Frequently Asked Questions (FAQ)

About Gifts-In-Kind (GIK)

WER relies on four kinds of resources for our relief and development programs overseas: people (staff and volunteers), cash (increasing the scope and quality of program) capacity support, and donated commodities (“gifts-in-kinds”, or “GIK”).

Virtually everyone realizes the importance of cash and people for our effort. But GIK is unfamiliar to many, even though it involves over $100 million in donated aid every year, deployed by the WER family under globally strict “best practice” standards. What follows are some frequently questions (FAQ) about GIK, as we have heard them during our 15 years of leadership in GIK worldwide.

1. What are Gifts-in-Kind (GIK)?
2. Is GIK really important in humanitarian work?
3. How does WER obtain GIK?
4. Why from other charities?
5. How does WER ensure GIK’s quality?
6. What countries give the WER family its GIK?
7. How does WER determine what GIK is needed overseas?
8. I’ve heard that some GIK gets “dumped” overseas. Is this true?
9. How do you know WER’s GIK “really gets to the people who need it”?
10. How do you protect GIK from misuse?
11. How is GIK valued?
12. Do you ever ship “valueless commodities”?
13. Do you ever make GIK shipping decisions based on value alone?
14. OK, GIK is important overseas. But why should it be important to WER’s donors as well?
15. Why does GIK appear on WER’s financial statements as “income” when it is not “real money”?
16. What do you mean, “risks and responsibilities”?
17. Why don’t more “local” (domestic) groups use GIK in their programs here at home?
18. Why would a company want to donate GIK to WER or any other charity?
19. Does GIK ever get sold overseas?
20. What’s are biggest challenges for WER in using GIK?
21. Do you have any evidence of terrorist groups using GIK?
22. How do you know the commodities WER sends are actually useful for the people in need and respect their own customs and traditions?
23. Some people argue that GIK can destroy a local economy. Do you agree with this?
24. How do you decide who will distribute WER’s GIK overseas?
25. Is GIK as valuable for development work as it is for emergency relief?
26. Does WER ever audit GIK once it reaches your overseas partners?
27. Do any “international guidelines” exist for the proper use of GIK?
28. How did these Standards come about?
29. Interesting. But they are U.S. designed standards. Why should they apply to the WER family or even charities from other countries?
30. How do these Standards protect the public from scams?
31. Are WER’s donors (whether giving money or commodities) protected by these GIK Standards?
32. Have the Industry Standards helped ease concerns in “receiving” countries?
33. What’s the best objection you’ve ever heard about GIK?
34. What do you do with GIK when its “best used by” shelf life is very short?
35. Do you reject other offers of GIK? Why?
36. Where do you store your GIK?
37. Has WER ever “lost” a container?
38. How do governments respond to GIK?
39. What kinds of support do you give your overseas partners when you send them GIK?
40. All fine and good, but when I give cash I want my cash to go overseas, directly to the children in need. I don’t want it spent procuring and shipping GIK.
41. How can I obtain more information about WER’s GIK programs?

1. What are Gifts-in-Kind (GIK)?
   Gifts-in-Kind are donated commodities which WER uses for charitable purposes. The commodities could be something as costly as innovative pharmaceuticals or fire trucks, or as basic as clothing or bulk pasta or corn. The value of each container’s commodities could range from a few thousand dollars to $10 million or more.
   
   Some organizations are able to handle small quantities of GIK, like perhaps a sofa or a few pieces of clothing. WER’s focus is on much larger quantities, usually enough to fill out at least a 20’ ocean-going freight container.
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2. Is GIK really important in humanitarian work?
   Yes! At times, GIK literally means the difference between life and death. Precious food reaches a famine-stricken nation. Fresh medicines stop an epidemic. Building supplies create homes for disaster victims. Books provide educational opportunities otherwise not available. Vegetable seeds provide food and economic opportunity, while also improving health.
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3. How does WER obtain GIK?
   The WER global family receives most of its GIK from businesses, service groups like Rotary Clubs, churches and other charities or humanitarian organizations. We also procure government surplus, particularly surplus equipment from military bases and “retired” municipal fire trucks and ambulances.
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4. Why from other charities?
   Businesses donate GIK the same way individuals donate money: they give to organizations they like, and who happen to seek the “available surplus” on the day it is available! This means we get goods directly from some businesses, and other charities get goods from their own contacts. When any of us has a “surplus”, we trade with each other through our individual relationships or resources such as the virtual warehouse at www.globalhand.org.
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5. How does WER ensure GIK’s quality?
   Our policy is to NEVER accept junk. And after being an industry leader in GIK for over 15 years, the WER family’s “no junk” reputation is well known and respected among our donors, and among the people we help overseas. “Junk” in this context could include expired medicines, unsuitable used clothing, broken equipment, outdated textbooks and other items which could prove dangerous, useless, or simply degrading to recipients.
   
