Australia seeking exposure to future US sugar demand in trade pact

Sydney

AUSTRALIA is seeking a guaranteed slice of any growth in demand in the US sugar market in talks with Washington on the Trans-Pacific Partnership (TPP) trade pact, a source with knowledge of the Australian position said.

Australia, the world's third-largest exporter of raw sugar, has rejected a US offer to permit 152,000 tonnes of imports per year, or 62,000 tonnes more than typical annual sales, according to data from Australia's commodity forecaster. The US offer was well below Australia's sugar industry demands for 500,000 tonnes a year.