Food Manufacturers Urge Congress to Reform Surplus Sugar Policy for Biofuels

In Washington, D.C., food manufacturers and major sugar purchasers believe a proposed U.S. sugar-to-ethanol program will cost two times more than a government estimate. The group is urging congress to revoke the program as part of broader changes in sugar policy. Allowed under the 2008 farm bill, the government can purchase surplus sugar to sell to biofuel producers. Industry experts estimate the program to cost the U.S. government $100 million through October 2013 instead of the government’s estimate of $51 million.