USDA Issues Sugar Purchase Invitations

May 31, 2000

USDA’s Commodity Credit Corporation has issued invitations for about 150,000 tons of sugar for purchase on a bulk, in-store basis. The offers will be received until 2 p.m., CDT, on June 5.

The decision to buy sugar was made by USDA in an effort to avoid forfeitures of sugar under loan and thereby reduce federal costs. Program critics charge forfeitures may still occur and the purchased sugar will overhang the market until it is sold or given away.

Title to the sugar purchased must be free and clear of liens and other encumbrances, and the purchase will be contingent on CCC’s approval of the storage facility offered for the storage of the sugar offered for purchase.

Offers will be accepted at the Kansas City Commodity Office, and successful bidders will be notified before 9:15 a.m. CDT on June 6.