Friday August 6, 2010

USDA Sets Sugar Quota Ahead Of Schedule

Washington, DC — The USDA has set the sugar import tariff quotas (TRQ) for fiscal year 2011 at the minimum allowed by international agreements ahead of the October 1 fiscal year deadline.

According to the department, the raw TRQ will be set at 1,231,497 short tons and the refined and specialty TRQ will be set at 109,251 short tons per minimum commitments set by World Trade Organization agreements. The refined amount includes an additional specialty sugar amount of 85,000 short tons to accommodate the rapidly expanding organic food sector, the USDA says.

A spokesperson says while the quotas are being announced earlier than they had been the past year, it is not unusual, as during the past five years the announcement has been made at different times. However, the spokesperson did say the Sweeteners Agricultural and Technical Advisory Committee recommended the USDA announce quotas early to give exporting countries more time to plan sugar shipments.

Commenting on the announcement, the NCA says it is pleased the USDA has set the quota in a timely manner because it will allow sugar to enter the U.S. without delay once the fiscal year begins. However, the association anticipates additional sugar imports beyond the level set by USDA will be necessary, and says it will continue to press the department to increase import levels.