The federal government is providing sugar growers — many of whom are in Minnesota — nearly $240 million as farmers contend with lower consumer interest in sweets.
The U.S. Department of Agriculture is providing the one-time payments in response to “temporary market disruptions” and increased costs for producers, according to a news release.
The department is providing $150 million in one-time payments to sugar beet and sugar cane farmers and another $89 million in disaster assistance to sugar beet producers who lost crops due to extreme heat in the summer of 2024.
Minnesota grows more sugar beets than in any other state, and the crop is the state’s third-most-valuable commodity after corn and soy.
Since peaking in April 2024, the price of sugar from beets has steadily dropped, while prices for fertilizer and other farming needs have continued to rise.
Secretary of Agriculture Brooke Rollins blamed former President Joe Biden’s “economic mismanagement” for farmers’ woes. Others have contended the Make America Healthy Again (MAHA) movement and rising popularity of weight-loss drugs are weakening America’s sweet tooth and disrupting the sugar industry.
A spokeswoman for the American Sugar Alliance said sugar cane and sugar beet farmers appreciate the federal government for “recognizing the challenges facing rural America and announcing needed economic aid.”
“This will be a critical aid infusion for our farmers who are experiencing tight — and in many cases, negative — margins, threatening the economic viability of multi-generational family farms and the sustainability of the entire domestic sugar industry,” the spokeswoman said in an email.
