The agency “Bloomberg” said that the drought in Louisiana and Mexico caused a decrease in the supply of sugar in the US market, forcing candy manufacturers to import it and overpay due to tariffs.
The agency explained in a report that the sugar shortage has pushed the levels of imports with heavy tariffs to approach the record levels recorded in 2005, when Hurricane Katrina destroyed many sugar cane crops in Louisiana and destroyed processing plants, and the supply of sugar from Mexico, which is subject to preferential import conditions, also does not help the drought hit the region there.
Candy manufacturers in the United States were eventually forced to increase the prices of their goods.Confectionery prices increased by 13.4% in the 12 months ending November 25.
