The sugar industry subsumes the production, processing and marketing of

sugars Sugar is the generic name for Sweetness, sweet-tasting, soluble carbohydrates, many of which are used in food. Simple sugars, also called monosaccharides, include glucose, fructose, and galactose. Compound sugars, also called disaccharides ...

(mostly

sucrose Sucrose, a disaccharide, is a sugar composed of glucose and fructose subunits. It is produced naturally in plants and is the main constituent of white sugar. It has the molecular formula . For human consumption, sucrose is extracted and refined ...

and

fructose Fructose (), or fruit sugar, is a Ketose, ketonic monosaccharide, simple sugar found in many plants, where it is often bonded to glucose to form the disaccharide sucrose. It is one of the three dietary monosaccharides, along with glucose and gal ...

). Globally, about 80% of sugar is extracted from

sugar cane Sugarcane or sugar cane is a species of tall, Perennial plant, perennial grass (in the genus ''Saccharum'', tribe Andropogoneae) that is used for sugar Sugar industry, production. The plants are 2–6 m (6–20 ft) tall with stout, jointed, fib ...

, grown predominantly in the

tropics The tropics are the regions of Earth surrounding the equator, where the sun may shine directly overhead. This contrasts with the temperate or polar regions of Earth, where the Sun can never be directly overhead. This is because of Earth's ax ...

, and 20% from

sugar beet A sugar beet is a plant whose root contains a high concentration of sucrose and that is grown commercially for sugar production. In plant breeding, it is known as the Altissima cultivar group of the common beet (''Beta vulgaris''). Together with ...

, grown mostly in

temperate climate In geography, the temperate climates of Earth occur in the middle latitudes (approximately 23.5° to 66.5° N/S of the Equator), which span between the tropics and the polar regions of Earth. These zones generally have wider temperature ra ...

in North America or Europe. TRUCKLOADS OF SUGAR BEETS WILL BE PROCESSED AT THE HOLLY SUGAR CORPORATION PLANT NEAR BRAWLEY IN THE IMPERIAL VALLEY - NARA - 548983

TRUCKLOADS OF SUGAR BEETS WILL BE PROCESSED AT THE HOLLY SUGAR CORPORATION PLANT NEAR BRAWLEY IN THE IMPERIAL VALLEY - NARA - 548983

Narrow gauge steam locomotive in Argentina

Sugar is used for

soft drink A soft drink (see #Terminology, § Terminology for other names) is a class of non-alcoholic drink, usually (but not necessarily) Carbonated water, carbonated, and typically including added Sweetness, sweetener. Flavors used to be Natural flav ...

s, sweetened beverages,

convenience food Convenience food (also called tertiary processed food) is food that is commercially prepared (often through processing) for ease of consumption, and is usually ready to eat without further preparation. It may also be easily portable, have ...

fast food Fast food is a type of Mass production, mass-produced food designed for commercial resale, with a strong priority placed on speed of service. ''Fast food'' is a commercial term, limited to food sold in a restaurant or store with frozen, preheat ...

candy Candy, alternatively called sweets or lollies, is a Confectionery, confection that features sugar as a principal ingredient. The category, also called ''sugar confectionery'', encompasses any sweet confection, including chocolate, chewing gum ...

confectionery Confectionery is the Art (skill), art of making confections, or sweet foods. Confections are items that are rich in sugar and carbohydrates, although exact definitions are difficult. In general, however, confections are divided into two bro ...

, baked products, and other sweetened foods. Sugarcane is used in the distillation of

rum Rum is a liquor made by fermenting and then distilling sugarcane molasses or sugarcane juice. The distillate, a clear liquid, is often aged in barrels of oak. Rum originated in the Caribbean in the 17th century, but today it is produced i ...

. Several countries subsidize sugar. Globally in 2018, around 185 million

ton Ton is any of several units of measure of mass, volume or force. It has a long history and has acquired several meanings and uses. As a unit of mass, ''ton'' can mean: * the '' long ton'', which is * the ''tonne'', also called the ''metric ...

s of sugar was produced, led by India with 35.9 million tons, followed by Brazil and

Thailand Thailand, officially the Kingdom of Thailand and historically known as Siam (the official name until 1939), is a country in Southeast Asia on the Mainland Southeast Asia, Indochinese Peninsula. With a population of almost 66 million, it spa ...

. There are more than 123 sugar-producing countries, but only 30% of the produce is traded on the international market.

