The Effect of Sugar Price Policy on U.S. Imports of Processed Sugar-containing foods

This paper examines the effects of sugar protection, as well as the effects of these other factors, on U.S. demand for imports of sugar-containing products. The paper also addresses two main issues: (1) whether substitution of alternative sweeteners has allowed U.S. food manufactures to reduce the competitive advantage provided to foreign manufactures by U.S. sugar policies, and (2) which countries -- developed or developing -- have been able to increase their exports of sugar-containing products to the United States. Import demand functions for four categories of sugar-containing processed foods -- canned fruits, confectionary, sweetened cocoa and chocolate, and bakery products are examined.