Government response to the review of the UK’s raw cane sugar ATQ and related considerations
Updated 11 October 2024
© Crown copyright 2024
This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence, visit nationalarchives.gov.uk/doc/open-government-licence/version/3 or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: psi@nationalarchives.gov.uk.
Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned.
This publication is available at https://www.gov.uk/government/consultations/review-of-the-uks-raw-cane-sugar-atq-and-related-considerations/outcome/3f4033fe-eff4-44a6-a28c-997f46334e7e
1. ATQ for raw cane sugar
The previous government implemented an Autonomous Tariff Quota (ATQ) on raw cane sugar on 1 January 2021 following the UK’s departure from the EU. Following subsequent reviews of this ATQ in 2021 and 2023, the previous government maintained the volume level of this ATQ at 260,000 tonnes and committed to reviewing this again in 2024.
2. Response to the consultation
The commitment to review the raw cane sugar ATQ before the end of 2024, was taken forward via an 8-week public consultation on the UK’s raw cane sugar ATQ and related considerations. This ran from 26 March to 21 May 2024. The consultation received domestic and international interest and, in total, the previous government received 12 responses, including from representatives of the sugar industry, foreign governments and other interest groups.
A summary of responses has been published separately. The content of the responses varied, covering the potential impacts of different options and considerations including:
- environmental standards
- the interests of developing countries
- the value of a level playing field for domestic competition
- food security and the diversity of supply of the UK sugar market
- other specific information related to the different respondents’ interests
There was no consensus on the best course of action for the government to take from 2025 onwards. Respondents were sharply divided on the question of whether the ATQ was desirable at all, or whether a larger or smaller volume would be appropriate.
Following the election, the incoming government committed to completing the consultation process and has carefully considered the responses to the consultation, taking into account the range of stakeholder views as well as the government’s internal analysis. The government is mindful of the evidence it received on the functioning of the sugar market and the importance of long-term contracts within this market. Other factors considered included the potential impacts on consumers, producers, exporters and imports; and the UK’s wider strategic trade and development objectives.
On the basis of the above, the government has decided to maintain the raw cane sugar ATQ for 2025 at the existing volume of 260,000 tonnes and maintain the UK Global Tariff (UKGT) rate at the same level (£280 per tonne for raw cane sugar for refining) to minimise disruption to the sugar market in the short term and balance other concerns.
The government will make an announcement in due course on the process for determining the ATQ and related considerations for 2026 and subsequent years.