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Argentina allocates 44,165-Tonne US sugar quota as production recovery lifts export outlook

Argentina has allocated 44,165 tonnes of raw sugar export quotas to 21 companies for the US market in 2026/27, as rising domestic production strengthens the country’s export position
September 22, 2026 | 0 Comments

Argentina is preparing for a stronger sugar export season, with the government allocating a total of 44,165 tonnes of raw sugar quotas to 21 exporting companies for the United States market for the 2026/27 marketing year. The allocation, announced by Argentina’s Secretariat of Agriculture, Animal Husbandry and Fisheries under Resolution No. 173/2026 published on 15 September, will take effect from 1 October 2026, with the quota sugar required to enter the US market by 30 September 2027.

The raw sugar covered by the allocation must have a polarisation of at least 96 degrees. The companies receiving quotas are concentrated in Argentina’s major sugar-producing provinces, including Tucumán, Salta, Jujuy and Córdoba, linking the export allocation directly to the country’s established production base. The US quota comes as Argentina’s sugar industry enters a period of production recovery. According to estimates from the US Department of Agriculture’s office in Argentina, sugar production is projected to rise from 1.835 million tonnes in 2025/26 to 2 million tonnes in 2026/27, an increase of about 9 per cent.

Sugarcane production is also expected to increase, from 25.1 million tonnes to 26.5 million tonnes over the same period. The higher production outlook is translating into a stronger export pipeline. Argentine sugar exports are projected to reach 600,000 tonnes in the 2026/27 marketing year, with the US quota market remaining an important higher-value outlet for producers and exporters.

Argentina exported 576,400 tonnes of sugar in 2025, generating USD292 million in export revenue. Export volumes increased 12 per cent year on year, while export value rose 2 per cent. Chile, the United States and Uruguay were among the country’s principal destinations. Momentum has continued into 2026. During the first seven months of the year, Argentina exported 184,700 tonnes of sugar, generating more than $ 86 million in export revenue.

The US market is particularly significant because of its tariff-rate quota structure. Sugar imported within the designated quota is subject to comparatively lower tariffs, while imports above the quota face substantially higher tariff rates. For fiscal year 2027, the US has established a WTO raw sugar tariff-rate quota of 1,117,200 tonnes, measured on a raw-value basis, with the bulk of the allocation distributed among supplying countries according to historical trade shares, according to the Office of the US Trade Representative.

Regarding  Argentina, the 44,165-tonne allocation provides a defined channel into that protected market at a time when production is expected to expand. The broader export outlook, however, will depend on how much of the additional sugar output can be channelled into overseas markets while maintaining domestic market balance and export economics. The latest quota allocation therefore represents more than a routine trade measure. It comes at a point when Argentina’s sugar sector is rebuilding production capacity and seeking to convert that recovery into higher export volumes. With output expected to reach 2 million tonnes in 2026/27, the ability to secure predictable access to markets such as the United States will become increasingly important to the country’s sugar trade.

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