SUPPLEMENTARY INFORMATION:

Pursuant to Additional U.S. Note 5 to chapter 17 of the Harmonized Tariff Schedule of the United States (HTS), the United States maintains tariff-rate quotas (TRQs) for imports of raw cane sugar and refined sugar. Pursuant to Additional U.S. Note 8 to Chapter 17 of the HTS, the United States maintains a TRQ for imports of sugar-containing products.

Section 404(d)(3) of the Uruguay Round Agreements Act (19 U.S.C. 3601(d)(3)) authorizes the President to allocate the in-quota quantity of a TRQ for any agricultural product among supplying countries or customs areas. The President delegated this authority to the United States Trade Representative under Presidential Proclamation 6763 (60 FR 1007).

On June 30, 2017, the Secretary of Agriculture (Secretary) announced the sugar program provisions for FY2018. See82 FR 29822. The Secretary announced an in-quota quantity of the TRQ for raw cane sugar for FY2018 of 1,117,195 metric tons raw value (MTRV) (conversion factor: 1 metric ton = 1.10231125 short tons), which is the minimum amount to which the United States is committed under the World Trade Organization (WTO) Uruguay Round Agreements. USTR is allocating this quantity (1,117,195 MTRV) to the following countries in the amounts specified below:

USTR based these allocations on the countries' historical shipments to the United States. The allocations of the in-quota quantities of the raw cane sugar TRQ to countries that are net importers of sugar are conditioned on receipt of the appropriate verifications of origin, and certificates for quota eligibility must accompany imports from any country for which an allocation has been provided.

On June 30, 2017, the Secretary also announced the establishment of the in-quota quantity of the FY2018 refined sugar TRQ at 182,000 MTRV for which the sucrose content, by weight in the dry state, must have a polarimeter reading of 99.5 degrees or more. This amount includes the minimum level to which the United States is committed under the WTO Uruguay Round Agreements (22,000 MTRV of which 1,656 MTRV is reserved for specialty sugar) and an additional 160,000 MTRV for specialty sugars. USTR is allocating the refined sugar TRQ as follows: 10,300 MTRV of refined sugar to Canada, 2,954 MTRV to Mexico, and 7,090 MTRV to be administered on a first-come, first-served basis.

Imports of all specialty sugar will be administered on a first-come, first-served basis in five tranches. The Secretary has announced that the total in-quota quantity of specialty sugar will be the 1,656 MTRV included in the WTO minimum plus an additional 160,000 MTRV. The first tranche of 1,656 MTRV will open on October 2, 2017. All types of specialty sugars are eligible for entry under this tranche. The second tranche of 48,000 MTRV will open on October 18, 2017. The third tranche of 48,000 MTRV will open on January 23, 2018. The fourth and fifth tranches of 32,000 MTRV each will open on April 17, 2018 and July 17, 2018, respectively. The second, third, fourth and fifth tranches will be reserved for organic sugar and other specialty sugars not currently produced commercially in the United States or reasonably available from domestic sources.

With respect to the in-quota quantity of 64,709 MTRV of the TRQ for imports ( printed page 32600) of certain sugar-containing products maintained under Additional U.S. Note 8 to chapter 17 of the HTS, USTR is allocating 59,250 MTRV to Canada. The remainder, 5,459 MTRV, of the in-quota quantity is available for other countries on a first-come, first-served basis.

Raw cane sugar, refined and specialty sugar and sugar-containing products for FY2018 TRQs may enter the United States as of October 2, 2017.

82 FR 32599