U.S. Sugar Group Pushing for Restrictions on Mexico Imports
The American Sugar Coalition is pushing for restrictions on sugar imports from Mexico following concerns that some shipments may violate trade deal rules, Bloomberg reports. The coalition seeks a 44% reduction in Mexico’s sugar exports to the U.S., effective from April 1, due to concerns about exceeding export limits and potential violations of trade regulations. Mexican sugar production has declined, yet exports to the U.S. have continued, prompting the U.S. Department of Commerce to investigate possible breaches of trade rules.
The coalition’s counsel emphasized the need for consultations with Mexico to ensure compliance with regulations. Reducing Mexico’s export limit could strain global sugar supplies, leading to increased demand for imports from other countries.
The U.S. sugar industry, facing tight regulations on overseas imports, aims to protect domestic profits and prevent market flooding by other nations. The proposed reduction in Mexico's export cap aims to address production shortages caused by dry weather, ensuring sufficient supply for domestic consumption and meeting U.S. quotas.
The coalition previously raised concerns about inconsistent data and urged action to enforce trade agreement rules. The Mexican government has denied violating trade agreement terms, but responses from relevant agencies were not obtained. The American Sugar Coalition includes the American Sugar Cane League, the American Sugarbeet Growers Association, American Sugar Refining Inc. and the Florida Sugar Cane League.
