NAM Urges Members of the House to Back Sugar Reform Amendment

By June 19, 2013Trade

Today the NAM sent a Key Vote letter to members of the House urging support for the Pitts/Davis amendment to the Farm Bill which would reform our nation’s sugar program. The U.S. sugar program creates an artificially high domestic price for sugar which harms U.S. food and beverage manufacturers ability to compete.

From the letter:

“A 2006 report by the U.S. Department of Commerce found that for every sugar job saved under the program, three manufacturing jobs are lost. A 2011 report by Iowa State University economists arrived at a similar conclusion, noting that the sugar program annually costs U.S. consumers as much as $3.5 billion and sacrifices 20,000 manufacturing jobs.
The Pitts/Davis/Goodlatte/Blumenauer amendment would eliminate some aspects of current sugar subsidies, especially those added in the 2008 farm bill. It does not repeal the sugar program. However, it would repeal higher price support levels, alleviate trade restrictions that limit the supply of sugar to domestic users and eliminate a requirement that the government buy surplus sugar and sell it at a loss.

Sensible reforms in the amendment would preserve high-paying manufacturing jobs and reduce government-imposed costs on manufacturers. We urge your support.”


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