives of the IP and the Global Hunger and Food Security 
Initiative (GHFSI) key principles.  While different USG agencies 
will implement programs that complement these goals (see paragraphs 
17-32), the Embassy will also engage the GoG at various levels on 
these issues as appropriate.  Different country team members, 
including the Ambassador, the DCM, the Political/Economic section 
(P/E), the Public Affairs Section (PAS), USAID, and the U.S. 
Department of Agriculture (USDA) Foreign Agricultural Service (FAS) 
will pursue the policies described below using different diplomatic 
tools and strategies.  These reforms aim to enable rural 
development, enhance coordination between ministries, NGOs, and 
donors, reduce corruption, and improve the business climate to 
foster investment in rural and agricultural projects. 
 
STIMULATE RURAL DEVELOPMENT 
 
¶6.  (U) The GoG could enable rural development over the coming year 
by enacting several key policy reforms.  The establishment of an 
effective public-private research and extension system would enable 
rural communities to harness new technologies and agricultural 
practices that could improve crop yields - making more food 
available for family consumption and sales to generate revenue. 
 
 
Further, a viable extension system would build useful networks for 
information sharing and provide "Early Warning Alerts" if 
production declines. 
 
¶7.  (U) Other viable means to enable rural development would 
include strengthening the current sanitary and phyto-sanitary 
systems (SPS) and streamlining customs procedures, both of which 
would bolster Guatemalan exports and reduce transaction costs. 
Public investments in rural infrastructure would also help to 
connect more farmers to markets.  By stimulating rural economic and 
agricultural development, the GoG would improve food availability 
for rural populations and increase farmer incomes - two of PESAN's 
strategic objectives. 
 
IMPROVE STAKEHOLDER COORDINATION 
 
¶8.  (U) While the GoG has an established institutional 
infrastructure to manage questions of food security, improved 
coordination amongst donors, the GoG, the private sector and civil 
society on the issue of long-term food security would be a positive 
reform.  The National Council on Food and Nutritional Security 
(CONASAN) is charged with the creation and implementation of 
long-term food security policy.  However, while there are seats for 
private sector and civil society representatives, donors do not 
have a seat and do not provide formal input into the key guiding 
document, PESAN.  Another food security body is the Sectoral 
Roundtable for Food and Nutritional Security (SAN) which does allow 
for donor, private sector, and NGO participation, but the group's 
primary focus is on addressing the short-term food crisis.  The 
Ambassador, using public visits and statements, has emphasized the 
need for a national response to acute and severe malnutrition. 
 
¶9.  (U) The idea of establishing a Roundtable for Rural Development 
that addresses issues of food security within the context of 
long-term development has been informally discussed within civil 
society and government; however, there has not yet been any action 
by the GoG.  USAID strongly supports the establishment of such a 
body, with the appropriate structure and focus, and raises the 
issue regularly with GoG interlocutors. 
 
BUILDING ON THE GOG FOOD AND NUTRITIONAL SECURITY STRATEGY (PESAN) 
 
¶10.  (U) PESAN represents a positive step towards creating and 
implementing a country-led strategy for Guatemala.  The plan 
responds to the food crisis and outlines mid-range (three year) 
country priorities. However, the strategy has identifiable 
shortcomings, as it is based on an outdated concept of food 
self-sufficiency (an issue that is unnecessary in a market with 
adequate access to international trade).  Further, PESAN focuses on 
food availability and is insufficiently broad to encompass all that 
is needed for food security in Guatemala.  Throughout FY10, the 
USG, through USAID, will work with the GoG to construct a more 
inclusive and focused rural growth strategy that builds on PESAN 
while addressing some of the document's shortcomings. 
 