Market

Sugar subsidies have driven market costs for sugar well below the cost of production. As of 2019, 3/4 of world sugar production is never traded on the open market. Brazil controls half the global market, paying the most ($2.5 billion per year) in subsidies to its sugar industry. The US sugar system is complex, using

price support In economics, a price support may be either a subsidy, a production quota, or a price floor, each with the intended effect of keeping the market price of a good higher than the competitive equilibrium level. In the case of a price control, a pri ...

s, domestic marketing allotments, and

tariff A tariff or import tax is a duty (tax), duty imposed by a national Government, government, customs territory, or supranational union on imports of goods and is paid by the importer. Exceptionally, an export tax may be levied on exports of goods ...

-rate quotas. It directly supports sugar processors rather than farmers growing sugar crops. The US government also uses tariffs to keep the US domestic price of sugar 64% to 92% higher than the world market price, costing American consumers $3.7 billion per year. A 2018 policy proposal to eliminate sugar tariffs, called "Zero-for-Zero", is currently (March 2018) before the

US Congress The United States Congress is the legislature, legislative branch of the federal government of the United States. It is a Bicameralism, bicameral legislature, including a Lower house, lower body, the United States House of Representatives, ...

. Previous reform attempts have failed. The

European Union The European Union (EU) is a supranational union, supranational political union, political and economic union of Member state of the European Union, member states that are Geography of the European Union, located primarily in Europe. The u ...

(EU) is a leading sugar exporter. The

Common Agricultural Policy The Common Agricultural Policy (CAP) is the agricultural policy of the European Commission. It implements a system of agricultural subsidies and other programmes. It was introduced in 1962 and has since then undergone several changes to reduce ...

of the EU used to set maximum quotas for production and exports, and a subsidized sugar sales with an EU-guaranteed minimum price. Large import

s were also used to protect the market. In 2004, the EU was spending €3.30 in subsidies to export €1 worth of sugar, and some sugar processors, like British Sugar, had a 25%

profit margin Profit margin is a financial ratio that measures the percentage of profit earned by a company in relation to its revenue. Expressed as a percentage, it indicates how much profit the company makes for every dollar of revenue generated. Profit margi ...

. A 2004

Oxfam Oxfam is a British-founded confederation of 21 independent non-governmental organizations (NGOs), focusing on the alleviation of global poverty, founded in 1942 and led by Oxfam International. It began as the Oxford Committee for Famine Relief ...

report called EU sugar subsidies "dumping" and said they harm the world's poor. A WTO ruling against the EU quota and subsidy system in 2005-2006 forced the EU to cut its minimum price and quotas, and stop doing

intervention buying Intervention, Interventions, The Intervention, or An Intervention may refer to: Entertainment Film and television * Intervention (1968 film), ''Intervention'' (1968 film), a Russian film * Intervention (2007 film), ''Intervention'' (2007 film), ...

. The EU abolished some quotas in 2015, but minimum prices remain. Tariffs also persist for most countries. In 2009, the EU granted Least Developed Countries (LDCs) zero-tariff access to the EU market as part of the Everything but Arms initiative. As of 2018,

India India, officially the Republic of India, is a country in South Asia. It is the List of countries and dependencies by area, seventh-largest country by area; the List of countries by population (United Nations), most populous country since ...

, and Mexico also subsidize sugar.

Global players

The top 10 sugar-producing companies based on production in 2010: The global sugar industry has a low

market share Market share is the percentage of the total revenue or sales in a Market (economics), market that a company's business makes up. For example, if there are 50,000 units sold per year in a given industry, a company whose sales were 5,000 of those ...

concentration. The top four sugar producers account for less than 20.0% of the market.

Products

Raw sugar Brown sugar is a sucrose sugar product with a distinctive brown color due to the presence of molasses. It is either an unrefined or partially refined soft sugar consisting of sugar crystals with some residual molasses content or produced by ...

* Liquid sugar * Refined sugar *

Molasses Molasses () is a viscous byproduct, principally obtained from the refining of sugarcane or sugar beet juice into sugar. Molasses varies in the amount of sugar, the method of extraction, and the age of the plant. Sugarcane molasses is usuall ...

Sugar alcohol Sugar alcohols (also called polyhydric alcohols, polyalcohols, alditols or glycitols) are organic compounds, typically derived from sugars, containing one hydroxyl group attached to each carbon atom. They are white, water-soluble solids that c ...

Brown sugar Brown sugar is a sucrose sugar product with a distinctive brown color due to the presence of molasses. It is either an unrefined or partially refined soft sugar consisting of sugar crystals with some residual molasses content or produced by t ...

