Legislation targeting job-killing foreign sugar subsidies is back before Congress with the reintroduction of the Zero-for-Zero sugar policy by Congressman Ted Yoho (R-FL).
The president of the American Sugarbeet Growers Association and a fifth-generation Louisiana sugarcane farmer spoke today at Agri-Pulse’s Farm Bill Summit.
Former U.S. Rep. Eligio “Kika” de la Garza II (D-TX), a longtime House Agricultural Committee chairman who became the first Mexican-American to represent the Rio Grande Valley in Congress, died this week.
In the interest of shining a light on global subsidies and pushing for a Zero-for-Zero sugar policy, we’ve decided to share our running list with the world.
More than 23,000 of the 123,000 jobs lost in that analysis come from soft drink (HFCS, not sugar) and ice manufacturing. And there’s no sugar in ice.
The American Sugar Alliance released the following statement about President Trump appointing Ray Starling to the National Economic Council.
When it comes to sugar production, Brazil is the big, bad bully on the block. using at least $2.5 billion a year in subsidies and other government goodies.
September 30 marked the end of the 2016 fiscal year, and with it, yet another 12-month period that U.S. sugar policy operated at no cost to taxpayers.
As Mexico dumped subsidized sugar onto the U.S. market in recent years and sent sugar prices spiraling downward, consumers paid more for sweetened products and food manufacturers’ revenues grew.
As Mexico dumped subsidized sugar onto the U.S. market in recent years and sent sugar prices spiraling downward, consumers paid more for sweetened products and food manufacturers’ revenues grew. That’s according to Jack Roney, an economist with the American Sugar Alliance.
In Hawaii, like other places, sugar was attractive because it could be grown and shipped as nearly a finished product. That kind of crop is hard to replace.
As sugar production in America changed and became more mechanized, the skills of Hawaii’s labor population had to change, too.
The first laborers were men who came for 2-year stints. Then families started arriving.
December 12 marked the last sugar harvest in Maui and a sad day in the U.S. sugar industry. After more than a century, Hawaii will no longer produce sugar.
We asked a former journalist who was brand new to sugar policy to research it and write a brief explanation for new Hill staff or Administration officials.
With leaders like this, who are dedicated to putting U.S. interests first and defending jobs in rural America, things are looking brighter.
America’s sugar producers would like to congratulate former Georgia Governor Sonny Perdue on his nomination to serve as the next Secretary of Agriculture.
A United Nations report on human rights abuses in countries that grow sugarcane suggests sugar is produced in some countries no matter the human cost.
Congressman Ted Yoho (R-FL) took to the pages of Townhall.com today to discuss America’s future trade agenda and how his “Zero-for-Zero” sugar policy proposal would help by “holding cheaters accountable.”
“Mr. Lighthizer’s commitment to strong enforcement of U.S. trade agreements and laws make him a perfect choice for USTR.”
Unfortunately, agriculture has been subjected to fake news for years. When we encounter “Fake Farm News,” we try to set the record straight.
We have a problem with a Chicago-based think tank, the Illinois Policy Institute, carelessly using half-truths to make its case.
Between the presidential election and the Thanksgiving holiday, it’s understandable if you missed a lot of farm-related news. So, ASA flagged a couple of recent articles that we found particularly interesting.
Ask most people to define a leader’s most important quality using just one word, and you’ll hear the word “inspirational” time and time again. No adjective better defines George Wedgworth, 88, a legend of the U.S. sugar industry who passed away earlier this week.
In case you missed it, there’s something far more terrifying than ancient mummies rising in Egypt this Halloween. They’ve run out of sugar and, believe it or not, it’s leading to civil unrest.
America’s sugar producers may be fierce competitors in the marketplace, but they regularly join forces on important issues like defending no-cost sugar policy and promoting a global market that is free of foreign subsidies.
Big Candy has said very little publicly about their Farm Bill subsidies, far too busy complaining about a no-cost sugar policy.
The Heritage Foundation, a conservative think tank, recently released a report demanding the elimination of farm policy, including crop insurance and the safety nets for producers of corn, soybeans, wheat, cotton, rice, dairy, sorghum, sugar, and other crops.
Summer is waning and year’s end will be here in a blink of an eye. And with it, the end of an era for America’s sugar industry, as the last sugar production facility in Hawaii officially closes.
Big Candy, which boasted about being “recession proof” between 2008 and 2010, is apparently “deflation proof” in 2016.
