""

Required Report - public distribution

**Date:** 10/10/2003

**GAIN Report Number:** MX3135

MX0000

**Mexico**

**Sugar**

**Semi-Annual**

**2003**

**Approved by:**

![](media/image1.wmf)David Williams

#### Mexico City

**Prepared by:**

Dulce Flores/ Gabriel Hernandez

**Report Highlights:**

Sugar production for MY 2003/04 is forecast higher due to good weather
and expected improved production practices by government sugar mills.
Mexico announced a refined sugar TRQ (Sep/Dec 03) of 112,000 MT. The TRQ
is intended to curb speculation within Mexico. Human domestic
consumption was also revised upward due to a higher demand from the
soft-drink industry.

Includes PSD Changes: Yes

Includes Trade Matrix: Yes

Semi-Annual Report

Mexico \[MX1\]

\[MX\]

Table of Contents

[**SECTION I. SITUATION AND OUTLOOK
3**](#section-i.-situation-and-outlook)

[SUGAR PRODUCTION 3](#sugar-production)

[SUGAR AND HFCS CONSUMPTION 4](#sugar-and-hfcs-consumption)

[SUGAR TRADE 4](#sugar-trade)

[HFCS TRADE 5](#hfcs-trade)

[STOCKS 5](#stocks)

[SECTION II. STATISTICAL TABLES 6](#section-ii.-statistical-tables)

[Centrifugal Sugar Table 6](#centrifugal-sugar-table)

[Sugarcane for Centrifugal Sugar 7](#sugarcane-for-centrifugal-sugar)

[Sugar Prices 8](#sugar-prices)

[Trade Matrixes 9](#trade-matrixes)

[Sugar Tariffs 10](#sugar-tariffs)

# SECTION I. SITUATION AND OUTLOOK

## SUGAR PRODUCTION

Sugar production for MY 2003/2004 (October/September) is forecast to
increase to 5.46 million metric tons (MT), due to higher yields as a
result of good weather. Official sources maintain that this increase is
also due to expected better production from the government-owned mills,
which increased output as a result of better management during MY
2002/03. Production depends on timely maintenance of the sugar mills as
well as access to credit and availability of incentives to producers.
Area planted and harvested for MY 2003/04 is expected to remain
unchanged, but cane production was revised upward, due to good weather
conditions and expectations of increased cane yields. Area planted
remained steady this year, but if the soft drink industry continues its
demand for sugar as a result of the 20-percent HFCS beverage tax, area
planted may increase in the future.

At the same time, there is uncertainty in the sugar sector because the
government has been unable to define an overall policy for the industry
and some issues pertaining to the expropriation of the sugar mills have
not yet been resolved. Government compensation for the mills has not
been paid to the previous owners, in part due to the fact that several
former sugar mill owners have filled court injunctions against the
reprivatization. From the 27 mills expropriated by the government, six
mills have won the court injunctions and 12 mills have lost their court
injunctions to the government; the court cases of the other nine mills
are still in the process of resolution. Additionally, a medium-tern goal
of the National Sugar Policy calling for redefinition of the legal
framework that regulates relations between mill workers and mill owners,
and the system of payment for sugarcane *("contrato ley" and"decreto
cañero")* has not yet been attained because of the uncertainties
regarding the mills' expropriation. This situation has delayed the
government's general objectives of reconverting and modernizing the
mills and restructuring the sugar market. Despite this, industry
indicates that two mills could soon be ready for reprivatization.

