Ontario, and all of Canada, enjoys access to world price sugar, giving us a distinct price advantage over the United States with its protected domestic sugar market and historically higher domestic sugar prices. Companies manufacturing products with high levels of sugar, such as confectionery, find locating in Ontario makes extra good business sense. The sugar price advantage is always positive, although it fluctuates with commodity prices.

Redpath operates a sugar refining operation in Toronto, and is perfectly positioned for just-in-time delivery and custom refining. Lantic Sugar also operates a sales office, liquid and dry sugar storage and distribution centre in Toronto supplied by products from its Montreal refinery. Refined sugar is also available from Rogers Sugar with operations in Taber, Alberta and Vancouver, British Columbia, and some refined sugar is imported as well.

Source: Statistics Canada, USDA (6/2008)

Note: CDN price estimate based on bulk imports from US

Bulk refined sugar prices: US refined beet, World refined No. 5, Canada   US Wholesale refined beet US cents/lb US Wholesale refined beet US$/tonne World refined US cents/lb World refined US$/tonne Cdn Imports US bulk granulated Cdn$/tonne Cdn Imports US bulk granulated US$/tonne 1995 25.83 569.44 17.99 396.62 528.27 384.93 1996 29.20 643.72 16.64 366.81 412.97 302.87 1997 27.09 597.19 14.33 315.81 408.96 295.36 1998 26.12 575.76 11.59 255.42 566.19 381.66 1999 26.71 588.86 9.10 200.56 518.27 348.84 2000 20.80 458.61 9.97 219.89 495.90 333.85 2001 23.31 513.93 11.29 248.93 557.63 360.04 2002 25.79 568.62 10.35 228.27 571.04 363.65 2003 26.21 577.71 9.74 214.62 461.12 329.14 2004 23.48 517.67 10.87 239.62 419.64 322.48 2005 29.54 651.14 13.19 290.73 448.50 370.17 2006 33.10 729.75 19.01 419.00 650.12 573.25 2007 25.06 552.47 14.00 308.64 536.94 499.57 Q1 2008 26.18 577.16 15.86 349.65 434.20 415.50

Source:

US wholesale refined beet (USDA) World refined No. 5 price (USDA) Cdn Imports US bulk granulated, HS code 1701.99.00.29 and 1701.99.00.90 CDN - US exchange rates - Bank of Canada (6/2008)

Ontario also is home to Casco (owned by Corn Products International) which has three manufacturing facilities in Ontario which produce High Fructose Corn Syrup (HFCS), glucose, dextrose, and other corn sweeteners. Corn-based sweetener prices in Ontario are favourably priced compared to the U.S.