   Much of GIK is done on trust. We know our donors, and they know us. We provide our donors with a tremendous benefit: fulfilling their desire that commodities are used properly overseas.
   
   Many participants in the global GIK community know each other through trade groups like Interaction, Global Hand, and the Association of Evangelical Relief and Development Organizations “AERDO”. When someone tries to pass off junk as quality supplies, we let others know this has happened, so all of us can work responsibly to not waste our time, donors’ money or the hopes of our beneficiaries by sending junk.
   
   And when critical issues such as product safety are involved, our commodities are often inspected prior to shipment, either by WER representatives and/or government officials, and still again by government officials in the receiving country.
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6. What countries give the WER family its GIK?
   In the past two years, we have accepted donations from the US, England, Scotland, Canada, Hong Kong, France, Holland and Sweden. We hope to be soliciting GIK from more Pacific Rim countries and within the European Union (EU) by the end of 2005. We have had multiple offers from businesses in other countries, but these donations have been turned down as “not appropriate” for our purposes or quality standards.
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7. How does WER determine what GIK is needed overseas?
   We get many requests for GIK, both from our existing program partners, and also new organizations who have heard of us. All of the requests we honor come from sources (non-profits, service groups, government ministries, etc.) which have proven expertise for handling GIK and working successfully within their own culture and legal framework.
   
   We also maintain commodity “pipelines” for emergency disaster supplies, and we keep emergency supplies close at hand virtually year-round in several countries where either natural disasters or humanitarian crises call for immediate aid to be delivered within 24 hours.
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8. I’ve heard that some GIK gets “dumped” overseas. Is this true?
   Sad but true, some companies see GIK as a way to “clean out their closets”, but we will not knowingly participate in such efforts. In addition, our commodities are always accepted and approved by our consignees before anything is shipped by water, truck or air. We will NEVER knowingly ship just so we can claim to have “shipped something”
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9. How do you know WER’s GIK “really gets to the people who need it?”
   All of our GIK is secured through the shipping and distribution process, with protection varying from country to country (and even among communities within a country).
   
   Our GIK enjoys a variety of internationally recognized, legal documents. (including Bills of Lading) so we know our goods are actually shipped, and received. As many as 17 legal, auditable documents may be required for each container of GIK that we ship overseas.
   
   When GIK reaches the host country, it must clear Customs and is stored until distribution, often under armed guards in heavily secured warehouses.
   
   Our local workers or program partners distribute GIK like such as directly to individuals in need, with all distributions supervised (and often overseen by local police, for security). Medicines are distributed by qualified professional service deliverers to people who need them; we do not give medications directly to individuals.
   
   We then get written field reports, subject to audit, of how goods were distributed, and who received them. We often also get photographs.
   
   When GIK shipments are extremely sensitive, we may send people from a WER corporate office to oversee distribution and/or perform field audits. Also, we work with staff from other humanitarian organizations to watch over each other’s GIK, a cooperative and cost-efficient way to protect all of us form GIK misuse.
   
   WER also has a firm policy that reputable media are always invited to visit projects where our GIK go, to see for themselves both the program benefits of GIK and the process we go through to ensure safe delivery. When the WER family shipped over 35,000 boxes of emergency refugee aid to Kosovo a few years ago, American TV reporters found only one single instance of improper use, and that was in a chaotic war zone.
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10. How do you protect GIK from misuse?
    Our answer depends a bit on the GIK involved, and what you mean by “misuse”.
    
