Latest news with #canesugar
Daily Mail
4 days ago
- Business
- Daily Mail
Trump's Coca-Cola push could revive iconic southern industry
President Trump's push to re-introduce cane sugar to Coca-Cola has raised hopes of an economic boom in Louisiana's sugarcane industry. Farmers in the southern state say they are overjoyed after the White House announced it had struck a deal with the soda giant to return cane sugar to some of its products. The move will shift Cokes away from high-fructose corn syrup and back to natural sugar, elating Louisiana growers whose produce is set to become a hot commodity. Ross Noel, a fourth-generation sugarcane farmer in Donaldsonville, LA, told KLFY that the new soda recipe will benefit far more than just the farmers growing the sugar cane. The deal from Trump to introduce cane sugar back into Coke is part of a wider push from HHS Secretary Robert F. Kennedy Jr. to bring back natural ingredients to everyday foods. In Louisiana, farmers say that the natural ingredients trend could be a game changer for its crop-growing industry. 'There's something special about growing a crop that's real, simple, and trusted—and that is something to be proud of,' Noel told KLFY . This trend also previously saw Steak 'n Shake announce in February that it would switch from vegetable oil to beef tallow in its French fries recipe. The move to beef tallow isn't just a coincidence, as the chain actually mentioned RFK Jr. and his 'Make America Health Again' (MAHA) movement in an announcement about the change. Steak 'n Shake wrote on X, 'By March 1 ALL locations. Fries will be RFK'd!' Although Trump lauded his deal with Coca-Cola as a huge win for the MAHA movement, industry chiefs warned that consumers may end up paying more as a result . Experts warned that removing sweeteners from the drink in favor of real sugar could cost thousands of American jobs in manufacturing, and the idea has already caused chaos on the stock market. Corn Refiners Association CEO John Bode released a statement on Thursday warning that the recipe change could trigger economic mayhem and political turmoil. 'Replacing high fructose corn syrup with cane sugar would cost thousands of American food manufacturing jobs, depress farm income, and boost imports of foreign sugar, all with no nutritional benefit,' Bode said. Coca-Cola bosses said last week that they are adding a cane sugar option to their drink lineup , but did not say that they were removing their high-fructose corn syrup options. 'As part of its ongoing innovation agenda, this fall in the United States, the company plans to launch an offering made with U.S. cane sugar to expand its Trademark Coca-Cola product range,' the soda giant said. 'This addition is designed to complement the company's strong core portfolio and offer more choices across occasions and preferences.' Trump's announcement has already prompted shockwaves in the stock market, costing investors billions of dollars. Shares in Archer Daniels Midland, a leading corn processor, plunged almost six percent in pre-market trading following Trump's announcement. This reflects a potential hit to investors of around $1.5 billion.
Yahoo
5 days ago
- Business
- Yahoo
Coke With Cane Sugar Is Coming. But Corn Syrup Isn't Going Away.
