Notice2022-19134

Notice of Request for Information (RFI) Inviting Input on the Sugar Re-Export Programs

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Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
September 6, 2022

Issuing agencies

Agriculture DepartmentForeign Agricultural Service

Abstract

The Foreign Agricultural Service (FAS) of the U.S. Department of Agriculture is requesting public comments from interested parties on administration of the Sugar Re-Export Programs, which include the Refined Sugar Re-Export Program, the Sugar Containing Products Re- Export Program, and the Polyhydric Alcohol Program. This request for information (RFI) seeks voluntary comment from interested stakeholders and members of the public on these re-export programs.

Full Text

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<title>Federal Register, Volume 87 Issue 171 (Tuesday, September 6, 2022)</title>
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[Federal Register Volume 87, Number 171 (Tuesday, September 6, 2022)]
[Notices]
[Pages 54449-54451]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-19134]


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DEPARTMENT OF AGRICULTURE

Foreign Agricultural Service


Notice of Request for Information (RFI) Inviting Input on the 
Sugar Re-Export Programs

AGENCY: Foreign Agricultural Service, USDA.

ACTION: Request for information.

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SUMMARY: The Foreign Agricultural Service (FAS) of the U.S. Department 
of Agriculture is requesting public comments from interested parties on 
administration of the Sugar Re-Export Programs, which include the 
Refined Sugar Re-Export Program, the Sugar Containing Products Re-
Export Program, and the Polyhydric Alcohol Program. This request for 
information (RFI) seeks voluntary comment from interested stakeholders 
and members of the public on these re-export programs.

DATES: Comments on this notice must be received by November 7, 2022 to 
be assured of consideration.

ADDRESSES: USDA invites submission of comments through one of the 
following methods:
    <bullet> Federal eRulemaking Portal: Go to <a href="http://www.regulations.gov">http://www.regulations.gov</a>. Follow the online instructions for submitting 
comments.
    <bullet> Email: FAS will accept electronic comments emailed to 
<a href="/cdn-cgi/l/email-protection#b6f0f7e598e5c3d1d7c4c5f6c3c5d2d798d1d9c0"><span class="__cf_email__" data-cfemail="bafcfbe994e9cfdddbc8c9facfc9dedb94ddd5cc">[email&#160;protected]</span></a>. The email should contain the subject line, 
``Response to RFI: Inviting Input on the Sugar Re-Export Programs''.
    Instructions: Response to this RFI is voluntary. All comments 
submitted in response to this RFI will be included in the record and 
will be made available to the public. Please be advised that the 
substance of the comments and the identity of the individuals or 
entities submitting the comments will be subject to public disclosure. 
USDA will make the comments publicly available via <a href="http://www.regulations.gov">http://www.regulations.gov</a>.

FOR FURTHER INFORMATION CONTACT: William Janis, U.S. Department of 
Agriculture, Foreign Agricultural Service, telephone 202-720-2194, 
email <a href="/cdn-cgi/l/email-protection#f2b4b3a1dca18795938081b287819693dc959d84"><span class="__cf_email__" data-cfemail="99dfd8cab7caecfef8ebead9eceafdf8b7fef6ef">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION: 

