Sugar Caucus Asks USDA Not to Loosen TRQs, Mexican Export Restrictions
The Congressional Sugar Caucus, led by Reps. Garret Graves, R-La., Dan Kildee, D-Mich., and Mike Simpson, R-Idaho, are asking the Agriculture Department and Commerce Department not to increase tariff rate quotas or allow Mexico to export more sugar to the U.S. during the current marketing year.
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The group recently made public a letter to the administration laying out their case.
"In July of 2022, USDA increased the amount of sugar that Mexico could send to the U.S. market by 135,000 tons and then provided to our other trading partners an additional 100,000 tons of sugar access. The actions taken in July coincided roughly with the request the Administration received from the Congressional Candy Caucus to raise import access from Mexico and from our WTO trading partners. Given that USDA has already undertaken both of those actions and that we now have ample current sugar stocks relative to use, there is no need for additional actions at this time," they wrote.
They disputed the Congressional Candy Caucus' argument that higher U.S. sugar prices compared with world prices is a result of too much demand chasing not enough supply. "That is simply not the case. Current market prices are reflecting global supply chain issues and continuing market impacts from Russia’s war in Ukraine resulting in higher costs for agricultural inputs such as fertilizer," they wrote.
They also asked that any adjustment to TRQs for the 2022-2023 marketing year not be considered until next April, "once more is known about the current sugarbeet and sugar cane crops."
According to the National Confectioners Institute, the Congressional Candy Caucus included 51 members of Congress (before co-founder Rep. Jackie Walorski's death). They argue that the sugar import restrictions are out of date.
The National Confectioners Institute says there are 203,248 jobs among factories, candy retailers and in wholesale businesses, as well as more than 268,000 supplier jobs to those companies; the Sugar Association says there are 142,000 sugar producer jobs around the country.