The Case Against Corporate Welfare A look at Sugar Subsidies April 27 2018

There have been many studies and reports written on the sugar subsidy programs.  As the subject has been well analyzed we will not attempt to reassess the program and in fact agree with many of the analysis. As has been stated, the US sugar industry receives enormous government support and protection from foreign competition. The program has changed over time, becoming a complex set of rules developed to promote sugar production primarily at the expense of US consumers.  The program also has an effect on foreign producers and consumers that have significantly reduced the world sugar price.  As a result of the program, the price of sugar in the US has been almost twice as high as the price of sugar on the world market.  This has cost US consumers an average of about $2.4 billion per year with producers benefitting by about $1.4 billion per year.  Therefore, the net cost of the income transfers to producers is $1 billion per year.

The Case Against Corporate Welfare A look at Sugar Subsidies April 27 2018