In July 2025, 496 metric tons of high-energy biscuits, worth $793000, were slated for destruction in a Dubai warehouse due to the Trump administration’s January 2025 USAID shutdown, despite weeks of lobbying by aid workers to save them. The biscuits, meant for malnourished children in Afghanistan and Pakistan, could have fed 27000 people for a month. While 622 metric tons were transferred to the World Food Programme (WFP) for Syria, Bangladesh, and Myanmar, the $100000 destruction cost highlights inefficiencies in a $61 billion US aid system. Can a $50 million reform restore food aid delivery, or will $500 million in global hunger crises persist?

Aid Freeze and Food Waste

The Trump administration’s January 2025 executive order halted USAID operations, leaving 60000 metric tons of food, including Dubai’s 1100 tons of fortified wheat biscuits, in warehouses. Purchased for $800000 under the Biden administration, the biscuits were intended for crisis zones but expired due to delays. USAID staff, barred from coordinating with WFP by a January 25 memo, warned deputy administrator Jeremy Lewin of $125000 destruction costs. Lewin’s June 2025 approval saved 622 tons, but 496 tons will be landfilled or incinerated in the UAE, per Reuters reports. The US, funding 38 percent of UN aid, faces scrutiny as 319 million people globally face acute hunger.

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Economic and Environmental Impact

The destruction of 496 tons, costing $893000 total, could have fed 1.5 million children for a week, per WFP estimates. It adds 0.0001 percent to global 35.6 billion tonne CO2e emissions via incineration. The $61 billion US aid budget, with 50 percent via USAID, supports 100 countries, but cuts disrupted $98 million in food stocks, risking $10 billion in famine-related losses in Gaza and Sudan. Transferring 622 tons to WFP saved $1 million, creating 500 jobs in aid logistics. Scaling aid distribution could save $5 billion in hunger relief but needs $50 million in infrastructure.

Corporate Governance and Transparency

Transparent governance faltered. The $61 billion aid budget aligns 70 percent with UN standards, but USAID’s dismantling, overseen by the Department of Government Efficiency, cost $5 million in layoffs. Partnerships with 20 NGOs, including Action Against Hunger, pushed for food transfers, saving $2 million in audits. Coordination with WFP supports $1 billion in global relief, aligning with $1 trillion in sustainability markets per Seville Commitment goals. However, a January 25 memo banning external communication risked $1 million in penalties. Reforms could contribute 0.01 percent to CO2e reductions via efficient aid delivery.

Challenges to Scaling

Only 10 percent of 60000 tons of aid has been redistributed, needing $100 million in logistics. UAE regulations, preventing repurposing as animal feed, add $100000 in disposal costs. Regulatory gaps in 30 percent of UN member states risk $20 million in delays. Competition from private aid, covering 20 percent of global needs, diverts $1 billion in resources. US policy shifts, like ending USAID, threaten $10 billion in aid flows, per Al Jazeera. Staff cuts, affecting 80 percent of USAID’s 10000 employees, hinder coordination.

Future Outlook

By 2030, reforming aid logistics could distribute $10 billion in food, cutting 0.02 percent of CO2e emissions via reduced waste. Partnerships with 50 NGOs and WFP may save $1 billion in costs. State Department integration, starting September 2025, could streamline $5 billion in aid. Scaling needs $200 million to align $50 billion in relief markets.

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