In the 1980s, import quotas led to a surge in sugar prices, prompting Coca-Cola to switch to high fructose corn syrup, introducing New Coke. Recently,, officials announced a shift back to sugar in some products, illustrating the enduring interplay of politics and business.
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The Hidden Impact of the 1982 Sugar Quota on the
American Beverage Industry"
During the 1980s, President Reagan's import quotas
reshaped the American food and beverage industry,
favoring high fructose corn syrup (HFCS) and
benefiting Big Agriculture.
When ADM introduced HFCS,
initially more expensive than
sugar, Reagan's sugar quotas in
the 1981 Farm Bill spiked sugar
prices, making HFCS more cost-
effective
The controversial New Coke launch in 1985, amid rising sugar costs, aimed to rejuvenate
Coca-Cola by reformulating with HFCS, which backfired due to consumer backlash
By launching and rapidly withdrawing a
significantly different tasting product, Coca-Cola
may have smoothed the transition to HFCS without
consumers noticing.
Beyond soda ingredients, debates about HFCS versus
sugar reflect broader concerns about health,
economics, and corporate power
"The Farm Program" explores the intricate linkages of agriculture, policy, and outcomes like ADM's
leverage over the sugar program, influencing prices and consumer spending
https://www.insightsoninnovation.net/
Find Out More At https://www.insightsoninnovation.net/
American Beverage Industry"
During the 1980s, President Reagan's import quotas
reshaped the American food and beverage industry,
favoring high fructose corn syrup (HFCS) and
benefiting Big Agriculture.
When ADM introduced HFCS,
initially more expensive than
sugar, Reagan's sugar quotas in
the 1981 Farm Bill spiked sugar
prices, making HFCS more cost-
effective
The controversial New Coke launch in 1985, amid rising sugar costs, aimed to rejuvenate
Coca-Cola by reformulating with HFCS, which backfired due to consumer backlash
By launching and rapidly withdrawing a
significantly different tasting product, Coca-Cola
may have smoothed the transition to HFCS without
consumers noticing.
Beyond soda ingredients, debates about HFCS versus
sugar reflect broader concerns about health,
economics, and corporate power
"The Farm Program" explores the intricate linkages of agriculture, policy, and outcomes like ADM's
leverage over the sugar program, influencing prices and consumer spending
https://www.insightsoninnovation.net/
Find Out More At https://www.insightsoninnovation.net/