    For example, we do not ship medicines that local doctors and health authorities might not be familiar with. Likewise, some medicines are high grade “controlled substances” requiring strictly locked storage and supervision by trained medical personnel so the drugs are not wrongly prescribed, stolen, or abused.
    
    “Misuse” can also mean illegally selling GIK shipped for free distribution. Our consignees (GIK recipients) are well aware of our attitudes toward this, which are clearly expressed in our contract with each consignee. Our consignees are also firmly advised that any violation of this contract risks (1) an immediate cessation of future shipments; (2) possible recall of any remaining inventory to another local group; and (3) criminal prosecution or other legal action for our recovery.
    
    Many of our methods for protecting GIK from misuse are similar to the strict procedures we also have in place to prevent financial fraud overseas.
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11. How is GIK valued?
    The WER family uses a strictly defined method known as the “Interagency Standards”, first promulgated in 1992 AERDO GIK and now followed voluntarily by thousands of humanitarian agencies worldwide.
    
    Normally our corporate donors value their GIK for us at Fair Market Value (FMV), defined as wholesale or less, defined as what two reasonable parties might agree to pay, under normal situations, and considering quantity, packaging, impending expiration dates, etc.
    
    WER then verifies the reported wholesale FMV against other independent sources (catalogs from manufacturers, pharmaceutical handbooks, etc., as well as industry averages-per-pound for bulk used clothing, etc.). WER values the GIK at the lower of the donor’s assigned value or the value reported by our independent sources.
    
    We will lower the GIK value even further if, for example, the packaging is damaged or the product is mislabeled.
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12. Do you ever ship “valueless commodities”?
    Yes, if by “valueless,” you mean a commodity with no assignable Fair Market Value, but that is still useful and needed by our projects.
    
    We do NOT ship “worthless” commodities (i.e., unsuitable goods and products).
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13. Do you ever make GIK shipping decisions based on value alone?
    We never accept or reject a GIK donation solely on value, unless the commodity can be purchased in-country more effectively. If you looked at our shipping reports, you see containers ranging from books valued at $70,000 (wholesale or less) to eyeglasses ($1.2 million) and exotic new pharmaceuticals (upwards of $12 million for each container we receive from the manufacturer).
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14. Why should is GIK important to WER’s donors?
    Every donor wants their gifts to be efficiently and effectively used. GIK, when properly used, benefits the donor as well as our beneficiaries overseas.
    
    1. Our donors know that funds for the WER family’s GIK program are used to send highly appreciated, often life-saving supplies to the people who need those supplies.
    
    2. Those supplies are usually goods which, for a variety of economic, political, commercial and legal reasons, might not otherwise be available in the host country.
    
    3. Over a typical year, each WER global family member deploys, measured at “wholesale or less”, upwards of eight times its total cash donations in GIK value. In other words, every $1.00 given to WER conceivably will enable us to deliver more than $8.00 in aid. Some people refer to this as our “8-fold program service impact”.
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15. Why does GIK appear on WER’s financial statements as “income” when it is not “real money”?
    For three reasons:
    
    1. For most WER countries, anything of a “material” (i.e., significant, as determined by auditors) contribution impacts the “bottom line” for service delivery and, therefore, should be reported there.
    
    2. The AERDO GIK Interagency Standards that WER subscribes to and are used globally require this accounting treatment as “best practice”, as do many regulatory agencies and national accounting standards.
    
    3. Reporting GIK values in this way provides our donors with a far better picture of the scope of our activities, the risks and responsibilities we take to deliver humanitarian goods and services, and the impact of each donor’s support for our projects.
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16. What do you mean, “risks and responsibilities”?
    WER has multiple layers of responsibility for every GIK shipment: procurement, proper documentation and product safety, clearing Customs, proper distribution and monitoring, as well as adequate reporting back to our GIK and other donors and “better than adequate” anti-terrorist provisions.
    
