The program is an outdated relic of the 1930s that has outlived its purported usefulness. It is a central planning scheme that—
—Allocates the domestic supply
—Restricts imports of sugar
—Sets prices substantially higher than the world price
—Buys up surplus sugar and sells it at a loss to ethanol producers
Ten taxpayer, advocacy, and public policy groups signed on to the missive, which also pointed out who benefits and who loses:
The U.S. sugar program is a classic public choice case of concentrated benefits and dispersed costs: of how special interests can trump the public interest. A small number of sugar producers receive enormous benefits, while the costs are spread across the U.S. economy, hitting consumers and the sweetener-using industries.
The groups urged policymakers to reform or eliminate the program.