In case you haven’t noticed, your grocery bill should be getting smaller this year. It’s been a big money saver for some, and the “epic fall in food prices” even garnered front-page attention in the Wall Street Journal last week.
From the International Sweetener Symposium:
Coeur d’Alene, Idaho—Grocery shoppers with a sweet tooth are paying more than double what they paid for a candy bar 10 years earlier, even though the sugar in that candy bar is cheaper today than a decade ago. That’s according to an annual survey of sweetened product prices conducted by the American Sugar Alliance (ASA).
From the International Sweetener Symposium: Coeur d’Alene, Idaho—Leaders from the U.S. and European sugar industries today agreed that no new market access commitments for sugar should be included in the Transatlantic Trade and Investment Partnership (T-TIP) trade deal between the United States and the European Union (EU). “America’s sugar market is already oversupplied with unneeded…
From the International Sweetener Symposium:
Coeur d’Alene, Idaho—The U.S. Department of Commerce found Mexico’s sugar industry guilty of dumping subsidized sugar onto the U.S. market and harming American producers. But the 2014 settlement forged between the two governments to avoid retaliatory tariffs isn’t working, a United States Senator said today at the International Sweetener Symposium.
From the International Sweetener Symposium:
Coeur d’Alene, Idaho—Calling Tom Vilsack “one of the finest secretaries that agriculture has ever had,” American Sugar Alliance chairman Luther Markwart paid special tribute yesterday to the current leadership at the U.S. Department of Agriculture (USDA).
“Secretary Vilsack has been very good to our industry and has always been thoughtful,” he explained at the International Sweetener Symposium. “Over the past eight years, his team has implemented two farm bills, worked to build good trade deals for agriculture, and maintained an open-door policy for producers through it all.”
From the International Sweetener Symposium:
Coeur d’Alene, Idaho—Two studies touting the importance of U.S. sugar policy took center stage today when the American Sugar Alliance released a new video about studies by professors at Texas A&M University and the University of Maryland.
From the International Sweetener Symposium:
Coeur d’Alene, Idaho – U.S. sugar prices have fallen while prices on the world market are rapidly rising, taking a key argument away from opponents of U.S. sugar policy who have long complained about not having more access to heavily subsidized foreign supplies.
From the International Sweetener Symposium:
Coeur d’Alene, Idaho — As the 33rd International Sweetener Symposium kicked off this morning, attendees received a warm welcome from Agriculture Committee leaders.
“We don’t have an economy or a middle class, for that matter, if we don’t make things or grow things. And that’s what each of you do,” Sen. Debbie Stabenow (MI), the top Democrat on the Senate Agriculture Committee, said in a video message. “America’s great sugar industry is an essential part of the rural economy and our nation’s agricultural economy.”
Govt. Handouts Total $1.7 Billion a Year and Distort Global Prices From the International Sweetener Symposium: Coeur d’Alene, Idaho — A new report released today at the International Sweetener Symposium details the estimated $1.7 billion in annual subsidies propping up India’s inefficient sugar industry. The study’s author, Antoine Meriot of Sugar Expertise, LLC, spent months…
Last week, the candy industry’s lobbying arm sent an email to select Hill offices informing lawmakers that not every state had sugar-related jobs.
Duh. That’s pretty obvious. Sugar can’t be grown in every state because of climate and soil conditions.
Each month, the USDA posts updated sugar pricing information on a website it has dryly titled “Sugar and Sweeteners Yearbook Tables.” The site itself is a bit of a labyrinth, with more than 60 tables tracking production, price, and consumption data. But if you know where to look, the site can be a wealth of information.
India’s government sets high sugar prices for its farmers, subsidizes mills to pay farmers the inflated prices, blocks competing imports, offsets farm input costs with subsidies, extends no-interest loans to cane millers, forgives many of those no-interest loans, and subsidizes exports to give its sugar producers a leg up on the world market. If you…
Talk about wanting to have your cake and eat it too.
The month of June saw the National Confectioners Association (Big Candy) and its members brag to lawmakers about the growing economic might of its industry while simultaneously trying to convince Congress that no-cost U.S. sugar policy was leading to economic hardship.
Later this week, the CATO Institute – a perennial critic of no-cost U.S. sugar policy – will host an event to applaud India’s economic reforms of the past 25 years. The event’s online flyer touts India’s “miracle economy,” which was realized after it “abandoned its traditional socialist policies and embraced economic liberalization and globalization.” Perhaps…
During debate of the 2014 Farm Bill, many ag leaders reminded farm policy detractors that farm bills were written for the bad times not the good.
