• GILBERT P. BAYORAN
The Department of Agriculture (DA) and the Sugar Regulatory Administration (SRA) extended the moratorium on molasses importation until the end of March next year, to prevent farm gate prices from falling further.
In a statement, the SRA said that a 21 percent increase in molasses production last milling season, coupled with additional imported supply, pushed prices down by almost half, to below P10,000 per metric ton in early November.
In his recommendation to Agriculture Secretary Francisco Tiu-Laurel, SRA chief Pablo Luis Azcona said the board found the extension necessary, noting that local stock levels remain at around 250,000 metric tons – considered ample for domestic use.
Azcona reported that milling operations began on October 1 in Negros Island, with molasses production reaching nearly 84,000 metric tons as of November 9.
Agriculture Secretary Francisco Tiu-Laurel said that he and Azcona have agreed to extend the moratorium on molasses imports until March 30 next year, or even further, depending on local stock levels.
“Based on the recommendation of the SRA, and in the interest of our farmers and millers, Administrator Azcona and I have agreed to extend the moratorium on molasses imports until March 30, 2026—or further, depending on local stock levels,” Secretary Francisco Tiu-Laurel said.
Despite the moratorium, Azcona noted that stock levels remain high.
“The extension will help relieve our millers’ tanks of local stock and, hopefully, support better molasses prices,” he said.
The SRA and the DA may also amend the moratorium order as needed, depending on total molasses inventory, Azcona also said.
It should be noted that only locally produced molasses is allowed to be used for bio-ethanol production, while, both local and imported molasses may be used for baking, confectionery, cooking, and beverages, as well as in the production of animal feeds, vinegar, citric acid, and potable and sanitary alcohol, among others.*
