The Coalition for Sugar Reform demands an expansion in sugar market access in order to avoid inflated sugar prices.
The Coalition for Sugar Reform, along with 13 other trade, consumer and retail associations, sent a letter to the United States Trade Representative Michael Froman requesting a Trans-Pacific Partnership (TPP) agreement that includes expanded sugar market access.
In the letter, the organizations wrote:
“Consumers and food companies currently face severe restrictions on both domestic sugar production and imports that insulate U.S. sugar producers almost entirely from normal market pressures. This system guarantees sugar companies many years of excessively high prices, at times nearly twice the world price, and has cost American consumers and businesses an estimated $15 billion since 2008 alone in artificially inflated prices. Tight domestic sugar supplies can be expected for the next several years, unless we allow commercially meaningful access to TPP countries that have the ability to supply the U.S. market.
“Overly protective treatment of sugar producers has widespread negative effects on our economy. We’ve lost more than 120,000 jobs in sugar-using industries since 1997, and denial of real access to our TPP trading partners leaves us vulnerable to other countries’ refusals to open markets to valuable American agricultural commodities. This self-imposed handicap also stifles our progress on other significant trade priorities and prevents much-needed opportunities for critical American industries to grow their exports.”
With U.S. sugar prices double the world price, again, American consumers and businesses cannot wait for another farm bill debate. The Administration can help address the problem now by increasing sugar market access in international trade agreements, particularly the TPP.
The letter was signed by the Coalition for Sugar Reform, American Bakers Association, Competitive Enterprise Institute, Council for Citizens Against Government Waste, Emergency Committee for American Trade, Independent Bakers Association, International Dairy Foods Association, National Association of Manufacturers, National Confectioners Association, National Foreign Trade Council, Retail Confectioners International, Snack Food Association, Sweetener Users Association and U.S. Chamber of Commerce.