U.S. sugar prices plummeted after Mexico broke U.S. trade law and dumped subsidized sugar on the market in 2013 and 2014 – from 43 cents per pound in 2012 to less than 29 cents when the U.S. and Mexican governments finally struck a deal this June to stop the trade abuses.
Despite nearly 5 years of declining prices, makers of candy, cakes, cookies and other sweet treats never lowered prices for grocery shoppers, according to an analysis of food pricing data rolled out at the International Sweetener Symposium in San Diego.
In fact, the price of most sweetened foods increased, creating an economic windfall for confectioners and other food manufacturers. Candy bars, for example, increased from $1.39 to $1.49 over that time, based on the survey of grocery store prices conducted annually by the American Sugar Alliance (ASA).
And it’s not just candy bars. Cake mix rose from $2.09 to $2.69, gelatin jumped from $1.49 to $2.09, and a carton of ice cream climbed from $4.99 to $6.29.
“Sugar costs less in America today than it did in the 1980s,” explained Jack Roney, ASA’s economist. “Compare that to a candy bar, which is now four-times more expensive than it was back then.”
Source: sugaralliance.org