The paper analyses the 1996 EU food aid reform and addresses the question of its impact on improving EU food aid allocation in terms of reaching those countries which are most vulnerable to food insecurity. Using a two-stage regression model the analysis finds that EU food aid in kind is increasingly targeted towards developing countries affected by food insecurity. Most importantly, characteristics such as low calorie supply and balance-of-payments difficulties gained in importance in EU food aid allocation during the recent years. However, even though progress is noticeable, the results suggest a lack of coordination between the EU and other food aid donors which exacerbates food aid variability and may lower aid effectiveness.