Bill Text: MI SR0052 | 2017-2018 | 99th Legislature | Introduced


Bill Title: A resolution to urge the United States Congress to enact legislation to stabilize the U.S. sugar industry.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-04-26 - Referred To Committee On Agriculture [SR0052 Detail]

Download: Michigan-2017-SR0052-Introduced.html

            Senator Ananich offered the following resolution:

            Senate Resolution No. 52.

            A resolution to urge the United States Congress to enact legislation to stabilize the U.S. sugar industry.

            Whereas, Sugar imports are governed by tariff-rate quotas which allow a certain quantity of sugar to enter the United States at a low tariff. Once a quota has been reached, a higher tariff is paid on additional sugar imported. Most of the United States' sugar imports consist of raw cane sugar, although the quotas also apply to refined sugar, sugar syrups, specialty sugars, and sugar-containing products; and

            Whereas, The United States re-export programs provide an avenue for United States sugar refiners to import raw cane sugar for refining and export to global markets; and

            Whereas, The sugar industry is active in 22 states, including Michigan. In fact, over 12,000 Michigan jobs rely on the sugar industry, providing a $1.28 billion impact on our state; and

            Whereas, Lower prices created by unfair subsidies in the world market are causing economic concern for United States farmers and refiners. Since 2012, world sugar production has increased and prices have declined. In September 2015, the U.S. Commerce Department ruled that Mexico was subsidizing its sugar imports, allowing exporters to dump raw sugar into the United States at 40 percent below market rate; and

            Whereas, Mexico signed a suspension agreement to limit shipments of raw sugar exported into the United States. This is designed to limit the amount of discounted raw sugar competing with domestic sugar farmers. However, to make up for the market loss of raw sugar, Mexican businesses have increased the amount of refined sugar exported into the United States market; and

            Whereas, The increase in refined sugar coming from Mexico damages the entire sugar industry. With more refined sugar coming into the United States, refiners have a smaller supply of raw sugar to refine, and the influx of refined sugar has caused prices to plummet to levels not seen since the 1970s. As a result, Hawaii's last remaining sugar mill closed in 2016 due to lack of supply and low prices; and

            Whereas, The suspension agreement to limit Mexican exports is not working. American sugar farmers and processors are in dire need of a working solution to save the United States sugar industry; now, therefore, be it

            Resolved by the Senate, That we urge the United States Congress to enact legislation to stabilize the United States sugar industry; and be it further

            Resolved, That copies of this resolution be transmitted to the President of the United States Senate, the Speaker of the United States House of Representatives, the members of the Michigan congressional delegation, and the United States Secretary of Agriculture.

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