Foreign subsidies have made sugar the world’s most distorted commodity market. Still, America imports more subsidized sugar than any other country, buying sugar from 41 countries regardless of our needs because of trade agreements. U.S. producers want to eliminate all global sugar subsidies and let a true free market take shape.
- The world sugar market is a thinly traded, heavily subsidized dump market that is the world’s most volatile commodity market.
- 110 countries produce sugar and almost all of them have subsidies of some kind.
- Using $2.5 billion a year in subsidies, Brazil now controls 38% of global sugar exports—by comparison, Saudi Arabia controls just 19% of crude oil exports.
- Mexico’s close government involvement with sugar production and direct support of the industry has helped make Mexico the world’s 7th largest sugar producer.
- India relies on $1.7 billion in annual subsidies to prop up its inefficient sugar industry.
- Thailand emerged as the world’s second leading sugar exporter thanks to $1.3 billion a year in subsidies.
- European sugar growers receive nearly $700 million a year in subsidy checks.
- U.S. producers support a free world market and elimination of all global sugar policies, but oppose unilateral disarmament.
- Congressman Ted Yoho’s bipartisan Zero-for-Zero Sugar Policy — H.Con.Res. 7 — is common-sense legislation that will offer true global free-market reform.