BACOLOD City – The Sugar Council, representing three major sugar farmers federations mostly based in Negros Occidental, has expressed confusion over the government’s simultaneous plans to export and import sugar.
This concern arose after the Sugar Regulatory Administration (SRA) issued a communication on July 1, 2024, detailing a proposed sugar order for the export of raw sugar to the United States under the 2024 quota system to potentially facilitate future imports.
Prompted by a request from the SRA to comment on this order by July 8, the Sugar Council subsequently penned a letter seeking clarification from Agriculture Secretary Francisco Tiu Laurel, Jr.
However, before the Department of Agriculture (DA) and the SRA could respond, an article published on July 10 by Philstar Global revealed plans to export 27,400 metric tons of raw sugar to the US soon. The report highlighted that the Philippines had not met its US sugar export quota since the 2020-2021 crop year and had its 141,142 metric ton allocation reassigned due to unfulfilled quotas at the beginning of the current crop year.
In a turn of events, the SRA in November 2023 requested the reinstatement of this quota to alleviate the domestic surplus of raw sugar, securing an allocation of 24,700 metric tons.
Despite these developments, farmers are baffled by the necessity of importing sugar. The confusion deepened with a recent announcement, as reported by Philstar Global on June 27, that the government plans to import 200,000 metric tons of refined sugar by September to bolster stock levels and prevent price surges.
The Sugar Council criticized the logic behind exporting 24,700 metric tons of raw sugar — amidst a domestic shortage — and potentially replacing it with 61,750 metric tons of refined sugar, noting an excessive domestic supply of the latter.
They urge the DA and SRA to provide explanations, particularly concerning the impact on mill gate prices as the sugarcane harvest approaches later this year./PN