Background

Sugar Re-Export Programs

    Pursuant to Additional U.S. Note 6 to chapter 17 of the Harmonized 
Tariff Schedule of the United States (HTSUS), FAS administers and 
manages three inter-related programs in the sugar market: the Refined 
Sugar Re-Export Program, the Sugar Containing Products Re-Export 
Program, and the Polyhydric Alcohol Program (collectively ``Sugar Re-
Export Programs'') (7 CFR part 1530). FAS issues licenses to qualified 
sugar refiners, manufacturers of sugar-containing products (SCP), and 
producers of polyhydric alcohol not for human consumption that apply 
for these programs.
    Under the Refined Sugar Re-Export Program, USDA issues licenses to 
sugar refiners to import low-duty raw sugar unrestricted by the raw 
sugar TRQ provided for in Additional U.S. Note 5(a)(i) in chapter 17 of 
the HTSUS and exempt from the requirement that imports be accompanied 
by a Certificate for Quota Eligibility (CQE) issued to the foreign 
exporter in accordance with 15 CFR part 2011. An equivalent quantity of 
domestically produced refined sugar must either be exported by the 
licensee or provided by the licensee to licensed U.S. manufacturers for 
use in exported SCP or licensed producers for use in polyhydric alcohol 
for non-food purposes.
    Under the Sugar-Containing Products Re-Export Program, USDA issues 
licenses to U.S. manufacturers of SCP to purchase refined sugar from 
refiners with refined sugar re-export licenses for use in SCP to be 
exported to the world market.
    Under the Polyhydric Alcohol Program, USDA issues licenses to U.S. 
producers of polyhydric alcohols to purchase refined sugar from 
refiners with refined sugar re-export licenses for use in the 
production of polyhydric alcohols, except polyhydric alcohols used as a 
substitute for sugar in human food consumption.
    By statute, ``for purposes of Additional U.S. Note 6 to chapter 17 
of the Harmonized Tariff Schedule of the United States and the reexport 
programs and polyhydric alcohol program administered by the Secretary, 
all refined sugars (whether derived from sugar beets or sugarcane) 
produced by cane sugar refineries and beet sugar processors shall be 
fully substitutable

[[Page 54450]]

for the export of sugar and sugar-containing products under those 
programs.'' (7 U.S.C. 7272(h))

Request for Information

    This RFI is a general solicitation for public comment, including 
from stakeholders involved directly or indirectly in the Sugar Re-
Export Programs. This input will inform FAS on the public's views of 
the current administration of these programs. Specific questions to 
which comments are requested are listed below. Respondents may provide 
non-confidential input concerning any or all of these questions. We 
also welcome comment on any topics related to the Sugar Re-Export 
Programs but not covered in these questions.

