Jack Roney, Director of Economics and Policy Analysis speaks to the ISO

December 1, 2008 – With the enthusiastic support of U.S. sugar farmers, Congress overwhelmingly passed a Farm Bill in 2008 that will give American sugar producers a chance to survive. It provides USDA with an additional tool to manage excess supplies caused by imports – a standby sucrose-ethanol program that could also help reduce U.S. dependence on foreign oil, at minimal taxpayer cost. The Farm Bill also phases in over the next three years a 4% increase in the U.S. support price, the first such increase since 1985. The attached page provides the key elements of the new sugar policy.