The National Federation of Sugarcane Planters (NFSP) registered its objection and requested the Sugar Regulatory Administration to reconsider its decision in what the federation deems as “excessive importation” of sugar.
The SRA released Sugar Order No. 3, which allows the importation of 200,000 metric tons of sugar.
In his letter to SRA Administrator Hermenegildo Serafica, NFSP President Enrique D. Rojas stated that the importation far exceeds the projected production shortfall for Crop Year 2021-2022.
Rojas asked SRA to amend the sugar order and reduce the allowable volume of importation.
“We hope that your good office will seriously consider our recommendation to prevent the drop in millgate sugar prices, which will be disastrous to our thousands of small farmers, who are already devastated by the unabated increases in the prices of fertilizers, fuel and other farm inputs,” Rojas stressed.
Under Sugar Order No. 3, the total projected production for the current crop year, as of January 2022, was reduced to only2.072 million tons from the previous production estimate of 2.099 million tons.
The 27,000 metric tons estimated decrease in production was attributed to damage caused by Typhoon Odette to sugar-producing provinces in the Visayas and Mindanao.
Moreover, sugar refiners reduced their production forecast to only 16.748 million LKG, from the previous estimate of 17.572 million lkg, or an estimated decrease of 0.824 million lkg or 41,200 metric tons.
NFSP pointed out that the 200,000 MT importation allowed by SRA under Sugar Order No. 3 is far beyond the total projected shortage of only 68,200 metric tons., with a glaring difference of 131,820 MT.
“In view of these, we are recommending that the importation be amended to not more than 70,000 metric tons,” Rojas stated.
NFSP reiterated its previous letter dated January 24, 2022, where the federation mentioned that, if the production figures truly justify importation, then the importation should be only on limited volume, based on projected shortage; it should arrive at the end of milling, so as not to affect present millgate prices; and with transparent accounting of the disposal of the imported sugar.*