The Sugar Re-Export Programs

    1. The Sugar Re-Export Programs regulations define ``Refiner'' to 
mean ``any person in the U.S. Customs Territory that refines raw cane 
sugar through affination or defecation, clarification, and further 
purification by absorption or crystallization.'' (7 CFR 1530.101). We 
seek the public's views on this definition.
    a. What role does ``absorption'' play, if any, within the sugar 
refining purification process? In particular, please comment on what 
production steps ``absorption'' entails and whether and how it is 
possible for a refiner to purify raw cane sugar by using absorption as 
part of the sugar refining purification process. Please provide any 
relevant accredited standards, international standards, or other 
scientific guides, or links thereto.
    b. What role does ``adsorption'' play, if any, within the sugar 
refining purification process. In particular, please comment on what 
production steps ``adsorption'' entails and whether and how it is 
possible for a refiner to purify raw cane sugar by using adsorption as 
part of the sugar refining purification process. Please provide any 
relevant accredited standards, international standards, or other 
scientific guides, or links thereto.
    c. Is it possible to use both absorption and adsorption during the 
sugar refining purification process? When and in what context? Please 
explain and provide any relevant accredited standards, international 
standards, or other scientific guides, or links thereto.
    d. Should sugar refining be redefined to include purification by 
``adsorption and crystallization'' rather than ``absorption or 
crystallization''? Please explain and provide any relevant accredited 
standards, international standards, or other scientific guides, or 
links thereto.
    e. To account for future technological advancements in refining 
sugar, should a performance-driven definition replace the current 
process-based definition of refiner? If so, please describe your 
recommended approach or performance-based definition and any relevant 
accredited standards, international standards, or other scientific 
guides, or links thereto. One example of a performance-driven 
definition is: ``Refiner means any entity that increases the polarity 
of raw cane sugar for further processing from less than 99.5 to 99.8 
(99.86% sucrose by volume) or more, determined on a dry basis, and 
produces sugar with ICUMSA Color Units of 45 or lower.''
    2. Pursuant to 7 CFR 1530.105(m) and 7 CFR 1530.113, the Licensing 
Authority has waived paragraph (k) of section 1530.105, which requires 
that a licensee must retain ownership for the product until exported 
from the U.S. Customs Territory. This waiver is available at <a href="https://www.fas.usda.gov/programs/sugar-import-program/sugar-re-export-program-waivers-issued-january-14-2002">https://www.fas.usda.gov/programs/sugar-import-program/sugar-re-export-program-waivers-issued-january-14-2002</a>. Under this waiver, licensed refiners 
and manufacturers may sell refined sugar and SCP to a U.S. order party 
(e.g., a broker, wholesaler/distributor), who has arranged for the sale 
and export of the merchandise to a foreign buyer, or to a foreign 
entity in the United States, who has purchased the merchandise for 
export (``third party exporters'').
    a. Please comment on the extent to which licensed refiners and 
manufacturers use third party exporters.
    b. Please provide your views on the benefits of or issues raised by 
this activity, if any.
    3. Pursuant to 7 CFR 1530.105(m) and 7 CFR 1530.113, the Licensing 
Authority has waived paragraph (l) of section 1530.105, which prohibits 
a refiner from assigning its license without the written permission of 
the Licensing Authority, and the definitions of ``transfer'' and ``date 
of transfer'' in section 1530.101 whereby a ``transfer'' requires the 
transfer of legal title of the program sugar from a licensed refiner to 
a licensed SCP manufacturer or polyhydric alcohol producer. These 
waivers are available at <a href="https://www.fas.usda.gov/programs/sugar-import-program/sugar-re-export-program-waivers-issued-january-14-2002">https://www.fas.usda.gov/programs/sugar-import-program/sugar-re-export-program-waivers-issued-january-14-2002</a>. 
Under the waivers, an SCP manufacturer or polyhydric producer may 
purchase raw cane sugar in foreign markets and import it using a 
refiner's license under the Refined Sugar Re-export Program. The SCP 
manufacturer or polyhydric alcohol producer may maintain legal title of 
the imported sugar throughout the entire process, from importation as 
raw cane sugar, through refining, and final transfer to the license of 
the SCP manufacturer or polyhydric alcohol producer. This practice has 
become known as ``toll refining.''
    a. Please comment on the extent to which licensees are engaging in 
toll refining.
    b. Please provide your views on the benefits of or issues raised by 
toll refining, if any.
    4. Pursuant to section 1530.113, the Licensing Authority has waived 
the definition of ``refined sugar'' in section 1530.101, which provided 
that ``Refined sugar means any product that is produced by a refiner by 
refining raw cane sugar and that can be marketed as commercial, 
industrial or retail sugar.'' The Licensing Authority redefined 
``refined sugar'' to mean ``sugar whose content of sucrose by weight, 
in a dry state, corresponds to a polarimeter reading of 99.5 degrees or 
more, or any brown sugar regardless of polarity manufactured from 
refined sugar.'' The waiver and definition are available at <a href="https://www.fas.usda.gov/programs/sugar-import-program/sugar-re-export-program-waivers-issued-january-14-2002">https://www.fas.usda.gov/programs/sugar-import-program/sugar-re-export-program-waivers-issued-january-14-2002</a>. Please provide your views on this 
definition of ``refined sugar.''
    5. Do you have any other comments, concerns or suggested 
improvements regarding the Sugar Re-export Programs?
    Any information obtained from this RFI is intended to be used by 
the Government on a non-attribution basis for reviewing operation of 
the Sugar Re-Export Programs. This RFI does not constitute a formal 
solicitation for proposals or abstracts. Your response to this notice 
will be treated as information only. FAS will not reimburse any costs 
incurred in responding to this RFI. Respondents are advised that FAS is 
under no obligation to acknowledge receipt of the information received 
or provide feedback to respondents with respect to any information 
submitted under this RFI. Responses to this RFI do not bind FAS to any 
further actions related to this topic. Responses will become government 
property.
    No confidential information, such as confidential business 
information or proprietary information, should be submitted in comments 
for this RFI. Comments received in response to this notice will be a 
matter of public record and will be made available for public 
inspection and posted without change and as received, including any 
business information or personal information provided in the comments, 
such as

[[Page 54451]]

names and addresses. Please do not include anything in your comment 
submission that you do not wish to share with the general public.

Aileen Mannix,
Acting Licensing Authority, Foreign Agricultural Service.
[FR Doc. 2022-19134 Filed 9-2-22; 8:45 am]
BILLING CODE 3410-10-P


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Indexed from Federal Register on September 6, 2022.

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