Coca-Cola is giving President Trump what he wants—Coke sweetened with cane sugar. The soda company plans to add a line of cane sugar-sweetened Coke, its chief executive said, after Trump last week said Coca-Cola had agreed to use 'REAL Cane Sugar' in the soda. Morgan Stanley's Screening of Wealth-Management Clients Draws More Scrutiny Why Are Stocks Up? Nobody Knows Kohl's and Opendoor Headline a New Class of Meme Stocks Hershey Lifts Candy Prices, Citing High Cocoa Costs Musk Allies to Raise Up to $12 Billion for xAI Chips as Startup Burns Through Cash Cane sugar-sweetened Coke will be a new product and isn't replacing standard Coca-Cola, which is sweetened with high-fructose corn syrup, like many other sodas and drinks in the U.S. 'This is really an 'and' strategy and not an 'or' strategy,' CEO James Quincey said in an interview. 'We are going to continue to use a lot of the corn syrup that we do now.' The U.S. beverage industry for decades has relied heavily on high-fructose corn syrup to sweeten sodas and other drinks. It is relatively cheap and plentiful, with more than 7 million tons produced each year by mills that grind up corn to make sweeteners, starches and other products. In a Truth Social post last week, Trump said he had been in contact with Coke about using cane sugar. 'This will be a very good move by them—You'll see. It's just better!,' he posted. Quincey said Coca-Cola has been adding cane sugar to a number of its products in recent years, including lemonades, teas and other beverages. 'Obviously the president has been an enthusiastic and dedicated supporter and lover of the brand. So I think when he heard that, he was excited and we love that,' Quincey said. Coca-Cola already sells Mexican-made Coca-Cola sweetened with cane sugar in the U.S., and its Kosher for Passover Coke is made with sugar. PepsiCo also sells a 'real sugar' option. U.S. sugar consumption far outstrips domestically produced cane sugar. About 12.5 million tons of sugar are consumed in the U.S. each year, while about 4 million tons of cane sugar are produced, according to the U.S. Agriculture Department. The rest comes from imports and sugar derived from sugar beets. Coca-Cola has enough cane sugar to launch the new line, Quincey said. 'Over time if there's more demand, they'll plant more acres,' he said. 'We're confident that supply won't be an issue.' Quincey outlined the sugar plans after the company on Tuesday gave its full-year earnings a slight boost but reported lower-than-expected revenue for the second quarter. The Atlanta-based beverage maker said it now expects adjusted earnings per share to rise 3% for the full year, instead of 2% to 3% as previously projected. Shares of Coca-Cola declined 0.6% Tuesday. For the second quarter, the company posted a profit of $3.81 billion, or 88 cents a share, compared with $2.41 billion, or 56 cents a share, in the same quarter a year earlier. Stripping out one-time items, adjusted earnings were 87 cents a share. Analysts polled by FactSet had been expecting 83 cents a share. Revenue ticked up 1% to $12.5 billion, below analyst forecasts for $12.57 billion, according to FactSet. Coca-Cola has said it lost business from Hispanic consumers in the first half of the year, after false social-media videos purported to show the company turned over employees over to immigration authorities. Hispanic consumers are a core buyer of Coca-Cola and the pullback dented its sales in the first quarter. Quincey said on the call with analysts that by the end of June, Coke had seen its market share and household penetration return to January levels, before the social-media controversy. 'The issue is now largely resolved. We're back to where we were,' he said. Coca-Cola executives said that while U.S. consumers have generally been resilient, lower-income shoppers remain under pressure. The company aims to reach those consumers with marketing and occasion-driven beverages, Quincey said. Write to Laura Cooper at and Dean Seal at Trump Expects $20 Million More in Ad Dollars From '60 Minutes' Settlement Silicon Valley's Favorite Podcast Is Now Hot in Washington Too Capital One Swings to Loss After Discover Financial Acquisition GM Profit Shrinks After $1.1 Billion Tariff Hit At the Fed's Banking Conference, Sam Altman, Capital Rules and Avoiding the Powell Drama Se produjo un error al recuperar la información Inicia sesión para acceder a tu portafolio Se produjo un error al recuperar la información Se produjo un error al recuperar la información Se produjo un error al recuperar la información Se produjo un error al recuperar la información
BBC News
6 days ago
- Business
- BBC News
There's one big winner from Coke's sugar switch
Jordan Hayes typically steers clear of politics. He did not vote in the 2024 election and has mixed feelings about Donald the 37-year-old from California was surprised to learn last week that he stands with the president on at least one issue - Coke made with cane sugar is better."There's a different kind of sweetness involved," said Hayes, a longtime fan of cane sugar Coke, which is marketed in the US as Mexican Coke and differs from the corn syrup version typically sold available to Americans at a premium but Hayes contends the higher price is worth it. The president made a similar case last week, when he announced that Coca-Cola, at his urging, had agreed to use cane sugar in the sugar endorsement by Trump might seem unusual on its face from a man famous for his preference for Diet Coke, which is sugar free. But it was just the latest example of his