Back then, commodity prices were strong, farm incomes were up, farmland values were at all-time highs, and the global demand outlook was bright. Even though farm policy was operating well under budget because of a resilient rural economy, critics didn’t understand the need for a safety net and even championed gutting farm supports, including no-cost sugar policy.
Ahhh…spring is in the air. Birds are chirping, the sun is shining, blooms are blooming, farmers are planting, and the USDA is busy releasing attaché reports.
Ok, that last one isn’t exactly a springtime staple, but it does occur like clockwork every April, and these reports often go unnoticed despite their importance.
The price that U.S. grocery stores pay for sugar peaked in 2010 after shortages hit the global market and needed imports were difficult to attract. As a result, grocery stores charged shoppers more for bagged sugar at the checkout line in order to maintain their profit margins.
But market conditions quickly changed. Foreign exporters increased production with the aid of subsidies, turning shortages into surpluses, and prices on the world and U.S. sugar markets fell rapidly. However, the price that shoppers pay didn’t follow suit. Instead, it continued to climb.
New Texas A&M Study Details Importance of Current No-Cost Policy FOR IMMEDIATE RELEASE: May 17, 2016 CONTACT: Phillip Hayes, 202-507-8303 WASHINGTON – Current legislative proposals to change U.S. sugar policy may be positioned as modest reform, but they would have dire economic consequences on U.S. sugar producers, put U.S. taxpayers on the hook, and leave…
Back in 2007, raw sugar prices on the world market averaged just shy of 10 cents per pound.
To put that figure into perspective, the global average cost of producing a pound of raw sugar was more than 17 cents.
Yes, the price was low and producers were losing money on every pound of sugar sold. But amazingly, it was up more than 10% from the 8.8 cents per pound it averaged the decade before.
It’s rare that a general business reporter with a national publication writes about the intricacies of the domestic sugar market. It’s even rarer that the resulting report is 100% spot on.
That happened this week at the Huffington Post. And instead of adding any of our own commentary, we’ll just repost their write up.
For Immediate Release: April 18, 2016
Contact: Phillip Hayes, 202-507-8303
WASHINGTON – Since the current U.S. sugar policy took hold in 2008, candy companies and producers of other sugar containing products (SCP) have added jobs, increased production, and boosted profitability, according to a new study by the dean of the University of Maryland’s business school.
Dr. Alex Triantis, who prepared the report for the American Sugar Alliance (ASA), wrote: “During 2009-2014 – a period that included a U.S. economic recession and unusually high world and U.S. sugar prices – SCP industry jobs rose by 3 percent while non-sweetened-food industry jobs were flat.”
With so much going on in the world this week, chances are good that you missed a handful of important – albeit not-so-widely-read – sugar stories. So, we’ve flagged them for you and offered a little context.
The volatile world sugar market reminded us once again why it cannot be trusted to provide stable supplies. As Reuters noted in an April 1 article:
Jamaica is pretty good at growing sugar. They’ve been doing it since the 1600s, and sugar has largely fueled Jamaica’s economy ever since.
But that proud history could be coming to a bitter end, wrecked by global prices that have been grossly depressed by subsidies. Here’s how Jamaica’s sad sugar story has unfolded.
Sugar subsidies are spinning out of control on the global stage and one country, ironically, has had enough. Mega-subsidizer Brazil said last week that it was filing an international trade case against Thailand for manipulating the world market with trade-distorting policies.
According to a Reuters article on the case:
It may be as nasty as ever out on the campaign trail, but here in Washington, things have been a little sweeter lately. That’s because dozens of sugarbeet and sugarcane farmers from across the country came calling on Congress last week. And dozens more will be in town this week to continue those meetings.
Though few outside of the Beltway pay much attention to the President’s budget every year, it is a noteworthy event inside Washington, DC.
In honor of Valentine’s Day, a couple of sugar policy critics penned a hateful article for the Wall Street Journal that spewed the same old erroneous talking points that have been used by Big Candy lobbyists and disproven for nearly three decades.
“It will not be doubted that with reference either to individual or national welfare, agriculture is of primary importance…” George Washington said that.
Similar quotes by great leaders have been sprinkled throughout the history of our proud nation ever since, and their words make clear just how important farmers and ranchers are to America’s economy, security, and way of life.
The Congressional Budget Office is charged with providing Congress budget estimates for all government policies. Sugar policy is no different, and critics often like to point to these estimates – especially in the out years – as a way to criticize sugar farmers’ safety net.
