October 28, 2014
http://www.nola.com/politics/index.ssf/2014/10/tentative_accord_reached_...
WASHINGTON -- The United States and Mexico negotiated a last-minute tentative deal to limit Mexican sugar exports in return for a Commerce Department agreement to drop -- at least temporarily -- an illegal dumping investigation.
The draft agreement, announced late Monday, follows a finding by the Department of Commerce that Mexico was dumping sugar into the United States at artificially low prices.
The deal limits exports of Mexican sugar to the United States, and sets minimum price structures to prevent undercutting prices of U.S. sugar producers.
The Commerce Department retains the ability to reopen the case if Mexico doesn't comply with the agreement, Obama administration officials said.
If a final agreement is not reached, Commerce and the International Trade Commission (ITC) could move forward with tariffs against Mexican sugar exporters, the officials said.
"I am encouraged that the U.S. and Mexican governments have reached a draft agreement to help prevent these illegal sugar imports and halt the losses our Louisiana sugar producers have suffered," said Sen. Mary Landrieu, D-La., who had called for anti-dumping measures against Mexico. "Our sugar producers work too hard and are too important to our economy to let illegal dumping go unpunished."
Landrieu said that Louisiana sugar producers "can compete with anyone in the world, as long as they have a fair and level playing field."
American Sugar Cane League Manager Jim Simon, who represents Louisiana sugar farmers and processors, praised the tentative agreement.
"I'm hopeful that a final agreement will be reached and the domestic sugar market is stabilized fairly," Simon said. "The Louisiana industry has become very efficient through research and mechanization and settling the trade dispute will help keep the playing field level."