U.S. Sugar Producers Propose WTO Reforms to Improve Transparency, Accountability
The World Trade Organization (WTO) announced earlier this week that trade ministers and negotiators from around the globe will convene the week of June 13 for its 12th Ministerial Conference. In support of these important negotiating efforts, the American Sugar Alliance (ASA) released a new policy statement outlining four recommendations to improve the international trade body’s effectiveness.
WTO reforms will make dismantling unfair trade practices and subsidies an attainable goal, ASA noted, laying the foundation for a less distorted and more predictable global market.
A recent WTO dispute case finding the use of subsidies by mega sugar producer and exporter India to be inconsistent with its WTO commitments has served to starkly underscore the urgent need for reform. Despite the WTO’s findings that India vastly exceeded the allowable level of subsidies for its sugarcane producers and also employed WTO-illegal export subsidies, India has vowed to maintain its market-distorting policies as it pursues the WTO appeal process.
This is a glaring example of the current dysfunction at the WTO that has hindered real reform in the global sugar market. With the Biden Administration’s stated goal of “enforcing global agricultural trade rules” in defense of America’s farmers and food manufacturers, ASA believes now is the time to act. ASA proposes the following reforms:
- Accountability. Impose more rigorous disciplines on the practice of members’ self-designation of “developing country” status and the accompanying application of “special and differential” treatment.
- Modernization. Update the methodology by which countries measure levels of government support. The current methodology is based on commodity prices during an arbitrary three-year period in the 1980s.
- Transparency. Improve the transparency, timeliness, and, importantly, the accuracy of country notifications relating to domestic support and export subsidies.
- Enforcement. Overhaul the dispute settlement mechanism to ensure that, if necessary, a member’s noncompliance with established obligations can be addressed in a timely manner.
“Sugar markets are widely considered to be the most distorted and volatile commodity markets in the world, with billions in foreign subsidies encouraging over production by inefficient producers,” said Dr. Rob Johansson, ASA’s Director of Economics and Policy Analysis. “Unlike other countries, U.S. sugar farmers and workers produce a reliable supply of sugar under some of the world’s highest safety, labor, and environmental standards and at zero cost to taxpayers.”
“Implementing common-sense reforms can create a WTO that reflects 21st century realities,” said Luther Markwart, ASA’s chairman. “Our industry has long advocated for the verified elimination of all global sugar subsidies and a modernized WTO will place us one step closer to achieving that goal.”
These reform proposals are also in alignment with the bipartisan Zero-for-Zero approach to eliminating foreign sugar subsidies, which was introduced in Congress last year and is supported by America’s sugar producers.




























American BioCarbon saw an opportunity to create a dense, transportable energy source that doesn’t have to be used onsite but can be shipped to anyone in the world. They process the bagasse into compressed, portable pellets.
In addition to renewable fuel pellets, American BioCarbon also produces biochar and absorbent pellets. Biochar captures carbon from the sugarcane plant and is then returned to the field to improve water retention, decrease runoff, improve nutrient retention and soil carbon content, and increase crop resiliency. Biochar sequesters carbon in the soil that would have otherwise been released if the bagasse were left to decompose naturally.









“I just felt a great need to create something I can teach them and bring about that awareness of how important agriculture is to everyone,” Denny says.


M.A. Patout runs the oldest family-owned sugar mill in the United States. The company’s namesake, Mary Ann Patout, was one of the most remarkable women in Louisiana history. It’s still a family-oriented company, and Sandor credits the company’s positive culture with being a force for good in his community.















Sugar farmers have always been quick to share their blessings by supporting food donation efforts. However, the pandemic has created even greater food insecurity in many of our rural communities. In response, farmers and sugar companies have stepped up efforts to help, including Florida Crystals.
For decades, America’s sugar industry has been proud to be a sustainable economic driver in communities across the country, producing high-quality sugar while providing well-paying jobs. As America comes together to present a united front against the COVID-19 virus, the on-farm and factory jobs the sugar industry supports across America are more important than ever in keeping communities strong and a crucial food ingredient flowing to American families.
The iconic Domino Sugar refinery in Baltimore, Maryland, delivered sugar to Catholic Charities of Baltimore, which was distributed to four food pantries in the city and will be used at Our Daily Bread Employment Center to provide individuals with a daily hot meal.
When the farmers at U.S. Sugar saw that many of their neighbors in the community were facing food insecurity due to the ongoing COVID-19 pandemic, they knew exactly what to do.
While still working in fields and factories to produce an essential food ingredient, sugar farmers and producers across America have also been quietly acting in a multitude of ways to support our communities during this unprecedented pandemic. These extraordinary gestures are an ordinary act for an industry that prides itself on providing a helping hand and investing in sustainable communities.
Sugar producers have donated nourishing produce to food pantries and sugar to distilleries to produce hand sanitizer. They’ve provided protective equipment to keep frontline health care providers safe. And they’ve purchased gift cards to help local restaurants stay open and employees fed.










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