Challenges related to supply chains are complicating former President Donald Trump’s call for Coca-Cola to return to cane sugar production. According to Chief Financial Officer John Murphy, the company has encountered significant barriers in increasing production due to limited domestic supplies of the key ingredient.
Supply Chain Issues Affect Coca-Cola’s Production
Murphy stated that the rollout of a cane sugar version of Coca-Cola will be “measured.” He emphasized that the availability of cane sugar in the U.S. is restricted. This situation marks a notable setback for Trump’s proposal.
Coca-Cola discontinued using cane sugar in the early 1980s. At that time, global price spikes and import quotas drove the company to switch to corn syrup, which was more readily available and economical.
The Rise of “Mexican Coke”
Despite the shift away from cane sugar in the United States, it continues to be popular in Mexico. This has led to a rise in demand for “Mexican Coke” among U.S. consumers. The traditional version uses cane sugar, appealing to those seeking a more authentic flavor.
- Cane sugar is still utilized in kosher versions of Coca-Cola during Passover.
- Health Secretary Robert F. Kennedy Jr. criticized corn syrup, describing it as “poison.”
Trump’s Engagement with Coca-Cola
In July, Trump announced he was in talks with Coca-Cola regarding a return to cane sugar. He claimed that the beverage company agreed to this request. However, Coca-Cola later offered a vague response, stating more details would be revealed soon.
Relations dampened when Coca-Cola disputed Trump’s assertion that the cane sugar formula is healthier than their corn syrup version. The company defended corn syrup, claiming it is safe and comparable in caloric content to cane sugar.
Future Developments
Coca-Cola ultimately confirmed plans to introduce a cane sugar version of their beverage line this fall as part of their innovation strategy. However, with Murphy’s recent comments, it is clear that achieving this goal is proving to be a complex challenge.