It might be a new year, but it’s the same old story.
Big Candy is complaining about no-cost sugar policy causing them financial hardship while they are simultaneously (albeit quietly) celebrating financial success. Consider these headlines from just the past couple of weeks:
U.S. Senator John Hoeven (R-N.D.) had some harsh words for the Organization of Petroleum Exporting Countries (OPEC) when he delivered the Republican Party’s weekly address on Jan. 9.
“Make no mistake, we are locked in a global battle to determine who will produce oil and gas in the world in the future,” he said. “Will it be OPEC? Russia? Countries like Venezuela? Or will it be us, the United States?”
FOR IMMEDIATE RELEASE – December 22, 2015 CONTACT: Phillip Hayes, 202-271-5734 (cell) WASHINGTON—The American Sugar Alliance issued the following statement about the results of the 10th World Trade Organization (WTO) Ministerial Conference in Nairobi, Kenya: “We commend our Nairobi negotiating team for their hard work in securing an agreement that will bring a definitive end to…
‘Twas two weeks before Christmas, and in the U.S. House; Sugar policy critics were still busy running off at the mouth. Spreading lies about sugar price was their preferred tact; A not-so-jolly, bearded Norquist even got in on the act. They claimed Americans get burned as domestic prices soar; Ignoring the fact that the rest…
In an amazing twist, some of the world’s biggest sugar subsidizers signaled a desire to start a conversation about rolling back global subsidies to help make the market freer and fairer.
Sounds promising, except for the fact that a couple of vocal U.S. politicians were simultaneously signaling their desire to simply end U.S. sugar policy and reward subsidizers with more U.S. market share, thus foregoing any chance of worldwide reform.
The President of the United States is in Europe discussing a global climate accord, which will hold economic and political ramifications for generations to come. Foreign allies are debating enhanced military involvement in the war on terror. Violence has gripped many U.S. cities. Racial tensions are flaring. A leading measure of U.S. manufacturing just fell to its lowest level since the recession, and overall business investment is slumping, dragging down the economy.
And at least two DC figures – Republican Congressman Joe Pitts and Grover Norquist – are screaming at the tops of their lungs this week that Congress must drop everything and focus on one key issue immediately: U.S. sugar policy.
With all of the excitement of the past month in the world of agriculture – including a secret attack on crop insurance, sugar policy’s bizarre mention in a presidential debate, anti-farmer forces angling to reopen the farm bill, and Thanksgiving – some important foreign subsidy news almost went unnoticed. Almost.
Congress made a promise to rural America when it passed the 2014 Farm Bill, which was the bi-partisan product of more than three years of careful deliberation and 40 hearings.
Although the 2014 Farm Bill reduced spending by $23 billion, lawmakers promised farmers that the bill would still provide them a strong five-year safety net to manage extreme weather and wild price swings caused, in part, by foreign subsidies and market manipulation.
The road to the White House is long and twisting indeed, and it has taken some unusual turns so far. Candidates have discussed fantasy football, their undergraduate college years, competitors’ physical appearances, who’s really the most successful, inheritances, and who saw whom in the green room before a television appearance.
Little of this noise affected agriculture though, until this week’s Republican Presidential debate made an unexpected detour down a rural country road. Sen. Ted Cruz (R-TX), a well known opponent of agriculture (including ethanol and crop insurance), amazingly proclaimed that he wanted to reopen the Farm Bill and end U.S. sugar policy in order to boost defense spending.
FOR IMMEDIATE RELEASE: November 10, 2015 CONTACT: Phillip Hayes, 202-271-5734 (cell) WASHINGTON — After reviewing the official text of the Trans-Pacific Partnership trade deal the American Sugar Alliance issued the following statement: “We have carefully examined the final language and details of the Trans-Pacific Partnership and are pleased to confirm that America’s trade negotiators delivered…
The past couple of weeks have been challenging, gratifying, and enlightening for the agricultural community.
Challenging in that an 11th hour, secret deal struck as part of a budget package contained crippling cuts designed to gut the crop insurance system on which so many farmers depend. In other words, the five-year contract that Congress signed with rural America as part of the 2014 Farm Bill would have been ripped to shreds before its effects were ever really felt.
Gratifying in that farmers from coast to coast quickly joined forces to lock arms and fight back when attacks surfaced. First, in a herculean lobbying effort to effectively beat back crop insurance cuts. Then, in sending a clear signal to anti-farmer forces angling to reopen the Farm Bill to target U.S. sugar policy.
