By Jamie Martin
The U.S. Department of Agriculture (USDA) Commodity Credit Corporation (CCC) has reported that it does not expect to purchase or sell sugar under the Feedstock Flexibility Program for crop year 2025, which spans October 1, 2025, to September 30, 2026.
The program, first authorized in the 2008 Farm Bill and reauthorized in 2025, helps prevent sugar forfeitures. If loaned sugar is at risk of being forfeited, USDA purchases surplus sugar and sells it to bioenergy producers. This approach helps maintain sugar prices and reduces surplus in the food market.
USDA’s March 10, 2026, report shows that crop year 2025 sugar stocks are sufficient, and forfeitures are unlikely. Therefore, no purchases or sales are expected under the program this year.
Sugar processors can still access USDA loans at harvest start. Loans can last up to nine months. Upon maturity, processors may repay or forfeit sugar to satisfy the loan.
USDA continues to closely monitor domestic sugar stocks, consumption, imports, and other market variables. Transparency in program administration is a priority. The next quarterly estimate for potential sugar purchases under the Feedstock Flexibility Program will be released on or before July 1, 2026.
This proactive oversight ensures that the U.S. sugar market remains stable and responsive to changing conditions.
Photo Credit: usda
Categories: National