>The point is it makes sense, at scale, with the existing systems in place around subsidies and price protections.

I'm not refuting that, I'm only saying that in the context of public health, cheaper corn syrup being subsidized doesn't make a difference when it comes to consumer behavior. That doesn't mean that producers are going to be dumb and buy sugar when corn syrup is so much cheaper. Consumers aren't going to stop drinking coke because it costs 1% more, but the beancounters at coca cola are certainly going to care if they're spending 50% (made up number) more on sweeteners if they don't have to.

The delta does not matter to the consumer. They might pay <5% more, hardly a dent in demand would follow. The producer has a small profit margin so it does matter for them, since production and logistics cost a lot.