Coca-Cola urged to prioritize local sugar amid import plans

MANILA, Philippines — Sugar industry groups have called on Coca-Cola Europacific Aboitiz Philippines (CCEAP) to prioritize the use of locally produced sugar and domestic production amid concerns regarding the bottler’s decision to import some of its finished products.

In a joint statement, three umbrella groups, representing different interests in the sugar industry, raised concerns that CCEAP’s importation of some finished Coca-Cola original taste products could displace demand for local sugar.

They argued that this may affect thousands of livelihoods dependent on the sugar industry since the bottling firm is one of the biggest buyers of sugar in the country.

The appeal was issued by the Sugar Council, National Congress of Unions in the Sugar Industry of the Philippines and the Democratic Association of Labor Organizations.

The Sugar Council is composed of three sugar industry groups representing local sugarcane farmers: the Confederation of Sugar Producers Associations, the National Federation of Sugarcane Planters and the Panay Federation of Sugarcane Farmers.

The  STAR broke the story that CCEAP has started to import some finished Coca-Cola original taste products from Indonesia to boost its local stocks and meet growing demand for its beverage items.

“As Filipino consumers and workers sustain Coca-Cola’s market success, we urge the company to reciprocate by prioritizing our domestic sugar,” the groups said in a recent statement.

“Relying on imports directly threatens the livelihoods of our farmers, producers and labor sector. Ultimately, weakening this massive local workforce will erode the very purchasing power they need to buy Coke products,” they added.

The groups said they are “dismayed” over the recent industry developments, claiming that the importation made by CCEAP have “sparked serious concerns regarding the future of local producers and sugarcane laborers.”

“It raises a critical and larger policy question. If our country has an adequate supply of locally produced sugar, should the government simply stand by while finished products containing imported sugar displace products that could — and should — be manufactured here using Philippine sugar and Philippine labor?” they said.

The groups pointed out that the importation exacerbated the ongoing sugar industry “crisis” that is caused by the red-striped soft scale insect infestations across various sugarcane farms.

“Importing finished Coke products could well be the final nail in the coffin for the struggling sugar industry,” the groups said.

CCEAP earlier denied that the importation of finished products had anything to do with the prevailing domestic refined sugar supply situation or its prices.

The company said that the importation was done to ensure supply reliability of its products with most if stocks sold in the market still being manufactured locally using domestic sugar.