USDA reviews sugar programs and extends sugar tariff rate quota entry

Sugar re-export programs under review

The Department of Agriculture’s Foreign Agricultural Service is accepting comments until Nov. 7 on its administration of re-export programs for refined sugar, sugar-containing products and polyhydric alcohol.

Under the Refined Sugar Re-export Program, the FAS issues licenses to sugar refiners to import low-duty raw sugar without restriction by the raw sugar tariff rate quota provided in US Supplementary Note 5(a). i) Chapter 17 of the HTSUS and exempt from the requirement that imports be accompanied by a certificate of quota eligibility issued to the foreign exporter. An equivalent amount of domestically produced refined sugar must either be exported by the licensee or supplied by the licensee to U.S. manufacturers licensed for use in exported PCS or to licensed producers. licensed for use in polyhydric alcohol for non-food purposes.

Under the SCP Re-Export Program, FAS licenses U.S. SCP manufacturers to purchase refined sugar from refiners holding refined sugar re-export licenses for use in SCP for export to the global market.

Under the Polyhydric Alcohols Program, FAS licenses U.S. producers of polyhydric alcohols to purchase refined sugar from refiners who hold licenses to re-export refined sugar for use in the production of polyhydric alcohols. exception of polyhydric alcohols used as sugar substitutes in human food consumption.

FAS is seeking feedback on the public’s views on the current administration of these programs. Specific issues on which comments are sought include the extent to which licensed refiners and manufacturers use third-party exporters, the toll refining process (where DBS manufacturers or polyhydric alcohol producers can retain legal title to the imported sugar from importation to final license transfer), and the definitions of “refiner”, “sugar refining” and “refined sugar”.

Extension of entry into the sugar tariff quota

The USDA has announced that all sugar entering the United States under the FY 2022 raw cane sugar tariff rate quota will be allowed to enter U.S. customs territory until December 31, two months later. than previously announced. This action follows a decision that additional supplies of raw cane sugar are needed in the US market. The USDA says it will closely monitor stocks, consumption, imports and all sugar market and program variables on an ongoing basis.

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Rachel J. Bradford