REFORM OF THE FEDERAL SUGAR SUBSIDY PROGRAM
WHEREAS, the Federal sugar subsidy program provides price supports and special loans for
domestic production, as well as restrictions on sugar imports; and
WHEREAS, the effect of the Federal sugar program and the policy behind is to inflate the price of
sugar for domestic commercial users, which causes many companies to close or move operations
beyond U.S. borders in order to lower production costs and increase competitiveness; and
WHEREAS, in recent years there has been a tremendous loss of jobs in the domestic
confectionary industry as well as other companies involved in food production; and
WHEREAS, there is a substantial likelihood of additional plant closings and relocations by
companies interested in lowering their production costs through access to sugar at international
prices; and
WHEREAS, the loss of jobs in the confectionary other food production industries is hurting the
economies of many American cities - both large and small; and
WHEREAS, in 2002, when the Freedom to Farm law was reauthorized, the legislation failed to
address this issue by reforming the sugar program; and
WHEREAS, the Federal government should provide reasonable policies to aid domestic
agriculture, but not at the expense of other important domestic industries,
NOW, THEREFORE, BE IT RESOLVED that the United States Conference of Mayors does
hereby urge the United States Congress to pass legislation modifying the sugar support program in
a way that better balances the legitimate interests of both sugar growers and the confectionary and
other food products industries.
©2003 U.S. Conference of Mayors