Sugar production for MY 2002/03 has been revised upward from previous
estimates, due to good weather conditions and better industry
organization. Planted sugarcane area for MY 2002/03 remains unchanged.
Area harvested was revised upward based on official data. Sugarcane
production was revised upward to 43,948 MMT, due to better yields. Mill
yields and recovery rates were about 11.21 percent. The sugar industry
believes that, since the government expropriated the sugar mills and
began to reorganize the sugar market, domestic sugar prices slowly began
to increase to levels which it now considers to be reasonable; before
this reorganization, the sugar industry considered prices to be too low
and reflective of a poorly structured market market. According to the
industry, sugar F.O.B. mill prices for standard and refined sugar
increased 13 percent and 18 percent respectively during MY 2002/03. It
is important to note that the 20-percent tax on HFCS-containing
beverages has been in effect since January 2002, thus increasing the
domestic soft drink industry's demand for sugar. Sugar production data
for MY 2001/02 remains unchanged.

[]{.mark}

High fructose corn syrup (HFCS) production for CY 2003 is forecast to be
approximately 100,000 MT dry basis, slightly lower than CY 2002
production, due to the continued imposition of the 20-percent tax on
HFCS-containing beverages. HFCS production is forecast to remain at this
level for the remainder of CY 2003 based on the assumption that no
resolution is reached in the U.S.-Mexico sweetener dispute. Those
companies manufacturing HFCS in Mexico have indicated that the tax has
harmed investment in their industry and at least one company is seeking
legal redress in the Mexican courts. U.S. corn imports, used in the
local manufacture of HFCS, have also been adversely affected by the HFCS
beverage tax. Mexican production of HFCS is not published by official
sources and companies treat it as confidential information.

## SUGAR AND HFCS CONSUMPTION

Sugar for human domestic consumption for MY 2003/04 was revised upward
to 5,195 MMT from previous estimates, due to more demand. The soft drink
industry forecast its MY 2003/04 sugar consumption at about 1.8 to 1.9
MMT, a slight increase over MY 2002/03, based on the assumption that the
20-percent duty on HFCS-containing beverages will remain in place.

Sugar for human domestic consumption for MY 2002/03 was revised upward
because of increased demand from the soft drink industry, due to the
20-percent tax on HFCS-containing beverages. Industry sources estimated
MY 2002/03 sugar consumption for the soft drink industry to be about 1.7
to 1.8 MMT. Sugar for domestic consumption for MY 2001/02 was revised
upward based on industry data.

HFCS consumption for CY 2003 is forecast to be at 100,000 MT, as only
the bakery, food processing, fruit and juice canning, and yogurt
industries continue to use HFCS. The soft drink industry had been the
largest HFCS user in Mexico prior to the imposition of the 20-percent
HFCS beverage tax in January 2002. []{.mark}

[]{.mark}

## SUGAR TRADE

[]{.mark}

The forecast for MY 2003/04 sugar exports under the "other
disappearance" category was revised upward based on industry
information, which reflects increased exports under the Mexican
re-export program (PITEX). The PITEX program allows
domestically-produced sugar to be sold as raw material for further
processing to Mexican food manufacturers, who buy the sugar at about the
world price. The food manufacturers must process the sugar within three
months of the date of purchase and then must export the final processed
product. Given this process, the GOM classifies the sugar sold under the
PITEX program as exports. The underlying rationale behind the PITEX
program is to allow Mexican sugar mills to fulfill their export quota
while at the same time maintaining some flexibility with regard to
domestic sugar supplies. This enables the industry to avoid the
situation which would result from selling raw sugar on the world market
and then importing it back, should there be an unexpected domestic
shortage. Also, sugar mills and processors avoid transportation
expenses.

The estimate for MY 2002/03 sugar exports under "other disappearance"
category was revised downward from previous estimates to 135,000 MT.
Mexico's National Sugar Chamber claims that those Mexican companies
which consume sugar in the processing of their products for re-export
under the PITEX program had overestimated the amount of sugar needed for
their industries and that there is in fact no shortage of sugar.
However, sugar end user companies continue to claim that there is a
shortage of sugar and that more is needed for their industries.
According to the Government of Mexico (GOM), this discrepancy between
two segments of the Mexican sugar industry is one of the reasons
contributing to sugar price speculation, which itself was the underlying
cause behind the GOM's decision to authorize a tariff-rate-quota (TRQ)
for refined sugar (see information below). Data for sugar exports for MY
2001/02 remain unchanged.

