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U.S. sugar producers want to end subsidies to the Mexican sugar

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Sugar producers in the United States , along with the ASA – American Sugar Alliance , want the administration of President Barack Obama , make a lobby through the WTO – World Trade Organization , for the removal of subsidies to the Mexican sugar.

A spokesman for the ASA said that the priority sector , is that Mexico voluntarily reduce their exports to the U.S. .

Since the U.S. government allowed full access to its market under the terms of the Free Trade Agreement of North America in 2008 , about 2 million tons of Mexican sugar got into the North American country .

With low prices , caused by surplus, the producers were forced to use sugar for ethanol production , which slightly raised the prices and the economy helped the industry to recover.

However , American sugar producers are concerned with high productivity in the Mexican sugar industry , with growth estimated at 38 % of the crop 2012/13 to 2013/14 .

For this reason , there is a clear need to enact a policy of stabilizing the market , which place both equally countries in the North American market.

record harvest

A record crop of sugar in the U.S. may further worsen the situation , since according to data from the USDA – U.S. Department of Agriculture , the U.S. is heading for a sugar surplus of one million tonnes for the crop 2014/15 , with production of about 8.9 million tonnes , the highest surplus in 40 years .

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