Manila, Phillipines: In a move aimed at safeguarding the interests of local sugarcane millers and farmers, the Sugar Regulatory Administration (SRA) has taken the decisive step of halting the release of 150,000 metric tons (MT) of imported sugar into the market.
According to Resolution 2023-159, dated September 26, 2023, but publicly disclosed on Thursday, the SRA has suspended the deadline specified in Sugar Order No. 07, series of 2022-2023. This order had originally authorized the importation of 150,000 MT of refined sugar, which arrived in the Philippines on September 15. The imported sugar was designated as “C” (Reserve Sugar), pending future reclassification or disposition as deemed necessary by the SRA.
The SRA clarified that the decision to suspend the deadline was made to ensure a reasonable volume of sugar remains available for domestic consumption, thereby safeguarding the interests of local farmers and millers. It also serves to maintain a reasonable farmgate price for raw sugar, which the SRA aims to keep at around PHP3,000 per bag. Consequently, all conversion applications have been temporarily put on hold, and the classification of all imported sugar remains as ‘Reserved’.
Furthermore, the resolution stipulates that the 30-day deadline for the conversion and disposition of imported refined sugar, as mandated by Sugar Order 07, has been lifted. This order required eligible importers to distribute their allocations and submit written proof of compliance to the SRA within 30 calendar days following the actual arrival of shipments and reclassification.
The SRA also noted that even though the average retail price of sugar has remained stable, the average farmgate price of raw sugar, which previously ranged from PHP2,500 to PHP2,750 per bag in the early weeks of CY 2023-2024, has been steadily declining. This decline has been attributed to oversupply, which is adversely affecting sugar farmers.
