Dive Brief:
- The U.S. sugar beet harvest is underway, and the crop is setting record levels in multiple growing regions.
- In Michigan, an expected harvest of 4.8 million tons may be more than processors can handle effectively. Grower-owned cooperative Michigan Sugar Co., which produces about a billion pounds of sugar from beets each year, may ask farmers to leave some of this year's crop in the ground to keep the system from being overwhelmed.
- In Idaho, the crop is expected to top last year's levels despite some unseasonably cold weather that forced farmers to replant. In northeastern Colorado, sugar content is said to be well above last year's levels, which translates into higher payments to growers.
Dive Insight:
At a time when consumers are turning away from high fructose corn syrup and artificial sweeteners, and as soft drink-makers create offerings with a mix of stevia and sugar, it's worth paying very close attention to the U.S. sugar beet crop. It's worrisome that in Michigan, where sugar-beet processing is crucial to the food business, the industry seems to have reached capacity, just as some global players appear close to throwing in the towel.