    Likewise, WER carries risk with every GIK donation we accept. For example, shipping inappropriate food into a country could ruin our relationship with other organizations, including our partners with whom we have major investments.
    And if a drug gets delayed past its “best use by” lifespan while trapped in Customs or on the road to a hospital, WER runs the risk of heavy costs for proper disposal of dangerous chemical waste (the expired drugs).
    
    On an even more personal note, some countries from which WER receives GIK could prosecute WER leaders if any of our GIK fell into the hands of terrorists to help advance their causes, whether directly or indirectly.
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17. Why don’t more “local” (domestic) groups use GIK in their programs here at home?
    Some groups do, and particularly if they can get private donations and handle the volume, as well as health and safety requirements for the costly cleaning of used clothes, etc.
    
    However, many manufacturers and other business forbid use of their surplus products locally, lest such donated goods undercut their legitimate efforts to sell their products locally.
    
    In the United States, WER/US uses domestic GIK to support both its local disaster relief programs and its food outreaches to American Indian families.
    
    Whenever local charities can make good use of GIK in their own communities, we hope they will. And when we have appropriate, available GIK to share with them, we are glad to do so.
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18. Why would a company want to donate GIK to WER or any other charity?
    Even the largest corporations are a collection of people, employees and stockholders, with compassion in their blood. Thus, clothing manufacturers have produced clothing made exclusively for children to whom the WER family provides assistance overseas. Some pharmaceutical companies, recognizing the value of AERDO Interagency GIK Standards, now deliberately produce surplus first-run drug production, exclusively for GIK use by organizations using the Industry Standards.
    
    In some countries, our GIK contributors receive specific tax benefits for GIK as charitable contributions.
    
    Sometimes companies donate to WER so we can help them free up warehouse space for surplus commodities which need to get moving faster than the company’s own distribution channels allow.
    
    And frankly, when companies get down to “bottom lines,” donating GIK is often far less costly than other ways of disposing of their surplus inventory, with or without tax benefits.
    
    Again, however, WER does not permit the donor’s need to free up warehouse space or disposal of inventory to take precedence over our requirements that GIK be high quality material that will be useful and helpful to our beneficiaries.
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19. Does GIK ever get sold overseas?
    We warn our partners that if this does happen, they will receive no further shipments from us and they will risk both criminal prosecution and legal recovery by WER and the donating company. Each program partner signs a contract with WER protecting our GIK from this kind of activity.
    
    In rare instances, a GIK donor will allow its commodity to be “monetized” overseas, with all proceeds being used strictly for charitable purposes. This only happens with the original GIK donor’s written permission.
    
    And on occasion when our beneficiaries’ dignity is to be preserved because of local culture, WER or our local partner might charge a very small “service fee” for medicines or an X-ray at a clinic, etc. If this happens, the charge is adjusted to an individual’s ability to pay, at extremely minimal rates which are far more symbolic for human dignity than effective in covering operational costs.
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20. What are biggest challenges for WER in using GIK?
    Right now, three issues:
    
    1. Terrorism: The WER family is a high-volume user of GIK worldwide, including projects in some very “tough” countries where our commodities could be diverted to supporting terrorist activity (directly or indirectly). For example, food supplies could conceivably be diverted to supply a terrorist training camp.
    
    The WER family has instituted aggressive, global procedures to
    minimize or eliminate any shadows of terrorist activities in our partners, our own organization, the banks we use, and the other groups our partners work with.
    
    2. Secondary Markets: When a manufacturer has surplus product, the company can either donate the goods to charity (and perhaps get a tax write-off), or sell it “deep, deep discount” to a “bargain store” which sells the goods at extremely low prices.
    
    Some companies prefer to sell at a loss, simply because to donate GIK could raise the risk of a tax audit if a deduction was taken.
    
    3. Liability Riskis:  Sometimes a company will prefer to destroy inventory that could have been GIK donation because the liability risks (especially for food and drugs) are too high. We hope this sort of liability can normally be eased by local “Good Samaritan” laws.
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21. Do you have any evidence of terrorist groups using WER's GIK?
    We have no direct evidence that GIK distributed by WER has been used or diverted by terrorists, nor have we yet heard of this happening to other charities that distribute GIK. Despite the fact that many of us are strengthening our safeguards against such an event, the risks of working in Third World countries suggest that, sooner or later, this corrupt usage could likely happen. If and when it happens to WER or another charity, we will ascertain how it happened, whether it could have been prevented, and what steps WER will take to prevent it from happening again.
    
