MOORHEAD, Minn. (AP) — Low sugar prices are cutting into payments to farmers at American Crystal Sugar Co.
The Moorhead-based cooperative is telling its growers to expect a “massive reduction” in payments for this year’s beet crop.
In a company blog, American Crystal CEO David Berg says growers will be paid just $38 per ton. Last year, Crystal’s farmers were paid more than $68 per ton.
KFGO-AM (http://bit.ly/1b7G9kT ) reports Berg says most of Crystal’s growers will lose money, and in many cases, “they will lose a lot of money.”
The company says the reduced payments are mainly due to lower sugar prices, but also reflect much lower sugar content in this year’s crop.