Background on Sugar Policy Issues (CRS Report for Congress)
Premium Purchase PDF for $24.95 (29 pages)
add to cart or
subscribe for unlimited access
Pro Premium subscribers have free access to our full library of CRS reports.
Subscribe today, or
request a demo to learn more.
| Release Date |
Revised July 26, 2007 |
| Report Number |
RL33541 |
| Report Type |
Report |
| Authors |
Remy Jurenas, Resources, Science, and Industry Division |
| Source Agency |
Congressional Research Service |
| Older Revisions |
-
Premium Revised July 16, 2007 (29 pages, $24.95)
add
-
Premium Revised Feb. 26, 2007 (27 pages, $24.95)
add
-
Premium Sept. 6, 2006 (27 pages, $24.95)
add
|
Summary:
Attention on sugar trade issues now turns to the potential impact of free tradein sugar and high-fructose corn syrup (HFCS) - a substitute and cheaper sweetener- between the United States and Mexico, which takes effect on January 1, 2008.Because unrestricted sugar imports from Mexico are projected to result in budgetoutlays as U.S. processors default on price support loans - an outlook that conflictswith the current objective that the program operate at no cost - this issue is expectedto be a significant factor in upcoming farm bill debate.Gearing up for this, key interest groups have laid out their views on the futureof the sugar program. Sugar producers/processors want to extend the currentprogram, arguing this would maintain a viable industry. They have signaled theirinterest in requiring USDA to purchase "excess" imported sugar for "non-food uses"such as ethanol. Sugar users seek changes, acknowledging that changing the programinto an income and price support program similar to those for the other field cropsis not feasible because of limited funding for farm programs. USDA in its farm billpackage proposed that the current objectives of operating a no-cost program bymanaging supplies be continued with two changes. It would seek (1) the removal ofthe 1.532 million ton import trigger that automatically suspends allotments, and (2)discretionary authority to administer these allotments to reduce the program's futurecost exposure (estimated at $1.4 billion over 10 years).
