CCC Adds Feedstock Flexibility Program for Sugar Purchasing

The U.S. Department of Agriculture's Commodity and Credit Corp. will use a new Feedstock Flexibility Program (FFP) as another means to buy sugar and avoid forfeitures of sugar loan collateral under the Sugar Program, the agency said in a final rule. The FFP is being implemented as required under the 2008 Farm Bill and allows the CCC to buy sugar before Aug. 1, the first date that 2012 crop loans can be forfeited to the CCC. The program also "requires the surplus sugar to be used to produce bioenergy, which precludes CCC’s resale of inventory into the market for human consumption," the notice said. The agency did not make any major changes from the proposed rule from 2011, but did clarify the types of sugar eligible and eliminated the requirement that eligible bioenergy producers’ facility be located in the U.S., it said.