Overall Allotment Quantity


Under the marketing allotment provisions of the sugar program authorized by the 2002 farm bill, the Overall Allotment Quantity is the amount of domestically-produced sugar that processors of sugar cane and refiners of sugar beets can sell into the U.S. market during a fiscal year. The 2002 farm bill requires USDA to set the OAQ using the following formula:
What USDA decides is a reasonable carryover stock level is closely watched by the sugar industry because of its influence on prices. Sugar production in excess of the OAQ cannot be marketed.