Total sugar exports for MY 2003/04 were revised downward as more sugar
is expected to be consumed domestically. The Mexican industry had been
exporting excess sugar to the world market on a per mill-quota basis to
prevent downturns in domestic sugar prices until MY 2002/03; when it
started consuming more sugar domestically. Therefore, MY 2002/03 total
sugar exports were also revised downward. Data for MY 2001/02 remains
unchanged.

Total sugar imports for MY 2003/04 were revised upward, mainly in
refined sugar, due to the sugar TRQ that Mexico announced on September
27, 2003 (see report MX3128). At this point, it is expected that Mexico
will fill a significant portion (perhaps all) of the TRQ. The objective
of this measure is to ensure that there will be enough strategic
reserves to meet domestic demand, in case domestic sugar stocks are
insufficient during the balance of 2003 (September 27 -- December 31,
2003). GOM authorities also indicated that one of the motives for
implementing this measure was to deter price speculation and sugar price
increases. September 2003 refined sugar prices at the wholesale market
are about \$360.00/ 50Kg (US\$32.72/ 50Kg) F.O.B., while at the
beginning of MY 2002/03, prices were \$297.80/50kg (US\$29.51/50kg).
Data for MY 2001/02 and 2002/03 remain unchanged.

As the U.S. authorities did not assign a NAFTA sugar allocation for U.S.
fiscal year (FY) 2003 (October-September), Mexico did not export sugar
under the NAFTA agreement. The WTO sugar allocation for FY 2003 was set
at 7, 258 MT plus the 2,954 MT of refined sugar.

## HFCS TRADE

Due to the imposition of the 20-percent duty on HFCS-containing soft
drinks and beverages and given the assumption that it will remain in
place, HFCS imports for CY 2003 are forecast to be insignificant.
According to sources, only crystallized fructose for the health food
industry is being imported (HTS 1702.50.01). The Secretariat of Economy
did not determine the amount of the CY 2003 HFCS quota nor how the
import permit system for U.S. HFCS imports will function, since there
has been no resolution of the U.S.-Mexico sweetener dispute.

## STOCKS

Due to higher sugar production estimates for MY 2003/04 and an expected
increase in refined sugar imports, final inventories were revised
upward. As explained earlier, as a measure to ensure strategic reserves,
the government is expected to import refined sugar for the balance of CY
2003, which will be reflected in MY 2003/04 (October-September). Despite
the fact that some sugar consuming industries had predicted a severe
sugar shortage for MY 2002/03, due to an increase in sugar usage by the
soft drink bottling industry, final inventories were revised slightly
upward. Stocks for MY 2001/02 were revised downward based on an increase
in domestic consumption.

