By Jamie Martin
The U.S. Department of Agriculture (USDA) Commodity Credit Corporation (CCC) has confirmed that there will be no sugar purchases or sales under the Feedstock Flexibility Program for the 2024 crop year, spanning from October 1, 2024, to September 30, 2025.
This decision aligns with efforts to maintain market stability without federal intervention.
According to federal law, the CCC is mandated to provide quarterly forecasts on sugar management based on crop and consumption data.
Sugar processors can obtain short-term loans from the USDA at the start of the sugarcane or sugar beet harvest, with the option to repay or forfeit sugar as loan collateral.
Originally established in the 2008 Farm Bill and reauthorized in 2018, the Feedstock Flexibility Program aims to prevent loan forfeitures by purchasing surplus sugar to sell to bioenergy producers, thus supporting market prices.
The latest projections from the USDA's March 2025 World Agricultural Supply and Demand Estimates report indicate that sugar stocks are sufficient to prevent the need for such measures.
As always, the USDA will continue to monitor sugar market conditions closely, including domestic stocks and consumption rates.
The transparency and responsiveness of the sugar program administration will be maintained, with the next update on the Feedstock Flexibility Program scheduled for July 1, 2025.
Photo Credit: usda
Categories: National