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Talking Points

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Submitted By smadhyani
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The purpose of this memorandum is to advise our company of key current agriculture events that could affect the company’s future.
Big Sugar is set for Sweet Bailout
• The USDA is considering buying 400,000 tons of sugar to prop up tumbling sugar prices, which have fallen over 18% since the USDA has made loans.
• Candy makers will suffer greatly if the U.S government bus sugar because companies have already borrowed almost 900 million, and some borrowers are underwater on their loan and this will boost prices.
• This is not food for consumers because if the USDA has to intervene then it will be unfairly leave consumers and businesses on the hook to foot the bill which is not acceptable
• The government has a duty to make sure that this does not affect consumers because congress specifically designed the sugar policy to run at the lowest possible cost to American taxpayers.
Snap! Crackle! Pop! Rice Krispies May be Banished From Schools
• Fruit Rollups, Rice Krispies, Doritos and other popular products are among items that may no longer sold at schools under newly proposed federal regulations.
• Some snack foods are spared, including baked chips, low-fat granola bars, and reduced fat cheese but the proposed rules would banish a large number of snacks from school cafeteria stores and vending machines across the country.
• This regulation is aimed to help fight child obesity. Since the USDA is responsible for administering foods in school programs, they have to abide by the new rules
• This is a great regulation to help kids start eating healthier at a young age, and for them to engage in healthy physical exercise combined with a healthy eating.
India’s Taste for Coffee to Affect Bean Prices
• Booming coffee demand is prompting international companies such as Lavassa and Starbucks to set up shops in the tea-drinking country, offering growing returns in a newer market.
• Rising Coffee consumption in India also is likely to support world coffee prices with analysts forecasting a decrease in bean exports from the country as domestic demand raises.
• This provided a huge opportunity for Starbucks and other coffee companies because the size of the Indian economy combined with the rising spending power of consumers is powerful.
• Consumer Taste and Preferences are changing, and young people are turning to places like Starbucks to socialize, connect to WIF. This shows how consumer power in less developed countries has such a powerful influence.
References
Wexler, Alexandra. "Big Sugar Is Set for a Sweet Bailout." WSJ, 12 Mar. 2013. Web. 18 Mar. 2013.
Gershman, Jacob. "Snap! Crackle! Pop!: Rice Krispies May Be Banished From Schools." Law Blog RSS. WSJ, 13 Mar. 2013. Web. 18 Mar. 2013.
Rai, Neena. "India's Taste for Coffee to Affect Bean Prices." WSJ, 17 Mar. 2013. Web. 18 Mar. 2013.

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