Prices in US bakeries and confectioners have reportedly increased as a knock on effect of cost increases caused by sugar policy.

According to the Wall Street Journal Europe, a number of US bakeries have upped cake costs.

just-food reported yesterday (23 February) how President George Bush’s council of economic advisers admit that American sugar policy is keeping prices high.

US sugar crops and refineries in Louisiana and Florida damaged by hurricanes, and a smaller-than-expected sugar-beet crop in the Midwestern US, have reduced potential sugar supplies and set higher prices, reported the Journal.