| The U.S.
government's sugar policy will be the focus of the International Sweetener
Colloquium that begins Monday in Orlando.
The conference organized by
the International Dairy Foods Association is expected to be attended
primarily by representatives of companies that buy sugar -- ice cream,
candy and baked goods manufacturers, as well as sugar refiners.
Generally, they have called
for an end to the U.S. Agriculture Department's loan program for sugar
growers, which is collateralized by the sugar crop. The program gives
growers the option to default on the loans. Sugar growers and producers
have also agreed the program is flawed.
In the fall of 2000, growers
resorted to forfeiture because sugar prices were at a nearly 25-year
domestic low of about 19 cents a pound.
South Florida sugar
companies -- including Palm Beach-based Florida Crystals, U.S. Sugar Corp.
of Clewiston and the Belle Glade-based Sugar Cane Growers Cooperative of
Florida -- forfeited more than half a million tons of raw sugar worth a
total of $127.6 million to satisfy their federal loans.
Nationwide, 1.1 million tons
was forfeited. About 800,000 tons are now being held by the USDA's
Commodity Credit Corp.
Dalton Yancey, executive
vice president of the Washington, D.C.-based Florida Sugar Cane League,
which represents Florida Crystals and U.S. Sugar Corp., said Friday the
sweetener group's purpose has been to change government policy to make
sugar cheaper for commercial sugar users.
"They want to buy it
cheap. The sugar growers want to sell it at a reasonable price and stay in
business," Yancey said.
World raw sugar prices hover
at around 10 cents a pound, while U.S. prices are about 21 cents, slightly
above what sugar growers consider their break-even point.
Among the session topics at
the gathering, which is expected to be attended by 500 people, are world
sugar markets, trade relations with Mexico, new products and online
marketplaces for the sugar industry.
Newly installed U.S.
Agriculture Secretary Ann Veneman is scheduled to address the conference
Wednesday.
susan_salisbury@pbpost.com |