# SECTION II. STATISTICAL TABLES

## Centrifugal Sugar Table

+--------------+-------+---------+-------+---------+-------+---------+
| PSD Table    |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Country      | M     |         |       |         |       |         |
|              | éxico |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Commodity    | C     |         |       | (1000   |       |         |
|              | entri |         |       | MT)     |       |         |
|              | fugal |         |       |         |       |         |
|              | Sugar |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
|              | 2002  |         | 2003  |         | 2004  |         |
|              | Re    |         | Est   |         | For   |         |
|              | vised |         | imate |         | ecast |         |
+--------------+-------+---------+-------+---------+-------+---------+
|              | USDA  | Post    | USDA  | Post    | USDA  | Post    |
|              | Off   | E       | Off   | E       | Off   | E       |
|              | icial | stimate | icial | stimate | icial | stimate |
|              | \[    | \[New\] | \[    | \[New\] | \[    | \[New\] |
|              | Old\] |         | Old\] |         | Old\] |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Market Year  | 10    |         | 10    |         | 10    |         |
| Begin        | /2001 |         | /2002 |         | /2003 |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Beginning    | 1456  | 1456    | 1182  | 1172    | 1142  | 1167    |
| Stocks       |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Beet Sugar   | 0     | 0       | 0     | 0       | 0     | 0       |
| Production   |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Cane Sugar   | 5169  | 5169    | 5198  | 5229    | 5188  | 5464    |
| Production   |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| TOTAL Sugar  | 5169  | 5169    | 5198  | 5229    | 5188  | 5464    |
| Production   |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Raw Imports  | 4     | 4       | 4     | 4       | 4     | 4       |
+--------------+-------+---------+-------+---------+-------+---------+
| Refined Imp. | 48    | 48      | 35    | 35      | 30    | 119     |
|              |       |         |       |         |       |         |
| (Raw Val)    |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| TOTAL        | 52    | 52      | 39    | 39      | 34    | 123     |
| Imports      |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| TOTAL SUPPLY | 6677  | 6677    | 6419  | 6440    | 6364  | 6754    |
+--------------+-------+---------+-------+---------+-------+---------+
| Raw Exports  | 101   | 101     | 30    | 6       | 20    | 6       |
+--------------+-------+---------+-------+---------+-------+---------+
| Refined      | 312   | 312     | 70    | 40      | 60    | 60      |
| Exp.(Raw     |       |         |       |         |       |         |
| Val)         |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| TOTAL        | 413   | 413     | 100   | 46      | 80    | 66      |
| EXPORTS      |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Human Dom.   | 4902  | 4912    | 4987  | 5092    | 4997  | 5195    |
| Consumption  |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Other        | 180   | 180     | 190   | 135     | 138   | 150     |
| D            |       |         |       |         |       |         |
| isappearance |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Total        | 5082  | 5092    | 5177  | 5227    | 5135  | 5345    |
| D            |       |         |       |         |       |         |
| isappearance |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| Ending       | 1182  | 1172    | 1142  | 1167    | 1149  | 1343    |
| Stocks       |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+
| TOTAL        | 6677  | 6677    | 6419  | 6440    | 6364  | 6754    |
| DISTRIBUTION |       |         |       |         |       |         |
+--------------+-------+---------+-------+---------+-------+---------+

## 

## Sugarcane for Centrifugal Sugar

  ---------------- ------------- ---------- ---------- ---------- ---------- ----------
  PSD Table                                                                  

  Country          México                                                    

  Commodity        Sugar Cane                          (1000                 
                   for                                 HA)(1000              
                   Centrifugal                         MT)                   

                   2002 Revised             2003                  2004       
                                            Estimate              Forecast   

                   USDA Official Post       USDA       Post       USDA       Post
                   \[Old\]       Estimate   Official   Estimate   Official   Estimate
                                 \[New\]    \[Old\]    \[New\]    \[Old\]    \[New\]

  Market Year      11/2001                  11/2002               11/2003    
  Begin                                                                      

  Area Planted     700           700        700        700        700        700

  Area Harvested   607           607        605        606        609        609

  Production       42904         42904      41600      43948      43000      44500

  TOTAL SUPPLY     42904         42904      41600      43948      43000      44500

  Utilization for  42904         42904      41600      43948      43000      44500
  Sugar                                                                      

  Utilizatn for    0             0          0          0          0          0
  Alcohol                                                                    

  TOTAL            42904         42904      41600      43948      43000      44500
  UTILIZATION                                                                
  ---------------- ------------- ---------- ---------- ---------- ---------- ----------