IMPROVING TRANSPARENCY AND REDUCING CORRUPTION 
 
¶11.  (SBU) While the GoG has worked to improve the food security 
situation, corruption and a lack of transparency undermine such 
efforts.  Problems of corruption and transparency exist throughout 
the GoG, hampering the delivery of food aid and prompting donors 
and civil society to question the reliability of some government 
institutions in delivering assistance.  While various social 
programs run by First Lady Sandra Torres de Colom could offer a 
mechanism to address the food crisis, the organization's lack of 
transparency as to who receives benefits makes it an unlikely 
vehicle for the international community at present.  Corruption 
also deters domestic and international investment, reducing 
opportunities for employment and furthering food insecurity.  In 
FY10, improving transparency and reducing corruption form parts of 
various key goals within the Mission Strategic Plan.  As such, 
Embassy Guatemala will continue to work with the GoG on these 
issues via existing programs and the engagement of GoG 
interlocutors. 
 
GOG FOOD SECURITY INSTITUTIONS 
 
¶12.  (U) To further the policy reforms described above, Post will 
engage different actors and institutions including the GoG, members 
of civil society, and multilateral organizations.  The GoG's lead 
institution on issues of food security is the Secretariat of Food 
and Nutritional Security (SESAN).  SESAN reports directly to 
President Colom.  It is led by an appointed Secretary and advised 
by CONASAN.  Chaired by the Vice President, CONASAN is comprised of 
nine ministers, the Executive Coordinating Secretary for the 
Presidency, the Secretary for the First Lady's Social Projects, two 
private sector representatives, and two representatives from civil 
society.  The President of the National Association of 
Municipalities and the President of the Food and Security 
 
 
Commission of the Guatemalan Congress also participate.  SESAN 
coordinates the drafting and oversees the implementation of PESAN 
along with CONASAN. 
 
¶13.  (U) The Secretariat for Planning and Programming (SEGEPLAN) 
will also have a growing role in food security crisis planning and 
implementation.  Following the UN General Assembly Program, 
"Partnering for Food Security" in September 2009, President Colom 
asked the Secretary of SEGEPLAN, Karin Slowing, to spearhead food 
security issues.  Since then, she has formed an internal working 
group with SESAN.  The Ministry for Agriculture, Livestock and Food 
(MAGA) should also play a key role on food security issues. 
 
ENGAGING OTHER DONORS AND STAKEHOLDERS 
 
¶14.  (U) Currently, the primary mechanism for engaging other 
donors, multilateral institutions, and the GoG on issues of food 
security is through the Roundtable for Food and Nutritional 
Security (SAN).  The roundtable was established in response to the 
declaration of the food security crisis in September 2009 to 
facilitate dialogue between the government, the private sector, 
donors, and civil society.  The group's focus is facilitating 
short-term actions to alleviate the food security crisis.  Though 
this forum does not manage long-term food security issues, it 
allows the USG to participate in discussions on the short-term 
issues such as the delivery of aid and the treatment of 
under-nutrition, which are IP priorities.  The USG also works on 
issues of food security with members of the international community 
through the G-13 and other bilateral relationships. 
 
¶15.  (U) Civil society, academia, and the private sector also have 
an important role in addressing food security.  Within the private 
sector key institutions include: the National Association of Coffee 
in Guatemala (AnaCafe), the Association of Guatemala Exports 
(AGEXPORT), the Chamber of Agroindustry and Farming/Livestock 
(CAMAGRO), and the Rural Development Bank (BANRURAL).  Local 
universities such as the University of San Carlos, University of 
the Valley, Rafael Landivar, and Rural University, are also 
important in advancing research and development and integrating 
technology into production.  Finally, civil society organizations 
such as Food and Nutritional Security Observer (OBSAN), alongside 
indigenous and peasant organizations, play an important role in 
identifying Guatemala's food security needs and recognizing the 
potential for crisis.  Throughout FY10, State, USAID, and FAS will 
engage with these and other organizations to support the PESAN food 
security goals, the IP investments, and the GHFSI key principles. 
 
USG PROGRAMS COMPLEMENT FOOD SECURITY OBJECTIVES 
 
¶16.  (U) In addition to the USG's diplomatic efforts that will be 
pursued throughout the year, various programmatic efforts will 
begin or will continue that complement GoG and the USG food 
security priorities.  The programs, described below, have different 
purposes, including: the provision of direct food aid, improving 
trade, keeping the issue of food security on policymakers' agendas, 
and engaging current and future food security professionals and 
decision makers.  These programs are in addition to, and complement 
those described in, the IP. 
 