    WER will also fully cooperate with appropriate government and international agencies.
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22. How do you know the commodities WER sends are actually useful for the people in need and respect their own customs and traditions?
    We only ship supplies that our local partners have specifically requested; we do not ship just because we want to. We train our partners to be as specific as possible in what they want. When they ask for “medicine”, do they mean over-the-counter cold and flu medicines, some sort of antibiotic cream perhaps, or even a chemotherapy regime? When we are in doubt, we may ask for additional information or visit the partner site to ascertain the need and the appropriateness of the GIK requested.
    
    While we aim for cultural and program appropriateness in GIK that we send overseas, our ultimate authority for local needs, culture, legalities, and traditions will always be our local partners or our indigenous staff, as well as the governments of host countries (when their input is appropriate).
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23. Some people argue that GIK can destroy a local economy. Is this true?
    It can happen for certain commodities, and we work to avoid this. For example, if a community in Guatemala has a local factory employing 100 people to make shirts, we could undercut the local economy by shipping 50 sewing machines to help others nearby set up their “at home” business of making shirts.
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24. How do you decide who will distribute WER’s GIK overseas?
    We select our consignees and program partners carefully. They must be locally “legitimate” (a registered charity, a known service club, a government agency, etc.) with good references, strong governance and a proven ability to handle the kinds of GIK they are requesting, as well as the quantity they request. Do they have the manpower necessary? The trucks? The warehouse space? The security? Will they report back reliably? Do they have a “business plan” which gives them an orderly structure to be both efficient and effective?
    
    We are always open to new GIK partners, and one way we meet them is when we visit other projects we support in the host country.
    WER uses our “Eight Basic A’s” for selecting programs WER will consider for sponsoring.
    
    Each of our projects must meet:
    1-Asking: We must be asked to help. Without that “ask”, we can’t possibly know what aid to deliver, where, when or to whom. WER never “ships for the sake of shipping”.
    
    2-Accessability: Can our supplies be safely delivered and stored under adverse circumstances? Will local laws or practices (i.e., Customs delays or organized crime) hinder our work?
    
    3-Acceptability: Will our efforts be accepted locally? Foreign aid is not always welcomed in some cultures or under hostile conditions.
    
    4-Availability: Can WER get appropriate resources to do our job? Can we meet the requests of our project colleagues for specific needs? We will never knowingly “ship junk”.
    
    5-Affordability: Resources must be used wisely and committed carefully. In any WER outreach, we strive to avoid commitments we can't meet; Solid hope isn't built on shaky promises.
    
    6-Appropriateness: Is the proposed outreach a proper effort for a charity representing the United States of America? Would our donors be pleased or offended by a particular effort?
    
    7-Accountability: Will our resources reach the people we are determined to help and be properly used? Will we get field reports? Are site visits possible, even in war zones? Can we meet regulatory and audit standards, both in the U.S. and overseas?
    
    8- Anti-terror: Can we be reasonably certain our resources will not directly or indirectly aid terrorism or other criminal activities?
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25. Is GIK valuable for development work?
    Definitely. Agricultural equipment and supplies are a good example. We send seed, hand tools, and sometimes even tractors as GIK. This kind of GIK promotes indigenous food sufficiency, stimulates economic growth when farmers can sell surplus and support their families, promotes health through good nutrition, and enables children learn better in school.
    
