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US Lawmakers Urge USDA to Allow More Sugar Imports

Source: Reuters
06/04/2009

Washington, April 6 - The U.S. Agriculture Department should allow larger sugar imports to help meet a supply shortage in the United States, a bipartisan group of lawmakers said on Friday.

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A letter from 23 lawmakers in the House of Representatives to Agriculture Secretary Tom Vilsack said the USDA needs to increase the tariff-rate quotas for raw and refined sugar. An increase in the TRQ of at least 600,000 tons was needed "to adequately supply the market."

"Presently, supplies of refined sugar are tight because of production shortfalls, strong demand and the months-long closure of a major Southeast sugar refinery due to a tragic industrial accident," the nearly two-dozen lawmakers said.

A similar letter was released last month by Senate lawmakers including Assistant Majority Leader Richard Durbin.

Tariff-rate quotas allow imports at a comparatively low rate but impose a higher tariff on shipments that exceed the target level.

U.S. sugar production is forecast at 7.630 million short tons (raw value), down from 8.152 million tons in 2007/08, according to the latest USDA data. Sugar imports under the TRQ in 2008/09 are projected at 1.496 million tons.



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