Neither sugar growers nor sweetener users are showing enthusiasm for Ohio Republican Rep. Rob Portman's offer last week to negotiate a Central America Free Trade Agreement provision that would allow the United States to compensate other countries rather than import their sugar.

Portman, President Bush's choice to succeed former Trade Representative Zoellick, noted at his confirmation hearing last week that he welcomes the opportunity "to work on" a provision to compensate countries rather than take their sugar.

Opposition has arisen to CAFTA in several sugar-producing regions out of fear the agreement would allow so much sugar into the United States that it would depress prices for U.S. producers.

"One thing I would love to do is sit down with you and other representatives of sugar beet growers and sugar cane growers and see what makes sense," Portman told Sen. Craig Thomas, R-Wyo.

But American Sugar Alliance Chairman Luther Markwart said Tuesday: "We have little faith that this mechanism will work or be administered well. Right now, there are far more questions associated with it than answers."

Meanwhile, Connie Tipton, CEO of the International Dairy Foods Association, which favors approval of CAFTA, acknowledged in an interview Monday that sugar growers "have been fairly successful, unfortunately" in discouraging members from supporting the agreement, which also includes the Dominican Republic.

Tipton, who has long said U.S. sugar prices are too high and hurt the U.S. food industry, said of Portman's offer: "I don't think it's a good idea. What was negotiated was quite reasonable." But Tipton also said that "it would be a travesty if we lost" CAFTA.

View All News