• GILBERT P. BAYORAN
The Sugar Council, an alliance of three sugar federations, sought an explanation from the Department of Agriculture and Sugar Regulatory Administration on the plans of the government to import sugar, while an export order is being prepared.
Such plans of the government created confusion among sugar farmers, according to a statement issued by the Sugar Council, which is composed of the National Federation of Sugarcane Workers (NFSP), Confederation of Sugar Producers Association (CONFED), and Panay Federation of Sugarcane Farmers (PANAYFED).
On July 4, the Sugar Council was asked to comment on the proposed sugar order titled “Subject: Export of Raw Sugar in Fulfillment of the U.S. Sugar Quota for the Year 2024 to Avail of Allocation for Future Import Program.”
As the council awaited a response from DA and SRA, it said that they came across an online news article, which stated “Philippines to export 27,400MT raw sugar to US soon” and that US sugar export quota has been left unserved since crop year 2020-21.
At the start of the current crop year (2023-24), the Sugar Council said that SRA did not set an export volume for the U.S., causing the reassignment of the Philippines’ allocation of 141,142MT.
The news article went on to disclose, however, that in November 2023 the SRA requested the quota to be reinstated “to relieve the raw market of supply,” thus an allocation of 24,700MT was granted, it added.
In June 27 this year, the Sugar Council recalled that Agriculture Secretary Francisco Tiu Laurel Jr. announced that the government is set to approve the importation of 200,000 metric tons of refined sugar that would arrive by September to ensure that the country has ample stocks, and prevent any price spikes in the market, which created more confusion.
Why export and then import? Why export 24,700 MT raw – which we are short of – and replace it with 61,750 MT refined (at a 1:2.5 ratio) – of which we have too much? they asked.
It would do well for the DA and the SRA to explain the situation to the common farmer who is understandably worried about mill gate prices when sugarcane harvest begins later this year, the council said.*