In the early 1900s, the candy industry was starting to see big sales around Christmas and Easter. But there was a gaping hole in the fall sales season. So industry leaders hatched a plan in 1916 to boost profits in October.
They concocted a holiday called (not so subtly) “Candy Day.” The Atlantic wrote an article all about Candy Day in 2010, and the publication unearthed some interesting materials from the National Confectioners Association, including these little ditties from 1916:
|FOR IMMEDIATE RELEASE:
October 21, 2015
|CONTACT: Phillip Hayes
WASHINGTON—During a House Agriculture Committee hearing about foreign agricultural subsidies today, U.S. sugar producers publicly pledged to scrap U.S. sugar policy if other countries would stop manipulating the global sugar market with trade-distorting policies.
“Absent government intervention, the world sugar price would rise to reflect the cost of producing sugar, and America’s efficient producers could compete well on a level playing field,” said Jack Roney, director of economics and policy analysis for the American Sugar Alliance. “We have endorsed a congressional resolution to eliminate U.S. sugar policy when foreign countries eliminate theirs.”
FOR IMMEDIATE RELEASE: October 20, 2015
CONTACT: Phillip Hayes, 202-507-8303
WASHINGTON — The U.S. International Trade Commission (ITC) agreed today by a 6 to 0 vote that Mexico’s sugar industry harmed American producers by dumping subsidized sugar onto the U.S. market.
The verdict means that an accord signed by the U.S. and Mexican governments to establish a needs-based trading structure and stop Mexico’s abuses will remain in effect for at least five years.
Ever since debate over the most recent Farm Bill began, large food manufacturers have been crying poor. It’s been the same old story since the debate began around 2011, and it continues even today as these companies lobby to reopen the recently passed Farm Bill.
Sugar policy, these critics say, is causing them financial pain, and the only way to rectify the situation is to outsource U.S. sugar production and let heavily-subsidized foreign producers flood the market with cheap sugar.
WASHINGTON—The American Sugar Alliance issued the following statement about today’s announcement that an agreement was reached on the Trans-Pacific Partnership (TPP) trade deal: [pullquote] “The American Sugar Alliance still needs to review the final language and verify details in the Trans-Pacific Partnership, but we are cautiously optimistic about what we’ve learned from U.S. trade negotiators. …
U.S. sugar production spans hundreds of communities in 22 states, supports 142,000 jobs, and pumps $20 billion a year into rural America.
At the American Sugar Alliance, we often cite big, national figures like these to drive home the importance of maintaining a strong sugar policy and supporting an important industry that helps feed the country.
The American Sugar Alliance has been sounding the alarm bells over increased foreign sugar subsidization for years. Subsidies by big exporters like Brazil and Thailand have destroyed the global sugar market and have given rise to new sugar programs elsewhere.
|FOR IMMEDIATE RELEASE
September 17, 2015
|CONTACT: Phillip Hayes
WASHINGTON—The U.S. Department of Commerce (DOC) today ruled that Mexico’s sugar industry unfairly dumped subsidized sugar onto the U.S. market. Mexico’s sugar industry was found to be dumping at margins of 40.48 percent to 42.14 percent and subsidized from 5.78 percent to 43.93 percent. Mexico’s government-owned sugar mills were subsidized at 43.93 percent.
In March of last year, Mars officially opened its new $270 million state-of-the-art factory in Topeka, Kansas. When christening the new home of Snickers and M&Ms, the company happily announced the addition of 200 local jobs and said the new plant would meet customer demand for 50 years.
The news media recently made a huge deal about the 10-year anniversary of Hurricane Katrina. And rightfully so. The storm changed the country forever and demonstrated how Americans come together with compassion and humanity to help their fellow citizens in crisis. For the sugar industry, the 2005 hurricane season was likewise life changing. And it…
India’s sugar industry has become the poster child for government handouts lately. But it keeps complaining no matter how much subsidy it receives.
When first confronted by domestic surpluses and global prices deflated by Brazilian and Thai subsidies, India’s government stepped in to ease the pain. In March, it announced $90 million in WTO-illegal export subsidies to help sugar producers offload their excess.
