FOR IMMEDIATE RELEASE                                    CONTACT:   Phillip Hayes
Tuesday, August 4, 2009                                                                 435-604-3113

PARK CITY, Utah—Trade with Mexico remains one of the biggest challenges facing U.S. sugar farmers and must be addressed, Sen. Mike Crapo (R-ID) said today via video conference at the 26th International Sweetener Symposium.

Mexico should not be allowed to sell its sugar in America then import subsidized dump market sugar to turn a profit and fill shortfalls created by exporting too much to the United States, he explained.

“The governments of the U.S. and Mexico must be aggressively engaged to ensure that this substitution does not occur,” and if it does, it must be stopped, Sen. Crapo told symposium attendees.

He also said it is imperative for the governments of the two countries to come together to improve data collection in Mexico so officials have a better understanding of supply and demand conditions in the North American sweetener market.  USDA officials expressed similar views about the need for better information when speaking to the group yesterday.

If issues with Mexico can be resolved, U.S. sugar producers might be in a better position to offset climbing input costs, he said, noting that sugar prices have remained virtually flat for the past two decades.

But he cautioned sugar producers not to be too encouraged by the prospect of stronger sugar prices.  “We’re not through this yet,” he said about the country’s economic recession, explaining that a rise in fuel costs could counterbalance any price gains.

“It’s more important than ever that our [agricultural] producers have a solid footing,” he said of the need to maintain strong farm and sugar policies.

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