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USTR Announces Re-Allocation of Mexico's Increased FY 2008 Refined Sugar Portion to the Global Refined Sugar TRQ

The Office of the U.S. Trade Representative has issued a notice announcing a re-allocation of Mexico's portion of the recently increased fiscal year 2008 tariff rate quota for refined sugar to the global refined sugar TRQ, effective upon publication of a USTR Federal Register notice.

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(In August 2008, the Secretary of Agriculture increased the in-quota quantity of the TRQ for refined sugar for FY 2008 by 272,155 metric tons raw value (MTRV) (the equivalent of 300,000 short tons raw value), and extended the period in which the sugar could be entered until December 31, 2008.

The USTR then allocated 40,000 MTRV of the increased amount to Canada, 68,278 MTRV to Mexico, and the remaining 163,877 MTRV to a global TRQ portion, which may be supplied by any country on a first-come, first-served basis, subject to any other provisions of law.)

Mexico Says It Will Export Sugar Under Duty-Free Access Provided by NAFTA

The U.S. consulted with Mexico as to whether it intended to fill its FY 2008 allocated portion of the August increase. During these talks, Mexico informed the U.S. that it will continue to export sugar to the U.S. under the duty-free access provided by the North American Free Trade Agreement and, therefore, the portion allocated to Mexico will not be used and is available for re-allocation by the U.S.

USTR is Re-Allocating Mexico's Portion to Global Refined Sugar TRQ Allocation

The USTR is re-allocating the 68,278 MTRV portion to the global refined sugar TRQ allocation, which may be supplied by any country on a first-come, first-served basis, subject to any other provision of law.

Re-Allocated Amount Authorized to Enter in Five Increments

The Secretary of Agriculture, pursuant to his regulatory authority to set terms, limitations, and conditions for entry of refined sugar, has authorized the entry of this re-allocated amount in the following increments:

  • 28,278 MTRV upon publication of a Federal Register notice by USTR;
  • 10,000 MTRV 14 days after publication;
  • 10,000 MTRV 28 days after publication;
  • 10,000 MTRV 42 days after publication; and
  • 10,000 MTRV 56 days after publication.

USTR notes that if any of these dates falls on a weekend or Federal holiday, the TRQ will open on the next business day.

(See ITT's Online Archives or 08/15/08 news, 08081530, for most recent BP summary on the FY 2008 refined sugar TRQ increase and extension.

See ITT's Online Archives or 09/19/08 news, 08091920, for BP summary of the FY 2009 TRQ allocations for raw cane sugar, refined and specialty sugar, etc.)

USTR contact- Sean Spicer (202) 395-3230

USTR notice (dated 10/27/08) available at http://www.ustr.gov/assets/Document_Library/Press_Releases/2008/October/asset_upload_file123_15187.pdf