The Office of the U.S. Trade Representative (USTR) announced the in-quota allocations under the tariff-rate quota (TRQ) on imported refined and specialty sugar for Fiscal Year (FY) 2023 (October 1, 2022 through September 30, 2023). TRQs allow countries to export specified quantities of a product to the United States at a relatively low tariff, but subject all imports of the product above a pre-determined threshold to a higher tariff.
On September 15, 2022, the U.S. Department of Agriculture (USDA) announced the establishment of the in-quota quantity of the FY 2023 refined sugar TRQ at 222,000 MTRV, for which the sucrose content, by weight in the dry state, must have a polarimeter reading of 99.5 degrees or more. This amount includes the minimum level to which the United States is committed under the WTO Agreement - 22,000 MTRV of which 1,656 MTRV is reserved for specialty sugar - and an additional 200,000 MTRV for specialty sugar. USTR is allocating the refined sugar TRQ as follows: 10,300 MTRV to Canada, 2,954 MTRV to Mexico, and 7,090 MTRV to be administered on a first-come, first-served basis.
Imports of all specialty sugar will be administered on a first-come, first-served basis in five tranches. USDA announced that the total in-quota quantity of specialty sugar will be the 1,656 MTRV reserved within the WTO minimum plus an additional 200,000 MTRV. The first tranche of 1,656 MTRV will open October 3, 2022. All types of specialty sugar are eligible for entry under this tranche. The second tranche of 60,000 MTRV will open on October 10, 2022. The third tranche of 60,000 MTRV will open on January 20, 2023. The fourth tranche of 40,000 MTRV will open on April 14, 2023. The fifth tranche of 40,000 MTRV will open on July 14, 2023. The second, third, fourth, and fifth tranches will be reserved for organic sugar and other specialty sugar not currently produced commercially in the United States or reasonably available from domestic sources.
Refined and specialty sugar for the FY 2023 TRQ may enter the United States as of October 3, 2022.
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