It's Time for Congress to Pass Sugar Policy Modernization Act

After working in corporate America for more than 30 years, most recently as CEO of a national footwear company, I recently started my own catering business. Navigating government regulation is nothing new to me, but it never ceases to amaze me just how many outdated policies still exist that put U.S. businesses--both big and small--at a competitive disadvantage.

One example is the taxpayer-funded giveaway for the sugar industry that is unnecessarily hurting my catering business’ bottom line. I frequently use sugar as an ingredient in my prepared foods, but thanks to Depression-era protections by the federal government, I’m paying more for it than I should be.

Sugar is the only commodity that was not reformed in the Farm Bill in 2014, which is the reason the U.S. continues to be home to some of the highest sugar prices of any major market in the world. The outdated U.S. sugar program is a complicated tangle of price supports, market allotments, import quotas, and government-guaranteed loans that are artificially driving up costs for businesses and consumers. The time for reform is long overdue.

Thankfully, the Sugar Policy Modernization Act pending in Congress presents an opportunity to finally put an end to the arbitrary sugar subsidy. This common-sense legislation will repeal the outdated quotas on how much sugar domestic processing companies can sell and allow for flexibility from the USDA to reduce market distortions caused by sugar import quotas.

The U.S. needs a balanced sugar program that is based on free market principles that will provide an adequate supply at a reasonable price. I am hopeful Congress will take swift action on the Sugar Policy Modernization Act with full support from the New Jersey Congressional Delegation to make it happen.

— Jim Harrington, Coral Street Catering, Hamilton, NJ