    Likewise, GIK helps WER “build capacity” (deliver more and better services) for medical and educational in communities overseas. For a country wishing to build English literacy among its people to help their homeland grow in global trade, GIK library books we ship overseas (from contributing libraries) go a long way toward reaching that important local goal.
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26. Does WER audit GIK once it reaches your overseas partners?
    Yes. Depending on the value and sensitivity of the GIK we (1) do field audits with our own staff, volunteers and staff from other agencies with whom we cooperate; (2) engage local auditors (independent consultants, accountants, etc.) to inspect for us; and (3) send auditors from other countries to inspect and report back. Sometimes our ability to perform field audits must be tempered by local security issues (i.e., war zones).
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27. Do any “international guidelines” exist for the proper use of GIK?
    WER uses the “AERDO GIK Interagency Standards” for this purpose. The AERDO Standards include guidelines for program appropriateness, valuation, accounting standards, and best practices for distribution and methods of program evaluation. The AERDO Standards are now used internationally in dozens of receiving and sending countries, by thousands of GIK users.
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28. How did the AERDO GIK Interagency Standards come about?
    In the early 1990s, five organizations in the USA (World Emergency Relief, along with World Vision, International Aid, Food for the Hungry and MAP), met over a two-year period to develop the AERDO GIK Standards. WER’s Chief Executive was one of 8 people who actually wrote the GIK Standards, which are now followed worldwide by members of humanitarian trade groups such as Interaction, AERDO, and Hong Kong’s Global Hand. In the years since the AERDO GIK Standards were first written, they have been updated (most recently in 2000), and remain the most comprehensive “generally accepted accounting principles” for GIK.
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29. Why should these U.S. designed standards apply to the WER family or charities from other countries?
    The AERDO Standards are, by far, the most detailed expression of “best practices” available in any country. And in many countries where businesses that donate GIK to WER are located, the GIK Standards are the ONLY guidelines available.
    
    Given the number of agencies already subscribing to them which are U.S. based, and the global reach of U.S. overseas humanitarian aid, the GIK Industry Standards are also welcomed by host governments because they encourage better relief and development services to their own populations.
    
    The AERDO Standards, while voluntary, are also recognized by many charity watchdogs as “best practices” for charities that use GIK. The GIK Standards are intended to help organizations present their program and financial activities, fairly and honestly.
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30. How do the AERDO Standards protect the public from scams?
    The GIK Standards benefit the public and donors in several ways. Two examples would include:
    
    1. In conjunction with the World Health Organization initiatives promote the shipment of “fresher” medicine for charitable purposes, the long-time practice of sending “junk” (expired medicines, etc.) overseas has been virtually eliminated.
    
    2. Charities which follow the AERDO Standards send the best possible supplies overseas, fairly valued and without accounting or program abuses. Fairness consistency in reporting are ensured by both self-regulation and regulatory oversight.
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31. Are WER’s donors (whether giving money or commodities) protected by these GIK Standards?
    Yes. When donors support organizations using GIK properly in the adherence to the AERDO Standards, they can be confident that all reasonable steps and due diligence have been undertaken to ensure that high quality commodities are sent to people in genuine need, using good security and proper accounting methods, and with both program appropriateness maximized and a high degree of accountability and transparency at all stages.
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32. Have the Industry Standards helped ease concerns in “receiving” countries?
    Host governments and local organizations (service clubs such as Rotary and local charities) are eager to work with WER and other charities that follow the AERDO Interagency Standards, because they know our GIK is carefully targeted to meet specific local needs and help local citizens. And when they open our containers in front of the media, they won’t find junk!
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33. What’s the best objection you’ve ever heard about GIK?
    GIK sometimes gets a “bad report” when well-meaning people, ignorant of “best practices”, attempt to send GIK. They collect what appears to be a great load of used clothing, food, personal hygiene supplies, books and medical samples and then ship their goods overseas without consideration of local needs, local regulations or even the ability of their consignee to clear local Customs or properly distribute goods.
    
    What happens can be ruinous to local organizations who get overwhelmed with materials they have no capacity to distribute … either because they don’t have local resources like trucks and warehousing, or they simply don’t want the goods.
    
    For example, churches and service groups sent over 400 ocean freight containers of goods to victims of Hurricane Mitch in Honduras, containers whose content were ultimately (with considerable expense and inconvenience) destroyed in the host country. The supplies were not needed, inappropriate, unacceptable for health reasons, or spoiled because consignees could not clear Customs efficiently. People felt they had “done good” by sending their goods, but their efforts only caused further pain and confusion in a major disaster zone.
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34. What do you do with GIK when its “best used by” shelf life is very short?
    Our normal “best use” practices require 6-12 months time on the “best use” or “expiration” date. This allows up to two months for shipping, a month to clear Customs, and then time for local distribution to clinics, etc., followed by administration of time-limited goods to the end user (children and other people).
    
