More sugar imports loom

MANILA, Philippines — The Philippines is set to import anew up to 300,000 metric tons (MT) of sugar, the second time for the year, in efforts to bring down prices of the commodity and eventually help curb inflation.

In a meeting with stakeholders, Agriculture Secretary Emmanuel Piñol said sugar planters, who used to resist importation moves, have agreed on plans of the government to bring in sugar.

“The sugar planters said the importation should only be for the consumer market. They will also not ask for royalty payments unlike in previous importations,” Piñol said.

In the past, the Sugar Regulatory Administration issued import permits to the planters associations who sold the import permits to traders who, in turn, sold the sugar to the end users.

“The system allowed unscrupulous traders to control the imported sugar and the prices. It also failed to bring down prices of sugar in the market,” Piñol said.

He added that sugar farmers also committed to release to the market their remaining supply of refined sugar to be sold at P48 per kilogram.

For its part, SRA board member Emilio Yulo, who represents the planters’ sector, confirmed their agreement on the planned importation.

Yulo said the sector has agreed to a calibrated and pre-emptive importation program provided that the SRA will be on top of the situation and that it will continue to exercise its mandate as provided for by law.

“Sugar milling season has already started and we are confident that we have enough sugar supply in the country but we are agreeable to these measures in order to avoid a situation similar to what has happened to the rice industry recently,” Yulo said.

“This is the sugar industry’s contribution to President Duterte’s administration in helping curb inflation and help in our nation’s development,” he added.

Just last June, the Philippines imported 200,000 MT of sugar amid strong calls from local manufacturers following the surge in domestic sugar prices.

The last time the Philippines imported sugar was in 2016 following the slump in production as an effect of the El Niño phenomenon.

During that time, 100,000 MT of sugar from Thailand was brought into the country.

For the new crop year which started this month and will end in August next year, the Philippines expects to produce 2.225 million MT of sugar.

This is seven percent higher than this year’s 2.08 million MT production. However, the 2017 output failed to reach SRA’s target of 2.1 million MT.