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NCA Applauds USDA decision to increase Sugar Quota

US Confectioners see some relief from tight supplies

Contact: Jenn Ellek
(202) 534-1440
jenn.ellek@candyusa.com

July 6, 2010

The National Confectioners Association praised USDA's decision announced today in the Federal Register to increase the tariff rate quota by 300,000 short tons. USDA announced a 200,000 short ton increase in April bringing the total imported sugar allowed into the U.S. under the quota to 1.731 million short tons, the largest level since 2005.

"We believe USDA has done the responsible thing by raising the quota to help relieve a shortage of domestic sugar that has adversely affected many of our candy and chocolate manufacturing members," said NCA President Larry Graham. "USDA notes that further adjustments may still be necessary and we will continue to work with USDA to make sure they are aware if supplies are insufficient despite the quota increases."

Along with other sugar using companies, NCA and its members have written to USDA and members of Congress noting the damage caused to many US companies when sugar supplies are excessively tight or prohibitively priced. Last week representatives from NCA and members Adams & Brooks, Blommer Chocolate, Goetze, Jelly Belly, Just Born and Wolfgang Chocolates met with USDA and White House officials to let them know the toll on US confectioners when sugar supplies are excessively tight and to ask for an increase in the quota.

American purchasers of sugar pay significantly more than the rest of the world in order to protect U.S. sugar producers. Sugar is the only major agricultural commodity produced in the U.S. that is subject to import quotas.

About the National Confectioners Association (NCA): Founded in 1884 in Chicago by representatives of 69 confectionery manufacturing firms, the National Confectioners Association is one of the oldest, most respected trade associations in the world. Today NCA has more than 600 members and is the major association representing the entire confectionery industry, offering education and leadership in manufacturing, technical research, public relations, retailing practices, government relations and statistical analyses. NCA fosters industry growth by advancing and promoting the interests of the confectionery industry, its customers and its consumers.

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