## Sugar Prices

+---------+--------+---------+---------+--------+---------+----------+
| SUGAR   |        |         |         |        |         |          |
| PRICES  |        |         |         |        |         |          |
|         |        |         |         |        |         |          |
| UNITS:  |        |         |         |        |         |          |
| 50 KG.  |        |         |         |        |         |          |
| BUL     |        |         |         |        |         |          |
| K/PESOS |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| MONTH   | ST     |         | CHANGE  | R      |         | CHANGE % |
|         | ANDARD |         | %       | EFINED |         |          |
+---------+--------+---------+---------+--------+---------+----------+
|         | 2002   | 2003    |         | 2002   | 2003    |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Januar | 245.76 | 268.50  | 9.25    | 288.40 | 310.81  | 7.77     |
| y]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [       | 244.46 | 266.46  | 9.00    | 283.56 | 310.73  | 9.58     |
| Februar |        |         |         |        |         |          |
| y]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Marc   | 243.44 | 265.01  | 8.86    | 284.03 | 308.13  | 8.49     |
| h]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Apri   | 242.14 | 270.04  | 11.52   | 280.56 | 313.20  | 11.63    |
| l]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Ma     | 240.83 | 273.14  | 13.42   | 278.54 | 315.26  | 13.18    |
| y]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Jun    | 239.15 | 278.50  | 16.45   | 279.34 | 320.36  | 14.68    |
| e]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Jul    | 244.95 | 285.05  | 16.37   | 285.98 | 334.24  | 16.88    |
| y]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Augus  | 248.15 | 287.64  | 15.91   | 292.64 | 339.84  | 16.13    |
| t]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [S      | 253.40 | 2       | 13.36   | 298.51 | 3       | 13.90    |
| eptembe |        | 87.25\* |         |        | 60.00\* |          |
| r]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [Octobe | 262.31 | N/a     | N/a     | 303.09 | N/a     | N/a      |
| r]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [       | 266.23 | N/a     | N/a     | 306.90 | N/a     | N/a      |
| Novembe |        |         |         |        |         |          |
| r]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+
| [       | 268.39 | N/a     | N/a     | 309.50 | N/a     | N/a      |
| Decembe |        |         |         |        |         |          |
| r]{.sma |        |         |         |        |         |          |
| llcaps} |        |         |         |        |         |          |
+---------+--------+---------+---------+--------+---------+----------+

Source: Servicio Nacional de Informacion de Mercados SNIIM-ECONOMIA

2002 Avg. Exchange Rate US\$1.00=\$9.82 pesos

2003 Exchange Rate September 15, 2003 US\$1.00=\$10.97 pesos

\* As of 3^nd^ week of September, 2003

## Trade Matrixes

  ---------------------- ------------ ----- ------------------------ ------------- -----
  SUGAR H.S. 1701                           UNITS: METRIC TONS                     

  EXPORTS FOR CY 2003\*                     IMPORTS FOR CY 2003\*                  
  TO:                                       FROM:                                  

  U.S.                   4,488              U.S.                     24,609        

  [Other]{.smallcaps}                       [Other]{.smallcaps}                    

  [United                7,506              [Colombia]{.smallcaps}   1,867         
  Kingdom]{.smallcaps}                                                             

  [Total of              7,506              [Total of                1,867         
  other]{.smallcaps}                        other]{.smallcaps}                     

  [Others not            1                  [Others not              113           
  listed]{.smallcaps}                       listed]{.smallcaps}                    

  [Grand                 11,995             [Grand                   26,589        
  total]{.smallcaps}                        total]{.smallcaps}                     
  ---------------------- ------------ ----- ------------------------ ------------- -----

SOURCE: Global Trade Information Services, Inc. World Trade Atlas Mexico
Edition, June 2003.

