[Federal Register Volume 77, Number 76 (Thursday, April 19, 2012)]
[Notices]
[Pages 23450-23451]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-9400]


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 Notices
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 This section of the FEDERAL REGISTER contains documents other than rules 
 or proposed rules that are applicable to the public. Notices of hearings 
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  Federal Register / Vol. 77, No. 76 / Thursday, April 19, 2012 / 
Notices  

[[Page 23450]]



DEPARTMENT OF AGRICULTURE

Office of the Secretary


USDA Increases and Reassigns Fiscal Year 2012 Overall Allotment 
Quantity and Increases Fiscal Year 2012 Raw Sugar Tariff-Rate Quota

AGENCY: Office of the Secretary, USDA.

ACTION: Notice.

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SUMMARY: The U.S. Department of Agriculture (USDA) today announced a 
51,000 short tons raw value (STRV) increase in the fiscal year (FY) 
2012 Overall Allotment Quantity (OAQ), a reassignment of projected 
surplus beet sugar marketing allocations between beet processors, and a 
reassignment of surplus cane sugar marketing allotment from domestic 
sugarcane processors to a 420,000 STRV increase in the FY 2012 raw 
sugar tariff-rate quota (TRQ).

DATES: Effective Date: April 19, 2012.

FOR FURTHER INFORMATION CONTACT: Angel F. Gonzalez, Import Policies and 
Export Reporting Division, Foreign Agricultural Service, AgStop 1021, 
U.S. Department of Agriculture, Washington, DC 20250-1021; or by 
telephone (202) 720-2916; or by fax to (202) 720-0876; or by email to 
[email protected].

SUPPLEMENTARY INFORMATION: USDA today announced an increase in the FY 
2012 OAQ to 9,507,250 STRV, which represents 85 percent of the demand 
estimate published in the April 2012 World Agricultural Supply and 
Demand Estimates (WASDE) report. The increase is split in accordance 
with the Sugar Marketing Allotment program, 54.35/45.65 percent between 
the beet and cane sectors, or 27,719 and 23,281 STRV, respectively. 
USDA evaluated each sugar beet processor's ability to market its full 
allocation, and decided not to reassign beet sugar allotment to imports 
at this time due to uncertainties that still exist in forecasting FY 
2012 sugar production. However, beet sugar marketing allocations are 
transferred from beet sugar processors with surplus allocation to those 
with deficit allocation (see Table).
    In addition, USDA determined that all sugarcane processors have 
surplus allocations of the FY 2012 cane sugar marketing allotment. 
Therefore, the 420,000 STRV reassignment to the raw sugar TRQ increase 
reduced all sugarcane states' sugar marketing allotments. The total 
cane sector allotment decreased in net from 4,316,778 to 3,920,060 
STRV. The new cane state allotments are Florida, 1,926,658 STRV; 
Louisiana, 1,554,521 STRV; Texas, 170,745 STRV; and Hawaii, 268,135 
STRV. The FY 2012 sugar marketing allotment program will not prevent 
any domestic sugarcane processors from marketing all of their FY 2012 
sugar supply. Due to uncertainties that still exist in forecasting each 
company's and sector's FY 2012 sugar production, further reassignments 
are likely.
    On July 30, 2011, USDA established the FY 2012 TRQ for raw cane 
sugar at 1,231,497 STRV (1,117,195 metric tons raw value, MTRV \*\), 
the minimum to which the United States is committed under the World 
Trade Organization (WTO) Uruguay Round Agreements. Pursuant to 
Additional U.S. Note 5 to Chapter 17 of the U.S. Harmonized Tariff 
Schedule (HTS) and Section 359k of the Agricultural Adjustment Act of 
1938, as amended, the Secretary of Agriculture today increased the 
quantity of raw cane sugar eligible for the lower tier of duties of the 
HTS during FY 2012 by 420,000 STRV (381,018 MTRV). With this increase, 
the overall FY 2012 raw sugar TRQ is now 1,651,497 STRV (1,498,213 
MTRV). Raw cane sugar under this quota must be accompanied by a 
certificate for quota eligibility and may be entered until September 
30, 2012. The Office of the U.S. Trade Representative will allocate 
this increase among supplying countries and customs areas.
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    \*\ Conversion factor: 1 metric ton = 1.10231125 short tons.
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    The 420,000 STRV raw sugar TRQ increase, when combined with an 
estimated reallocation of 70,000 STRV, is expected to yield a net 
increase in raw sugar imports of 450,000 STRV, after normal TRQ 
slippage because not all supplying countries will fill their import 
quota allocations. This TRQ increase is not currently expected to 
increase FY 2012 domestic sugar supplies sufficiently to attain a level 
USDA considers adequate. USDA used an ending stocks-to-use level of 
14.5 percent in estimating the ``reasonable ending stocks'' parameter 
for the most recent FY 2012 sugar market quarterly review mandated by 
statute. Significant uncertainties about FY 2012 Mexican imports, 
domestic refined and raw sugar demand, the early sugar beet crop, and 
other market factors make it prudent for USDA to not increase imported 
supplies further at this time. USDA will re-evaluate market conditions 
in June, as required by statute, and increase, as determined 
appropriate, the TRQ to bring the expected FY 2012 ending-stocks-use to 
within the traditional range that USDA considers adequate, i.e., 13.5 
to 15.5 percent.

    Dated: April 13, 2012.
Michael T. Scuse,
Acting Under Secretary, Farm and Foreign Agricultural Services.
    The revised FY 2012 cane and beet sugar marketing allotments and 
processor allocations table is shown below.
BILLING CODE 3410-10-P

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[FR Doc. 2012-9400 Filed 4-18-12; 8:45 am]
BILLING CODE 3410-10-C