support for the industry, which has been known in Washington for decades for its outsize political donations, ability to get the White House on the phone and legendary lobbying operations. "Don't [expletive] with sugar", former Republican House Speaker John Boehner noted in his memoir. The sector has long benefited from government policies, including high tariffs that have propped up the sugar prices in the US, which often run double the world price, yielding billions of extra dollars a year for the Trump administration, the US has expanded those supports, tightening restrictions on imports and increasing its price guarantees for sugar farmers as part of the Trump-backed "Big Beautiful Bill".Meanwhile, Trump's Health Secretary Robert F Kennedy Jr has taken aim at the industry's biggest competitor, threatening a ban on corn syrup, which he has called "poison".The Sugar Alliance, which represents the sector, did not respond to requests for comment on Coca-Cola's decision, for which Trump took credit. But analysts said the move put sugar farmers in a sweet spot, increasing demand and ultimately how much they get for their crop."They have the president both championing restrictions that keep out foreign competition and also encouraging more use of sugar," said Colin Grabow, a trade specialist at the Cato Institute. "This is fantastic for them." Industry experts said Coca-Cola's plan was unlikely to lead to a sudden, wholesale shift to sugar, noting the high price of the ingredient and limits on domestic supply. But just the possibility sent waves through the food industry. Corn syrup manufacturer Archer Daniels Midland briefly plunged more than 6% before recovering, while the Corn Refiners Association, which represents makers of corn syrup, warned of rural job losses and other economic corn farmer John Maxwell, whose family has farmed since the 1850s, said he was surprised by the president's position, given the way he has cast himself as a champion of American jobs."He's tooted that horn real hard... so to take a stance was surprising to me," he Hemesath, a hog and corn farmer in Iowa, was likewise puzzled."Going away from high fructose corn syrup will hurt jobs here and hurt farmers here and it kind of goes against everything the president and his administration are trying to do," he said. Vincent Smith, director of agricultural policy studies at the American Enterprise Institute, said he was surprised to see Trump risk support from corn growers - a key part of his base and also traditionally powerful in is also a far bigger group than sugar farmers, who number only about 4,000 in the US, less than a quarter of which produce sugar cane."Do you want to alienate 200,000 people or do you want to alienate 4,000 families?" he asked, while noting that his review of political contributions between 2018 and 2022 found members of the Sugar Alliance gave more than any other agricultural interest group, despite being small in groups are among the ones in recent years to have received significant donations from the Fanjul family, Florida-based sugar titans, according to OpenSecrets. "If you can write large cheques for the election or the president, you do get access," Smith January, when Coca-Cola presented Trump with personalised cans of diet cola, Trump raised sugar use with the company, getting Jose Fanjul on the phone to discuss the issue, according to Josh Dawsey's new book 2024: How Trump Retook the White House. Whether Americans will go for it remains an open Coke, which Coca-Cola has offered in the US for two decades, has gained a devoted following from customers like Hayes. But the company's decision to start selling it had more to do with tapping into an immigrant market and nostalgia for glass bottles than health or flavour recent years its primary focus has been expanding low and no sugar options, as concerns about sugar and the rise of anti-obesity drugs threaten its grip on the beverage market. Health experts say there is no conclusive evidence to justify favouring one sweetener over the other. Both sugars increase all risk factors and there is no significant difference between them, said Kimber Stanhope, a researcher and nutritional biologist at the University of California, Davis, who has run tests comparing the impact of two weeks of consumption of sugar and corn said there were questions about precisely what goes into corn syrup used in soda, which could lead to health differences outside of a lab. But she dismissed arguments that regular sugar is less processed as "completely quibbling", noting that both products require stripping out fibre and other nutritional over whether Coke with cane sugar really tastes superior are also likely to continue to bubble. Richard Trappasse, a 48-year-old who lives in Tennessee, consumes a Coke or two a day and collects Coca-Cola memorabilia such as ornaments and vintage glass bottles. He prides himself on being able to distinguish Coke from Pepsi by the number of hearing the hype about Mexican Coke a few years ago, he enlisted his wife's help to conduct a blind, side-by-side taste test of the two different formulations."The first thing I said was, 'Did you put the same soda in the glass to trick me?'", he recalled. "Then I was like, 'They taste exactly the same'."Despite his own indifference, Mr Trappasse said he thought Trump's championship of sugar would appeal to people suspicious of corn syrup and sentimental for the Coca-Cola of the past."We're going to bring sugar back to our classic Coca-Cola product - that hits with his fans," he said.