\* As of June 2003

**[Note: Expressed values for H.S. 1701 consolidates the following
subheadings:]{.smallcaps}**

**1701.11.01 1701.11.02 1701.11.03 1701.11.99 1701.12.01 1701.12.99
1701.91.00 1701.91.01 1701.99.01 1701.99.02 1701.99.03 & 1701.99.99**

  ------------------------- ------------ ----- ---------------------- ------------ -----
  HFCS Subheading 1702.40                      UNITS: METRIC TONS                  

  EXPORTS FOR CY 2003\* TO:                    IMPORTS FOR CY 2003\*               
                                               FROM:                               

  U.S.                      9,538              U.S.                   1,404        

  [Other]{.smallcaps}                          [Other]{.smallcaps}                 

  [Guatemala]{.smallcaps}   20                 [France]{.smallcaps}   2            

  [Total of                 20                 [Total of              2            
  other]{.smallcaps}                           other]{.smallcaps}                  

  [Others not               21                 [Others not            0            
  listed]{.smallcaps}                          listed]{.smallcaps}                 

  [Grand total]{.smallcaps} 9,579              [Grand                 1,406        
                                               total]{.smallcaps}                  
  ------------------------- ------------ ----- ---------------------- ------------ -----

SOURCE: Global Trade Information Services, Inc. World Trade Atlas Mexico
Edition, June 2003.

\* As of June 2003

**[Note: Expressed values for H.S. 1702.40 consolidates the following
subheadings:]{.smallcaps}**

**1702.40.00, 1702.40.01 & 1702.40.99.**

  ----------------------- ------------ ----- ----------------------- ------------ -----
  HFCS Subheading 1702.60                    UNITS: METRIC TONS                   

  EXPORTS FOR CY 2003\*                      IMPORTS FOR CY 2003\*                
  TO:                                        FROM:                                

  U.S.                    4,907              U.S.                    2,866        

  [Other]{.smallcaps}                        [Other]{.smallcaps}                  

  [Germany]{.smallcaps}   337                [Germany]{.smallcaps}   0            

  [Total of               337                [Total of               0            
  other]{.smallcaps}                         other]{.smallcaps}                   

  [Others not             100                [Others not             0            
  listed]{.smallcaps}                        listed]{.smallcaps}                  

  [Grand                  5,344              [Grand                  2,866        
  total]{.smallcaps}                         total]{.smallcaps}                   
  ----------------------- ------------ ----- ----------------------- ------------ -----

SOURCE: Global Trade Information Services, Inc. World Trade Atlas Mexico
Edition, June 2003.

\* As of June 2003

**[Note: Expressed values for H.S. 1702.40 consolidates the following
subheadings:]{.smallcaps}**

**1702.60.00, 1702.60.01 & 1702.60.99.**

## Sugar Tariffs

+-----------------------+-----------------------+-----------------------+
| [Mexican Sugar Import |                       |                       |
| Tariffs for           |                       |                       |
| 2002]{.smallcaps}     |                       |                       |
+-----------------------+-----------------------+-----------------------+
| [H.T.S. Tariff \#     | NAFTA Tariffs for     | [Specific Tariff for  |
| Su                    | U.S. Commodities      | Third Country         |
| bheading]{.smallcaps} |                       | Com                   |
|                       | [Dollars/Kg           | modities]{.smallcaps} |
|                       | ]{.smallcaps}        |                       |
|                       |                       | [Do                   |
|                       |                       | llars/Kg]{.smallcaps} |
+-----------------------+-----------------------+-----------------------+
| 1701.11.01            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1701.11.99            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1701.12.01            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1701.12.99            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1701.91.01            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1701.99.01            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1701.99.99            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1702.90.01            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 1806.10.01            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
| 2106.90.05            | 0.31668               | 0.39586               |
+-----------------------+-----------------------+-----------------------+
|                       |                       |                       |
+-----------------------+-----------------------+-----------------------+

Source: Secretariat of Economy

 Note: The sugar importer must have a written statement from the
exporter that certifies that the product has not benefited from the U.S.
Sugar Re-export Program. If the importer has this statement, then the
sugar-containing products covered by these tariff lines will be subject
to a tariff that is derived by multiplying the regular \"most favored
nation\" (MFN) tariff in effect at the time of importation by a factor
of 0.8. If the importer does not have that written statement, then the
merchandise will be subject to the regular MFN tariff without any
reduction.