Australia’s sugar industry and the Big Candy lobby are as thick as thieves these days, joining forces to harm U.S. farmers, take essential sugar markets away from American allies in poor countries, and undercut existing agreements with Mexico. Luckily, U.S. trade officials have shown tremendous resolve during Trans-Pacific Partnership talks to not undermine U.S. sugar…
USDA Under Secretary Reiterates TPP Sugar Pledge at International Sweetener Symposium, Underscores Trade’s Importance
U.S. Department of Agriculture Under Secretary Michael Scuse today addressed the 32nd International Sweetener Symposium, where he thanked U.S. sugar producers for the manner in which they’ve worked with U.S. officials during the ongoing Trans-Pacific Partnership (TPP) negotiations.
When agricultural opponents targeted U.S. sugar policy during July’s appropriations process, the American Farm Bureau Federation and the National Farmers Union were among the groups that stepped up to defend sugar farmers.
Lawyers representing U.S. sugar producers today released a timeline of key dates in the anti-dumping and countervailing duty cases against Mexico’s sugar industry. Robert Cassidy, a partner with Cassidy Levy Kent, LLP in Washington, D.C., also gave attendees of the 32nd International Sweetener Symposium an update on where the process stands.
Luther Markwart, executive vice president of the American Sugarbeet Growers Association, was elected chairman of the American Sugar Alliance (ASA) on Monday. And he wasted little time in jumping to the defense of all U.S. sugar producers.
Luther Markwart, executive vice president of the American Sugarbeet Growers Association, was elected chairman of the American Sugar Alliance on Monday. And he wasted little time in jumping to the defense of all U.S. sugar producers.
Consumers are being overwhelmed with information about the food they purchase and eat every day – with sugar in the middle – and it’s fueling confusion and changing the way different generations shop. That’s according to a panel of consumer and scientific experts today at the 32nd International Sweetener Symposium.
A senior U.S. trade official yesterday told American sugar producers that the government will not consider unreasonable sugar market access demands by foreign nations in the ongoing Trans-Pacific Partnership negotiations, thus solidifying its commitment to the smooth operation of no-cost U.S. sugar policy.
Candy bar prices jumped another 10 cents this year to an all-time high $1.49, and sugar makes up just 1 percent of the cost, according to information released by the American Sugar Alliance (ASA) today at the 32nd International Sweetener Symposium.
When global sugar prices began tanking more than three years ago, analysts predicted that worldwide production would fall and prices would quickly rebound. But the opposite occurred with prices recently dipping to the lowest point since 2008, and most observers now expect the slide to continue.
Jack Roney, an economist with the American Sugar Alliance, says times are sweet for the candy industry right now. In remarks today at the 32nd International Sweetener Symposium, Roney explained that while jobs in other food manufacturing sectors have declined, employment has risen for companies that produce sugar containing products, or SCPs.
The European Union is in the midst of overhauling its sugar program, and when the transition is complete, sugar producers will receive $665 million a year in subsidy checks. That’s according to a new paper about announced policy reforms by Patrick Chatenay, a sugar policy expert from the UK-based company ProSunergy.
Besides exposing Thailand’s $1.3 billion a year in sugar subsidies, Antoine Meriot also made another valuable observation in his recent study. It compared the efficiencies of sugar makers, noting, “Thai sugar producers are relatively inefficient compared with other major producers, such as leading exporter Brazil.” Specifically, Meriot used sugar recovery rates – a measurement of…
“We’re talking to all the parties, and sugar’s obviously a great sensitivity to our market here, and whatever we do in that area won’t undermine the sugar program.”
The Big Candy lobby and others who want to outsource U.S. sugar production and U.S. sugar jobs have criticized U.S. sugar policy for harming the “free market.”
Sugar critics base this talking point on people’s uninformed assumptions that the U.S. market is closed and that a global free market actually exists. But is American sugar really an impediment to free-market forces?
The Big Candy lobby and others who want to outsource U.S. sugar production and U.S. sugar jobs have publicly decried U.S. sugar policy because of its cost to taxpayers. Sugar critics base this talking point on a one-year anomaly. But is sugar policy really a drain on U.S. taxpayers? Not according to the U.S. Department of Agriculture, the Congressional Budget Office, or the Food and Agricultural Policy Research Institute – all of which agree that sugar policy will cost $0 over the life of the current farm bill.
The Big Candy lobby and others who want to outsource U.S. sugar production and U.S. sugar jobs have said that U.S. sugar policy harms consumers by keeping domestic prices higher than the rest of the world. Sugar critics base this talking point on the faulty assumption that cheap subsidized sugar from the “dump market” flows freely everywhere else in the world. But is foreign sugar really that cheap?