The U.S. Department of Agriculture (USDA) this week announced its fiscal year 2019 tariff-rate quotas for refined sugars and raw cane sugars, slightly increasing the amount of sugar that can enter the United States under a preferred rate. USDA sets new tariff-rate quotas every year to ensure an adequate supply of raw cane sugar in the U.S. market. The United States is a net importer of sugar because domestic production cannot meet demand. These quotas are important to IDFA because more than 200 dairy company members depend on an adequate supply of sugar to produce their products.

USDA will increase the amount of raw sugar allowed under a quota to 192,000 metric tons, an increase of 10,000 metric tons from FY 2018. The 2019 quota includes 160,000 metric tons for specialty sugars, such as brown slab sugar, golden syrup, molasses and food decorations made from sugar. USDA will allow foreign importers to fill this quota in five portions, scheduled for release in October 2018 and January, April and July 2019.

USDA will also maintain the level of raw cane sugar that countries can export to 1.117 million metric tons under the quota, which is the minimum amount the United States has committed to the World Trade Organization (WTO). Raw cane sugar under this quota may enter the United States until September 30, 2019.

For more information, contact Beth Hughes, IDFA director of international affairs, at bhughes@idfa.org.