The Sour Side of Sugar for Massachusetts

READING, Mass. - May 22, 2013 - PRLog -- American candy manufacturers pay double the price of sugar than those in the rest of the world, leaving them with bleak options:  slow growth and raise prices for consumers, use cheaper sweeteners such as high-fructose corn syrup, or move their operations out of the country. Hershey, the quintessential American chocolate manufacturer, has already moved jobs out of its namesake Pennsylvania town as well as Colorado and California to Canada, where it is cheaper to import sugar. In the past decade, other companies, including Fannie May and Brach’s have moved their Chicago manufacturing center to Mexico, and Kraft moved 600 workers from their LifeSavers factory in Michigan to Canada.

Massachusetts is not a sugar producing state, however, the commonwealth has seen the loss of many candy makers over the past several years from Cambridge and Lawrence.  Bacci Chocolate Design which also owns and operates The Chocolate Truffle in Reading purchased a small chocolate manufacturer located in Lawrence and merged it within its operation in Swampscott. The family business has made personal sacrifices to stay in business, "I can certainly understand weighing options and making tough decisions. We don’t receive any tax breaks so it would certainly be nice to cut the cost we pay for sugar so we could put that money toward hiring more people," stated owner Erin Calvo-Bacci who was in Washington with representatives from NECCO and Hilliards asking Masachusetts Legislatures for their support. "We small business owners are grateful for the support we have, but we need the support of Massachusetts leaders in Washington, because without the amendment, our state stands to lose revenue and jobs."

Those manufacturers that remain in the state, including the iconic NECCO company, are working hard to be profitable enough to remain here.  While they do so, they are wooed by Canada’s economic development officials. Additionally, non-confectionery businesses that use sugar, such as bakers and cereal producers, are also forced to raise their profits to remain viable, leading to higher prices and tough business decisions.

It is time for Congress to act to save a significant American industry, retain American jobs and support American consumers. We urge retailers, manufacturers and consumers to contact our nation’s leaders and tell them to curb these outdated subsidies.