Domestic Sugar Program-FY 2024 Reassignment and FY25 Overall Sugar Marketing Allotment, Cane Sugar and Beet Sugar Marketing Allotments and Company Allocations

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Federal RegisterSep 30, 2024
89 Fed. Reg. 79501 (Sep. 30, 2024)
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    Department of Agriculture Commodity Credit Corporation

    AGENCY:

    Commodity Credit Corporation, Department of Agriculture.

    ACTION:

    Notice.

    SUMMARY:

    The United States Department of Agriculture (USDA) is issuing this notice to: revise fiscal year (FY) 2024 (crop year 2023) State cane sugar allotments and allocations to sugarcane processors; reassign FY 2024 cane sugar marketing allocations to raw cane sugar imports already anticipated; and announce the FY 2025 (crop year 2024) overall sugar marketing allotment quantity (OAQ), State cane sugar allotments, and sugar beet and sugarcane processor allocations. The first two actions apply to all domestic cane sugar marketed for human consumption in the United States from October 1, 2023, through September 30, 2024, and third action applies to all domestic beet and cane sugar marketed for human consumption in the United States from October 1, 2024, through September 30, 2025.

    FOR FURTHER INFORMATION CONTACT:

    Carlann Unger, telephone, (773) 573-5163; or email, carlann.unger@usda.gov. Individuals who require alternative means for communication should contact the U.S. Target Center at (202) 720-2600 (voice and text telephone (TTY)) or dial 711 for Telecommunications Relay service (both voice and text telephone users can initiate this call from any telephone).

    SUPPLEMENTARY INFORMATION:

    Revisions and Reassignments of FY 2024 Sugar Cane Allotments and Allocations

    On October 13, 2023, USDA announced the initial FY 2024 OAQ, which was established at 10,667,500 short tons, raw value, (STRV) equal to 85 percent of the estimated quantity of sugar for domestic human consumption for the fiscal year of 12,550,000 STRV as forecast in the September 2023 World Agricultural Supply and Demand Estimates report (WASDE). The Agricultural Adjustment Act of 1938 (Pub. L. 75-430, 7 U.S.C. chapter 35) requires that 54.35 percent of the OAQ be distributed among beet processors and 45.65 percent be distributed among the sugarcane States and cane processors. The beet and cane sector allotments were distributed to individual processors according to statutory formulas.

    On August 2, 2024, USDA announced revisions to the FY 2024 (crop year 2023) State cane sugar allotments and allocations to sugarcane processors, revisions to the company allocations to sugar beet processors, and the reassignment of deficits to raw cane sugar imports already anticipated, as reflected in the second column of the Table 1 in the published notice (89 FR 63157-63159).

    In accordance with section 359e of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ee), after evaluating each sugarcane processor's ability to market its full allocation, USDA now is transferring FY 2024 allocations from sugarcane processors with surplus allocation to those with deficit allocation as shown in the Table 1 below. USDA has also determined that domestic cane sugar supplies are inadequate to fill the FY 2024 cane sugar marketing allotment.

    In accordance with 7 U.S.C. 1359ee(b)(2), USDA is reassigning 40,000 STRV of the deficit to raw cane sugar imports already anticipated, given the absence of any Commodity Credit Corporation (CCC) stocks of sugar. In the table below, each sugar cane processor's allocation resulting from these changes are shown in the column labeled as “Revised Allocations & Allotments” and the amount of change in each cane processor's allocation in the column labeled as “Reassignments.”

    USDA is not reassigning any FY 2024 beet allocations to raw cane sugar imports at this time given the uncertainty about how much beet sugar will be produced from new crop sugar beets in the final 2 months (August-September) of FY 2024.

    Table 1—FY 2024 Revised Beet and Cane Allotments and Allocations

    [Short tons, raw value]

    Distribution Initial FY24 allotments & allocations FY24 revisions 8/2/2024 Reassignments Revised allotments & allocations
    Beet Sugar 5,797,786 5,547,786 0 5,547,786
    Cane Sugar 4,869,714 4,269,714 −40,000 4,229,714
    Imports 850,000 40,000 890,000
    Total OAQ 10,667,500 10,667,500 0 10,667,500
    Beet Processors' Marketing Allocations
    Amalgamated Sugar Co 1,241,350 1,233,233 0 1,233,233
    American Crystal Sugar Co 2,132,371 1,967,011 0 1,967,011
    Michigan Sugar Co 598,769 686,251 0 686,251
    Minn-Dak Farmers Co-op 402,650 373,315 0 373,315
    So. Minn Beet Sugar Co-op 782,517 723,206 0 723,206
    Western Sugar Co 591,583 514,739 0 514,739
    Wyoming Sugar Company, LLC 48,546 50,031 0 50,031
    Total Beet Sugar 5,797,786 5,547,786 0 5,547,786
    State Cane Sugar Allotments
    Florida 2,617,360 2,147,104 −38,826 2,108,278
    Louisiana 2,024,823 2,059,420 18,244 2,077,664
    Texas 227,531 63,190 −19,418 43,772
    Total Cane Sugar 4,869,714 4,269,714 −40,000 4,229,714
    Cane Processors' Marketing Allocations
    Florida:
    Florida Crystals 1,077,635 725,204 −42,031 683,174
    Growers Co-op. of FL 470,825 474,161 22,988 497,149
    U.S. Sugar Corp 1,068,900 947,739 −19,784 927,955
    Total Florida 2,617,360 2,147,104 −38,826 2,108,278
    Louisiana:
    Sugar Growers and Refiners 1,405,697 1,425,961 18,244 1,444,205
    M.A. Patout & Sons 619,126 633,459 0 633,459
    Total Louisiana 2,024,823 2,059,420 18,244 2,077,664
    Texas:
    Rio Grande Valley 227,531 63,190 −19,418 43,772
    * Values may not sum to column total due to rounding.

    Table 2—FY 2025 Initial State Allotments and Beet and Cane Processor Allocations

    [Short tons, raw value]

    Distribution Initial FY25 allotments & allocations
    Beet Sugar 5,682,293
    Cane Sugar 4,772,708
    Total OAQ 10,455,000
    Beet Processors Marketing Allocations
    Amalgamated Sugar Co 1,216,622
    American Crystal Sugar Co 2,089,791
    Michigan Sugar Co 586,842
    Minn-Dak Farmers Co-op 394,629
    So. Minn Beet Sugar Co-op 766,929
    Western Sugar Co 579,901
    Wyoming Sugar Company, LLC 47,579
    Total Beet Sugar 5,682,293
    State Cane Sugar Allotments
    Florida 2,690,953
    Louisiana 2,081,755
    Texas 0
    Total Cane Sugar 4,772,708
    Cane Processors' Marketing Allocations
    Florida:
    Florida Crystals 1,107,936
    Growers Co-op. of FL 484,063
    U.S. Sugar Corp 1,098,954
    Total Florida 2,690,953
    Louisiana:
    Sugar Growers and Refiners 1,445,222
    M.A. Patout & Sons 636,533
    Total Louisiana 2,081,755
    Texas:
    Rio Grande Valley 0
    * Values may not sum to column total due to rounding.