What This Bill Does
This bill expresses the official opinion of Congress that all countries that produce and consume sugar should stop giving money and help to their sugar industries. The bill states that many countries use subsidies (government financial support) to help their sugar farmers and businesses, which hurts fair competition in the world sugar market.
Who It Affects
The President of the United States, sugar farmers and processors in the United States, and governments of major sugar-producing countries like Brazil, India, Thailand, the European Union, Russia and Mexico.
Key Provisions
• The President should work to eliminate all direct and indirect subsidies that help sugar production or exports from any country that exported more than 200,000 metric tons of sugar in 2018, 2019, or 2020, and from any country with a free trade agreement (a deal that removes taxes on imported goods) with the United States. (Resolved by the House of Representatives, numbered section 1)
• If the President determines that all these subsidies have been eliminated, the President should send a report to Congress explaining exactly how each country got rid of its subsidies. (Resolved by the House of Representatives, numbered section 2)
• After sending that report, the President should propose new laws to Congress that reform United States sugar policy. (Resolved by the House of Representatives, numbered section 3)
What Changes
This bill does not create any laws or require any immediate action. It only expresses what Congress thinks should happen regarding sugar subsidies around the world.
Important Definitions
Subsidies: Money or government support given to help an industry or group of people. Direct subsidies are payments directly to farmers or businesses. Indirect subsidies include loans with special terms or forgiveness of debt owed.
IV
118TH CONGRESS
1ST SESSION
H. CON. RES. 12
Expressing the sense of Congress that all direct and indirect subsidies that
benefit the production or export of sugar by all major sugar-producing
and -consuming countries should be eliminated.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 1, 2023
Mrs. CAMMACK (for herself, Mr. KILDEE, Ms. LETLOW, Mr. C. SCOTT
FRANKLIN of Florida, and Mr. HIGGINS of Louisiana) submitted the fol-
lowing concurrent resolution; which was referred to the Committee on
Ways and Means, and in addition to the Committee on Agriculture, for
a period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned
CONCURRENT RESOLUTION
Expressing the sense of Congress that all direct and indirect
subsidies that benefit the production or export of sugar
by all major sugar-producing and -consuming countries
should be eliminated.
Whereas most major sugar-producing and sugar-consuming
countries in the world maintain some form of direct or
indirect subsidy to support its sugar growers, processors,
or consumers;
Whereas virtually all of the more than 100 countries that
produce sugar maintain market-distorting subsidy pro-
grams, including—
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•HCON 12 IH
(1) the Government of Brazil which provides direct
and indirect subsidies of at least $2,500,000,000 per year
for programs to promote its sugar industry and has in-
creased subsidies in recent years, including preferential
loans and debt forgiveness;
(2) the Government of India which provided nearly
$14,000,000,000 per year in subsidy supports as recently
as 2018 to prop up its inefficient sugar industry, includ-
ing the provision of export subsidies in 2014, 2015,
2018, 2019, and 2020 in potential violation of World
Trade Organization obligations;
(3) the Government of Thailand which more than
tripled its sugar exports after 2004 by providing at least
$1,300,000,000 in annual subsidies and government pro-
grams to its sugar industry and by maintaining domestic
prices well above export prices;
(4) the Governments of the European Union mem-
ber states which have provided support with an estimated
value of $685,000,000 per year to their sugar farmers;
(5) the Government of Russia which transformed its
country from one of the world’s largest net importers of
sugar to a net exporter on the basis of government sup-
port estimated at an estimated value of $392,000,000 per
year from 2010 to 2017; and
(6) the Government of Mexico which has generously
supported its sugarcane growers, and was found guilty in
2014 of injuring United States sugar producers by dump-
ing subsidized sugar into the United States market;
Whereas the world sugar market is the most volatile com-
modity market in the world;
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•HCON 12 IH
Whereas many countries routinely dump surplus sugar on the
world sugar market, at prices below domestic price levels
and costs of production;
Whereas the foregoing clauses provide ample evidence there
is no undistorted, free market in sugar in the world
today; and
Whereas, if such a free market did exist, United States sugar
farmers and processors could compete effectively in that
market: Now, therefore, be it
Resolved by the House of Representatives (the Senate
1
concurring), That it is the sense of Congress that—
2
(1) the President should seek elimination of all
3
direct and indirect subsidies benefiting the produc-
4
tion or export of sugar by the government of—
5
(A) each country that exported more than
6
200,000 metric tons of sugar in 2018, 2019, or
7
2020; and
8
(B) by any other country with which the
9
United States has in effect a free trade agree-
10
ment;
11
(2) if the President determines that all such
12
subsidies by all such countries have been eliminated,
13
the President should submit a report to Congress
14
providing detailed information about how each of the
15
countries has eliminated such subsidies; and
16
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•HCON 12 IH
(3) after submitting such a report, the Presi-
1
dent should propose to Congress legislation to imple-
2
ment United States sugar policy reforms.
3
Æ
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