Mexico publishes sugar import quota
MEXICO CITY: Mexico published the rules for a 135,000-tonne sugar import quota on Wednesday in a bid to stabilize prices and ensure supply through the end of the year.
The decree, published in the Official Gazette, opened the quota for 135,000 tonnes.
The Economy Ministry initially announced a quota of 150,000 tonnes on May 25. Usually 10 percent of Mexico's sugar import quotas are mandated to come from Nicaragua under a special trade deal between the two countries, which would account for the 15,000 tonne discrepancy.
Mexico has been forced in recent years to open a series of sugar import quotas when prices spiked and production fell due to bad weather.
The current 2010/11 harvest drawing to a close this month reached 5.18 million tonnes, slightly below earlier forecasts because of a hard frost at the beginning of the year.
Next season, which begins in November, is also likely to be smaller due to drought which could further pinch supplies.
Mexico usually produces enough sugar to cover national demand and export some to the United States.
COPYRIGHT REUTERS, 2011
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