USAID PLANS FOR FUTURE, ADDRESSES EMERGENCY FOOD NEEDS 
 
 
 
¶17. (U)  Programs administered by USAID play a key role in the 
Embassy's efforts to promote food security in Guatemala.  During 
FY10 USAID-Guatemala will address these issues through the IP and 
ongoing PL-480 Title II programs.  The IP will build on the 
successes of USAID's agricultural development and PL-480 programs 
by making investments in areas that are key to Guatemalan food 
security. 
 
 
 
¶18. (SBU) The IP identifies three distinct "core investment areas" 
that target issues to improve access and utilization of food:  1) 
the first objective is to increase sustainable market-led growth by 
improving productivity, expanding markets and trade, spurring 
regional integration, and harnessing global innovation and 
research;  2) the second objective is to prevent and treat 
under-nutrition; and the 3) third objective is to increase the 
impact of humanitarian food assistance.  In FY10 and FY11 resources 
will be used to complete analyses, build coalitions, and build 
government and civil society capacity necessary for full 
implementation that would start with FY12 funding.  The USG will 
work with multiple stakeholders, including the GOG, donors, 
academia, and the private sector, to design interventions that best 
help Guatemala's rural poor and food insecure populations. For 
instance, the USG will support GOG efforts to strengthen 
institutions and policies, laws, and regulations to promote rural 
 
 
development, such as a developing a functioning research and 
extension system; sanitary and phytosanitary standards; customs and 
inspections; streamlining business regulations; credit; and 
infrastructure policy.  U.S. programs will link small-scale farmers 
to markets and expand trade in such sectors as horticulture, 
coffee, value-added forest products, and ecological-cultural 
tourism 
 
 
 
¶19. (U) This year, the regular P.L. 480 budget was $25 million with 
an additional $15 million for the Single Year Action Plan (SYAP) to 
address acute malnutrition in the "Dry Corridor."  Program 
resources provide essential support to vulnerable populations 
through programs that integrate nutrition, animal husbandry, 
micro-enterprise, health, education, improved local governance, 
agriculture and sustainable environmental practices.  The Program 
integrates income generation and maternal/child health 
interventions that reduce food insecurity while improving the 
family's livelihood and health.  Specifically, USAID implementing 
partners use food aid rations for targeted supplementary feeding 
for 6-36 month-old children and pregnant/lactating women while they 
work with families to improve and diversify agricultural production 
(including soil management and conservation practices), 
micro-enterprise and marketing activities that augment on- and 
off-farm income sources.  Using Food for Work and other resources, 
limited activities are underway to improve infrastructure in food 
insecure areas to ease communities' access to markets and to lower 
business transaction costs.  The current program has reached 398 
communities and helped 55,718 families.  Implemented by NGOs such 
as Catholic Relief Services, Save the Children, and 
Share-Guatemala, these programs are aimed at Guatemala's most 
food-insecure populations. 
 
PAS PROGRAMS WITH AN AGRICULTURAL FOCUS 
 
¶20.  (U) PAS will leverage its public diplomacy programs and 
resources to support the Mission's food security priorities.  The 
section is actively seeking opportunities to bring speakers on food 
security-related topics and has already begun the process of 
identifying a Strategic Speaker Initiative (SSI) speaker on food 
security in conjunction with Embassy Tegucigalpa.  To the extent 
possible, PAS will utilize its professional and academic exchange 
programs, such as the International Visitor Leadership Program, 
Voluntary Visitor Program, the Fulbright Program, and the Community 
College Initiative, to develop relationships with key policymakers, 
professionals, and students who have an interest in agriculture and 
food security.  Additionally, PAS is exploring the possibility of 
bringing U.S. academics in food security-related fields to 
Guatemala to work with Guatemalan universities, for instance 
through the Fulbright Senior Specialist Program.  PAS will also 
take advantage of its broad roster of alumni to organize programs, 
roundtables, and other meetings on the topic of food security, in 
conjunction with other Embassy sections and agencies. 
 