    If the shelf life is too short and we can make shipping and distribution arrangements to safely use goods in a shorter time frame, we will accept the commodity on an “encumbered” (devalued) basis.
    
    For example, when a pharmaceutical company will give a legally binding, written extension of its “best use” date and the host country’s Ministry of Health will accept that extension, WER will consider shipping the commodity to the Ministry of Health, without reporting any Fair Market Value on our financial statements.
    If we can’t reasonable expect to ship and distribute within the timeline required by governments and/or manufacturers, we will not accept the GIK donation.
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35. Do you reject donation offers of GIK?  Why?
    Usually we reject GIK because of short shelf life as determined by “expiration” or “best use by” dates on packaging. We also don’t accept GIK which could be put to questionable use (see comments elsewhere on terrorism) or which violate the WER family’s core values. We do not accept GIK which is unfit for human consumption. (Someone once offered us freshly canned vegetables, so dating was not a problem. But the cans also had small pieces of rock mixed in with the vegetables!)
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36. Where do you store your GIK?
    To keep expenses low, WER stores GIK wherever it is safe, and at minimal or no cost to us. GIK donors often let us use their facilities for storage until we are ready to pick up their donation, usually just a few days before overseas shipping. We also store at ports in our ocean-going containers, as well as at our partners or our own facilities in the host country. Part of our cost-saving comes from our ability to coordinate donor pick-ups with shipping schedules for our freight carriers (whether on water, land or air).
    
    Our own GIK warehouse would give visitors lots to see, smell and hear, but with tremendous expenses attached for rent, insurance, equipment and labor. By minimizing our warehousing expenses, we have generated annual savings of more than 30% on our total shipping and distribution costs.
    
    When absolutely necessary and cost-efficient, and with no other options available, we will rent warehouse space to store commodities prior to shipping.
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37. Has WER ever lost a GIK container?
    It’s happened in only one country, the Philippines, where corruption is common on the waterfront of all ports in the island nation. We have eliminated theft in the Philippines by slowing our shipping volume, so our containers do not get
    backlogged at local freight forwarders, which is the most vulnerable point for theft. Our program partners understand that as their ability to handle more containers grows, we will work to ship more containers to them.
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38. How do governments respond to GIK?
    Governments appreciate what WER and other AERDO Industry Standard charities ship. Our goods are immediately useful, high quality, culturally appropriate, tailored for local needs, and helpful for local people.
    
    Put another way, our GIK does not embarrass local service providers (government or private), nor do they need to dispose of unsuitable, unwanted supplies. They are pleased with what we send, and glad to receive it.
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39. What kinds of support do you give your overseas partners when you send them GIK?
    We make sure locals are properly trained to operated GIK equipment, whether medical, fire service, educational or otherwise. Administratively, we train local partners in what we expect for reporting and accountability. We teach them how to design better programs and then report their needs more effectively to us in their requests for aid (i.e., proposal writing). Financially, we may help pay distribution costs.
    
    We help local groups deliver more and better services to the people they seek to help. We call this “capacity building”, and it is essential to long-range programs designed to ease global issues such as hunger, disease, a lack of education and poverty.
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40. When I donate money, I want my money to go overseas, directly to the children in need.   Does WER do this?
    We hope you will reconsider, by using cash to ship GIK, we are able to leverage an unusually high “return on investment” for the funds you donate.
    
    WER also recognizes the value of sending funds directly overseas for local use. We do this also, especially when it is as effective to buy locally as to ship from overseas (particularly true for bulk rice, flour and pasta, as well as building supplies). Of course, shipping low value food sometimes is essential if regular food channels in the host country are not operating (for example, after a natural disaster).
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41. How can I obtain more information about WER’s GIK programs?
    If you would like more information about how WER uses or accounts for GIK, please email WER. If you or your business would like information about whether WER can use GIK that you would like to donate, please email WER. In either case, please leave us your telephone number and e-mail address, and we will respond to your inquiry promptly.
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