by Charles Gladden
BELIZE CITY, Thurs. Nov. 7, 2024
In a positive development for Belize’ sugar industry, the United Kingdom (UK) has decided to maintain its current Autonomous Tariff Quota (ATQ) for raw cane sugar, so there will be no increase in access for other suppliers who are not part of the Organization of African, Caribbean, and Pacific States (OACPS).
The British High Commissioner announced the decision to preserve critical market access for Belize’s sugar exports in 2025, while also providing substantial benefits for the country’s sugar sector, especially Belize’s dedicated cane farmers.
The UK will continue to allow 260,000 tons of raw cane sugar to enter its market at a 0% tariff rate, and Belize’s sugar exports will retain duty-free, quota-free access under the CARIFORUM-UK Economic Partnership Agreement (EPA).
“The UK’s commitment to preserving this vital access reaffirms the importance of Belize’s cane farmers, whose contributions support not only the economy but the livelihoods of thousands of Belizean families. This ensures that Belize remains competitive in one of its primary export markets, offering stability to rural communities and contributing to the nation’s foreign exchange earnings,” said Minister of State, Dr. Hon. Osmond Martinez.
Minister of Foreign Trade, Hon. Francis Fonseca shared his thoughts with the media on the decision.
“It’s good news for Belize; it means that the status quo remains,” he noted. “Belize will continue to be able to export its sugar on the same existing terms and conditions, at least for another few years; I think it’s four years or so. So that was something we were concerned about, because there were moves in some corners to try and remove that favorable status and extend it to other countries; and so it’s important. We did a lot of work in that regard. We’re happy that the UK government and parliament have approved that process to continue,” he added.
In 2021, the UK implemented an ATQ on raw sugar for 260,000 tons per year to enter the country with an in-quota rate of 0%. However, a review of all UK ATQs was done and the UK government maintained the volume level of this ATQ at 260,000 tons and committed to review it before the end of 2024.
In 2023, an increase in sugar retail prices made the UK government consider whether there was a case to be made to increase the volume of the raw cane sugar ATQ for 2023 for the remainder of the 2023 calendar year.