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In your opinion, is it more important for sugar to be grown in the U.S., or...

In your opinion, is it more important for sugar to be grown in the U.S., or for candy to be manufactured in the U.S.? That is, is it more important for policy to favor the sugar famers, or for policy to favor the candy manufacturers? Perhaps neither? Explain your reasoning.

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Answer #1

Sugar is an essential ingredient and act as a raw material in a variety of products. Over a period of time, sugar industry has been favored politically. However, the sugar market globally is increasingly turning competitive. Candy manufacturer, who depend on sugar as their main raw material are forced to procure sugar from domestic market, which place them at a precarious position when competing globally. Domestic candy manufacturers are also facing intense competition from foreign players who sell the product at competitive prices.
Both sugar and candy are labor intensive industry and employee thousands of employees. However, sugar manufacturing gives a nation a bargaining power in world market. These can also be sold outside at fair price. Candy manufacturers, on the other hand, can reduce their operating cost by procuring sugar from outside. The policy makers can come up with a formula so that the domestic sugar market does not suffer as well. This way the govt. can protect both manufacturing industry, without having to favor one over the other.

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