The USDA puts out its next series of forecasts for crop supply, demand, trade and prices this Friday, July 11. As required by the new Farm Bill, the sugar section of the report will include for the first time the same information for Mexican sugar and corn sweeteners. John Love, a sweetener analyst for USDA, says this is more important than in the past because all restrictions on sugar trade between the U.S. and Mexico have been lifted.
"On January 1 all tariffs were zeroed, they had been phased out over a 15 year period," Love says. "It's more important for us to know now what the supply and the prospects for Mexico exporting sugar to the U.S. will be."
The same is true of the corn syrup market, which is in a very high flux due to high corn prices.