USA: Sugar Industry Sees 'PIK' as Step Toward Correcting Market
The U.S. sugar industry, suffering the lowest prices in 22 years, expressed relief today that action by the Department of Agriculture (USDA) is a positive move toward restoring stability in the supply and marketing of sugar.Specifically, USDA announced it is initiating a "payment-in-kind," or PIK, program for sugar. Under a PIK program, farmers will have the option of not harvesting a portion of their 2000 crop, and in return receive from USDA sugar the agency has or will be obtaining through purchase or forfeiture.Earlier this week, James Horvath, president and CEO of American Crystal Sugar Company, a cooperative owned by 3,000 farmer-shareholders in the Red River Valley of Minnesota and North Dakota, testified before the Senate Agriculture Committee on the value of a PIK program, which is authorized under federal law as a cost-saving measure.He said his farmer-owners "are supportive of this (PIK) concept. We believe it achieves several worthwhile objectives for the industry and the government." He listed these benefits for PIK:
Get full access to all content, just $1 for 30 days
A Message From The Editor
just-food gives you the widest food market coverage.
Paid just-food members have unlimited access to all our exclusive content - including 16 years of archives.
I am so confident you will love complete access to our content that today I can offer you 30 days access for $1.
It’s our best ever membership offer – just for you.
Dean Best, editor of just-food
- It won't just be Unilever to push for Brexit hikes
- Price an underlying tension across European FMCG
- Danone's Q3 sales - what the analysts say
- Interview: UK trade body on Brexit's policy impact
- Interview: UK trade body on the impact of Brexit
- Nestle lowers outlook on "softer environment"
- PepsiCo sets 2025 nutrition, sustainability goals
- China "transition" drags on Danone Q3
- UK announces "action plan" to drive food exports
- CP Foods invests in UK foodservice firm Foodfellas
- The Big 15: Strategies and Priorities of Top Packaged Food Players in Comparison
- Omega-3 in Food and Beverage:Time for a Reboot?
- Global Food Packaging: Innovating for Greater Convenience and Quality Image
- Packaged Food: Quarterly Statement Q3 2016
- Constellation Brands, Inc. (STZ) - Financial and Strategic SWOT Analysis Review