Yahoo
6 days ago
- Business
- Yahoo
Coca-Cola Company to use cane sugar in new Coke product
The Coca-Cola Company is planning to launch a new Coke soft drink using cane sugar, the company's CEO James Quincey confirmed yesterday (22 July). Speaking on a company results call for its second-quarter 2025, Quincey said: "Yes, we're going to be bringing a coke sweetened with US cane sugar into the market this fall, and I think that will be an enduring option for consumers." Last week, US President Donald Trump said the company had agreed to use cane sugar in its namesake drinks in the US. In a post on social media outlet Truth Social, Trump said: 'I have been speaking to Coca-Cola about using REAL cane sugar in Coke in the United States, and they have agreed to do so.' The company's classic Coca-Cola Original drink is made with high-fructose corn syrup in the US. The product is made with sugar in countries including the UK and Australia, while it contains cane sugar in Mexico. Quincey told analysts yesterday the company already uses cane sugar in several of its products in the US, such as lemonade, teas and some of its coffee and Vitamin Water brands. "We are definitely looking to use the whole toolbox, the whole toolkit of available sweetening options to some extent, where there are consumer preferences," he said. "We know our success rate [is], substantially above the industry. But it's still a question of it takes time and commitment to build something new." There has been growing scrutiny of the recipes of food and beverages sold in the US since President Trump took office in January. US Secretary of Health and Human Services, Robert F. Kennedy Jr. has accused the country's food and drink industries of 'poisoning' Americans. He has also described high-fructose corn syrup as 'just a formula for making you obese and diabetic'. In the three months ended 27 June, the Fuze teas maker saw net revenues grow 1% and 5% organically to $12.5bn. Gross profit was up 3.5% at $7.8bn, while operating income jumped 62.6% on the same period in 2024 to $4.2bn. The group booked small declines in unit case volumes in Latin America, Asia Pacific and North America, where they dropped 2%, 1% and 3% respectively. The company's Bottling Investments segment, which holds its consolidated bottling operations, saw unit case volumes dip 5% in the second quarter. Coca-Cola attributed the drop to "a decline in India and the impact of refranchising bottling operations." Operating income also dropped 39% in this business. Total consolidated unit case volumes dipped 1%. "Coca-Cola Company to use cane sugar in new Coke product" was originally created and published by Just Drinks, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
New York Times
6 days ago
- Health
- New York Times
Is High-Fructose Corn Syrup Worse for You Than Sugar?
With one Truth Social message from President Trump, high-fructose corn syrup became the most talked-about ingredient of the summer. The president surprised nearly everyone last week — including executives at the Coca-Cola Company — when he announced that Coke would start using cane sugar. 'You'll see,' he wrote. 'It's just better!' In the United States, almost all Coke is made with high-fructose corn syrup. The media exploded with erroneous reports that Coca-Cola was switching sweeteners. The company, which initially demurred in a vague statement, said on an earnings call Tuesday that it will begin offering a cane sugar version of Coke in the United States this fall 'to complement the company's strong core portfolio.' But it is not replacing high-fructose corn syrup in existing products. Eliminating high-fructose corn syrup from the American food supply is a priority of the Make America Healthy Again Commission, which was formed after Robert F. Kennedy Jr. became the health and human services secretary. The commission's first public report, published in May, singled out the sweetener as a potential major contributor to childhood obesity and other chronic diseases. Want all of The Times? Subscribe.
