Reallocation Will Help Alleviate Historically Tight U.S. Sugar Supplies

Washington, D.C. (March 14, 2023) – The Sweetener Users Association (SUA) today welcomed a decision by the Office of the U.S. Trade Representative (USTR) to reallocate unused country-specific quota allocations under the tariff-rate quotas (TRQs) on imported raw cane sugar for fiscal year (FY) 2023. SUA had previously asked USTR and the U.S. Department of Agriculture (USDA) for a reallocation to help U.S. sugar-using companies meet demand during a time of historically tight sugar supplies.

“We appreciate that USTR has provided the potential for more raw sugar supplies and has done so early enough in the year that the reallocation is meaningful,” said SUA President Rick Pasco. “SUA members continue to support expanded sugar production and refining capacity in the United States, but we are grateful USTR exercised its existing authority to help ease the acute sugar supply crisis.”

In making the case for USTR action, SUA cited converging issues causing supply constrictions this year, including two separate force majeure declarations by U.S. beet sugar sellers and significant supply disruptions to raw cane sugar imports from the Philippines. Consequently, prices remain at historically high levels and multiple sellers of sugar have withdrawn from the market, telling customers they have no uncommitted sugar to sell.

“We urge USDA to follow USTR’s announcement with additional action under existing laws and regulations to help U.S. sugar-using companies meet market needs,” concluded Pasco.

Media Contact:

Kate Klimaszewski