Canada intends to revive sugar industry

Canadian sugar beet producers and processors are advocating for a national policy that includes regulating the amount of sugar imported into Canada from cane sugar producing countries such as Brazil and India. This would shift the emphasis to domestic sugar beet production and processing.

The impetus for the development of the sugar industry in Canada and especially in the province of Alberta, where sugar beet processors and producers are advocating for a national domestic sugar policy to lay the groundwork for the revival of the industry.

Such a policy would regulate the amount of sugar imported into Canada from cane sugar producing countries such as Brazil and India. This will shift the emphasis to domestic sugar beet production and processing.

“We are the only G7 country that does not have a domestic sugar policy. A sugar policy would protect the sugar beet market and allow us to expand the industry,” says Jennifer Crowson, executive director of the sugar producers group, who emphasize that they produce only eight percent of the sugar sold in Canada, with the rest imported – cane sugar.

The immediate goal of the domestic sugar policy formulated by the Alberta Sugar Beet Processors Group and its partner, the Canadian Sugar Beet Association, is to begin by doubling the market share of domestic sugar beets and bringing domestic sugar consumption to 16 percent. This will help attract investment in the sugar processing industry and expand the area under the crop. For example, sugar beets used to be grown in Manitoba, where farmers have now abandoned the sweet root crop in favor of other more profitable crops.

“If there was a national sugar policy, we could expand the market, develop processing infrastructure, and potentially attract other provinces to start growing sugar beets again,” Crowson comments.

Today, the Canadian sugar beet industry operates under a system of supply regulation and quotas. The contracted area can be reduced if the factories are unable to process the quota this year.

Any sugar beet that does not make it to the factory becomes a problem for producers during storage, as they have no other options for sale. “Beets are stored in kagats outside all winter, but the quality drops by the end of February or early March, and the crop spoils. In addition, southern Alberta often experiences sudden periods of winter thaws that accelerate the deterioration of beets. While sugar beet yields are high for farmers, a number of factors are leading to a reduction in acreage, and this trend should be stopped,” Crowson said.

Tags: sugar, Canada