>> A bitter feud between the United States and Mexico over sugar coming to a close with a handshake Tuesday. US commerce secretary Wilbur Ross and Mexican economy minister Ildefonso Guajardo all smiles after stopping a long running dispute from breaking into an all out trade war threatening tariffs on sugar and sugar products on both sides of the border.
But there's one deep pocketed group that's not buying into the tentative agreement.>> Unfortunately despite all of these gains, the US sugar industry has said it is unable to support the new agreement in its present form.>> Mexico agreed to higher import prices along with a huge drop in the amount of refined sugar it can send to the US.
For its part, the US agreed that when it needs more sugar than the quota allows, it will turn to Mexico first. But the powerful US sugar lobby, backed by the politically connected Fanjul family, owner of the Domino Sugar brand, lobbied for even stricter quotas, claiming Mexican imports are crippling domestic producers.
>> We remain confident that this deal defends American workers across many industries, and is the right way to ensure stability and growth.>> The rift between big business and the Trump administration on this agreement revealing a crack. Which suggests corporate America may not get all it want from the upcoming renegotiation of the North American Free Trade Agreement or NAFTA despite the bravado coming out of the White House.
The commerce department expects to finalize the deal in a matter of days not months, leaving US sugar producers little time to either get on board or try to derail it.