* Powdered sugar

Lobbying and marketing

The sugar industry engages in sugar marketing and

lobbying Lobbying is a form of advocacy, which lawfully attempts to directly influence legislators or government officials, such as regulatory agency, regulatory agencies or judiciary. Lobbying involves direct, face-to-face contact and is carried out by va ...

, minimizing the adverse health effects of sugar—

obesity Obesity is a medical condition, considered by multiple organizations to be a disease, in which excess Adipose tissue, body fat has accumulated to such an extent that it can potentially have negative effects on health. People are classifi ...

and

tooth decay Tooth decay, also known as caries,The word 'caries' is a mass noun, and is not a plural of 'carie'.'' is the breakdown of teeth due to acids produced by bacteria. The resulting cavities may be a number of different colors, from yellow to black ...

—and influencing medical research and

public health Public health is "the science and art of preventing disease, prolonging life and promoting health through the organized efforts and informed choices of society, organizations, public and private, communities and individuals". Analyzing the de ...

recommendations.original url, paywalledAuthor's conflict of interest disclosure forms

Organizations

International Sugar Organization The International Sugar Organization is an intergovernmental organization, based in London, which was established under international sugar agreement of 1968. Unlike its predecessors under pre-1968 versions of the International Sugar Agreement, i ...

* Sugar Association (USA) * European Association of Sugar Manufacturers (EU) * Sugar Nutrition UK * Indian Sugar Mills Association * Global Energy Balance Network

History of the sugar industry

Health effects

Industry funding of research

The sugar industry has funded research that downplayed the health effects of sugar.

The Coca-Cola Company The Coca-Cola Company is an American multinational corporation founded in 1892. It manufactures, sells and markets soft drinks including Coca-Cola, other non-alcoholic beverage concentrates and syrups, and alcoholic beverages. Its stock is lis ...

provided funding to the Global Energy Balance Network promoting exercise over reduced sugar consumption. The Sugar Research Foundation, the predecessor to the Sugar Association, funded research that downplayed the risks of sugar and highlighted the hazards of fat.

Subsidies

United States

Labor

Working condition

Workers face low pay, debts, heat stress and chemical exposure.

Child labor

Child labor has been reported in the sugar industry.

Slavery

Sugar played a significant role in the

Atlantic slave trade The Atlantic slave trade or transatlantic slave trade involved the transportation by slave traders of Slavery in Africa, enslaved African people to the Americas. European slave ships regularly used the triangular trade route and its Middle Pass ...

, driving the demand for labor on plantations in the Americas. In 2022,

U.S. Customs and Border Protection United States Customs and Border Protection (CBP) is the largest federal law enforcement agency of the United States Department of Homeland Security. It is the country's primary border control organization, charged with regulating and facilita ...

blocked imports of Central Romana sugar citing "information that reasonably indicates the use of forced labor in its operations". The Dalmia Bharat Sugar mill in Kolhapur, India allegedly locks underage girls into years of debt and forced labor, and pressure them into underage marriages and hysterectomies.

Interventionism

Cuba

From August 25, 1917 to February 15, 1922, the United States Marine Corps was stationed in Cuba to protect American sugar interests.

Hawaii

The sugar industry played a role in the overthrow of the Hawaiian Kingdom.

Environmental effects

Water

Sugarcane is a very water intensive crop and irrigating sugarcane can contribute to water scarcity. Wastewater and solid waste from sugar mills can pollute water.

Sugarcane burning

ProPublica ProPublica (), legally Pro Publica, Inc., is a nonprofit investigative journalism organization based in New York City. ProPublica's investigations are conducted by its staff of full-time reporters, and the resulting stories are distributed to ne ...

and

The Palm Beach Post ''The Palm Beach Post'' is an American daily newspaper serving Palm Beach County in South Florida, and parts of the Treasure Coast. On March 18, 2018, in a deal worth US$42.35 million, ''The Palm Beach Post'' and '' The Palm Beach Daily News' ...

reported that sugar companies set fire to cane fields in

Florida Florida ( ; ) is a U.S. state, state in the Southeastern United States, Southeastern region of the United States. It borders the Gulf of Mexico to the west, Alabama to the northwest, Georgia (U.S. state), Georgia to the north, the Atlantic ...

to rid the sugarcane of its outer leaves but the fires also release harmful smoke. Residents are suing sugar companies, alleging that pollution from cane burning damages residents’ health.