FAS PROVIDES FOOD AID AND TECHNICAL ASSISTANCE 
 
¶21.  (U) FAS manages several programs critical to the issue of food 
security in Guatemala.  Through these programs, including: Food for 
Progress (FFPr), Food for Education (FFE), Trade Capacity Building 
(TCB), and a variety of academic and professional exchange 
programs, FAS makes an important contribution to Guatemala's food 
security situation.  Through FY10 FAS will continue these programs, 
all of which are relevant to different IP strategies and GHFSI 
initiatives.  Moreover, with additional funding identified 
specifically for food security, FAS could take on a variety of high 
impact programs to further bolster US interests in this area. 
 
¶22.  (U) With USAID funding, FAS will conduct TCB issues in 
Guatemala through FY10.  TCB funding - approximately USD $1 million 
for FY10 - is used to provide technical training programs for 
animal and plant health, as well as food safety, to increase the 
country's capabilities to support trade and development through the 
strengthening of the sanitary and phyto sanitary systems.  In 
previous years, the TCB programs have provided GoG officials 
training in Hazard Analysis and Critical Control Points (HACCP) for 
the food industry, Good Agricultural Practices (GAPs) and Good 
Manufacturing Practices (GMPs), Risk Analysis, Laboratory 
Management, Microbiological Analytical Procedures for Food Borne 
Pathogens, Pesticide Residue, among others.  The program has 
resulted in trade expansion into higher value products, such as 
peppers and tomatoes, and the ISO 17025 accreditation of 
Guatemala's National Laboratory at the Ministry of Health.  While 
TCB funding ends in FY10, FAS has identified it as a program that 
that could continue to strengthen food security in Guatemala if 
funding were available. 
 
¶23.  (U) USDA/FAS administers the "Food for Progress," (FFPr) 
program in Guatemala. Established under the FFPr Act of 1985, U.S. 
 
 
agriculture commodities are provided to developing countries and 
emerging democracies committed to introducing and expanding free 
enterprise in the agricultural sector.  Commodities are currently 
provided on a donation basis to foreign governments, private 
voluntary organizations (PVOs), non-profit organizations, 
cooperatives, or intergovernmental organizations. The commodities 
can be used for direct feeding or can be monetized (sold locally at 
market price), and proceeds used for food assistance and 
agricultural development. USDA/FAS Guatemala works through PVOs to 
manage the Guatemalan FFPr programs. While USDA/FAS does not yet 
have a firm figure for FY10, the program may provide different PVOs 
around USD $10 million for food security related programs. 
 
¶24.  (U) USDA also provides food assistance through the 
McGovern-Dole International Food for Education and Child Nutrition 
Program (FFE).  The program provides U.S. agricultural products and 
financial and technical assistance for school feeding and maternal 
and child nutrition projects in low-income sections of Guatemala. 
In the past in Guatemala, much of the program's funding has been 
used for direct feeding programs through schools.  By doing so, the 
program simultaneously strengthens education and food security for 
children. 
 
¶25.  (U) FAS manages several fellowship programs that provide 
technical and academic experts access to agricultural training and 
facilities in the United States.  The Cochran Fellowship Program 
brings technical experts to the US for 2-6 week trainings on topics 
such as: Food Regulatory Programs, Food Safety, Pest Risk Analysis, 
and Bio-Technology.  In FY10, pending funding approval, 
approximately five program slots will focus on supporting food 
security.  The Faculty Exchange program is a 4-5 month program that 
allows agricultural academics and professionals the opportunity to 
work in the US.  In FY09, a Guatemalan professor at the University 
of the Valley - a leading Guatemalan university - participated in 
the program.  In FY10, it is likely that Guatemalan will be chosen 
for the Faculty Exchange Program. 
 
¶26.  (U) All of FAS' programs in Guatemala complement the IP. 
Providing direct food assistance through the FFPr and the FFE 
programs help to alleviate under-nutrition in recipient 
communities.  Furthermore, the programs fund some economic 
development activities, such as the micro-credit offered through 
some of the cooperating PVOs .  As participants generate additional 
income they have greater access to food within the market.  The 
USDA/FAS exchange programs also impact economic development by 
building international relationships and allowing Guatemalan 
technicians and academics access to U.S. technology and training to 
improve productivity.  Finally, TCB programs specifically address 
the IP's goal of expanding markets and trade for local Guatemalan 
producers. 
 
PEACE CORPS VOLUNTEERS EQUIP LOCALS TO EASE FOOD BURDEN 
 
¶27.  (U) In January 2010 the Peace Corps will have approximately 
220 volunteers on the ground in Guatemala working with local 
populations on a variety of issues, including food security.  Peace 
Corps' Sustainable Agriculture track helps to enable rural 
populations to grow small crops at home and in schools (Food 
Security Track) and to improve agricultural marketing techniques to 
increase income from food sales (Agricultural Marketing Track). 
Additionally, the Healthy Schools project trains teachers, parents 
and students with the goal of promoting healthier food preparation 
and better eating habits amongst youth and the Healthy Homes 
project promotes positive health and nutrition practices with rural 
families.  Overall, these components of Peace Corps Guatemala's 
program are congruent with various goals within the IP and the 
GHFSI Key Principles. 
 
¶28.  (U) The food security component of Peace Corps Guatemala's 
Sustainable Agriculture project has three objectives: 1) To help 
families and schools grow sustainable and environmentally friendly 
vegetable gardens by providing technical assistance (TA); 2) To 
assist families manage barnyard chicken populations by using 
sustainable practices; and 3) To train rural families as to the 
nutritional content and the preparation of home grown vegetables 
and other agricultural products.  More than 50% of program 
participants and beneficiaries are women.  Further, in FY09, the 
three programs reached thousands of participants, many of which 
have adopted the prescribed practices and seen increased the 
production and consumption of homegrown food stuffs (poultry and 
vegetables). 
 
¶29.  (U) The Agricultural Marketing component consists of training 
producers to more effectively market their products and teaching 
farmers environmentally sustainable practices to increase crop 
value.  In FY09 over 2,500 Guatemalans received the marketing and 
value-added production training and have seen improved sales and 
increased incomes.  In FY10, the project will continue and should 
reach a similar number of people. 
 
 
¶30.  (U) All of Peace Corps Guatemala's programs complement the 
goals of the IP and PESAN.  The abovementioned programs help to 
increase sustainable market-led growth within local communities 
that are vulnerable to food insecurity.  The programs also help to 
prevent under-nutrition as incomes rise and volunteers give 
instruction on healthy eating habits.  Within PESAN, the programs 
address the pillars of "Availability" and "Consumption." 
 
APHIS PREVENTS FRUIT FLY OUTBREAKS, BOOSTS EXPORTS 
 
¶31.  (U) Animal and Plant Health Inspection Service (APHIS) works 
cooperatively with Mexico and Guatemala on the Mediterranean Fruit 
Fly (MOSCAMED) program.  Established in 1981, the program protects 
agriculture within cooperating countries by establishing 
medfly-free areas and preventing the spread of medfly populations 
into existing free areas.  The establishment of a free area allows 
agricultural producers to export their crops to US markets, thereby 
raising the value of their product and their income.  In FY09, 
APHIS eradicated Medfly from 8,000 square kilometers of land, 
adding to 123,000 square kilometers of already Medfly free 
territory.  In the next 2-4 years, APHIS hopes to eradicate Medfly 
from fertile regions such as Champerico, a city on the southern 
coast with significant tropical fruit production.  The program also 
focuses assistance to peach and pear growers in Alta Verapaz by 
providing technical assistance in pest and insect control.  APHIS' 
work in Guatemala promotes the IP's goal of increasing production 
and encouraging regional cooperation, as the program requires the 
collaboration of Guatemala, the US, and Mexico.  Further, the 
program relates directly to the government's plan of improving 
access by increasing income levels. 
 
¶32.  (U) APHIS' funding determines the amount of territory it is 
able to free of medfly each year.  APHIS projects that with an 
additional USD $4-5 million annually, the program could eradicate 
the medfly from most of Guatemala within 4-5 years. 
MCFARLAND