NATIONAL
Advocates Philippines
President Marcos Jr Approves Additional Sugar Imports
Photo credit: PCO
On Monday, President Ferdinand R. Marcos Jr. approved the recommendation of the Sugar Regulatory Administration (SRA) for additional sugar imports to stabilize prices and increase the country's sugar stock.
The maximum amount of sugar to be imported will be 150,000 metric tons (MT), but the exact amount will be determined at the end of the month, once the supply is confirmed. The President stated that the importation would be open to all traders.
The SRA has forecasted that the country will have a negative ending stock of 552,835 MT by the end of the milling season in August 2023. To avert a shortfall, the country will need to import another 100,000 to 150,000 MT of sugar. As of May 7, 2023, the country has sufficient raw sugar supply with a beginning stock of 160,000 MT. However, local production of 2.4MMT, 440,000 MT allowed to be imported under SO No. 6, s. 2022-2023, and 64,050 MT under the Minimum Access Volume (MAV) mechanism will not be able to cover the 3.1MMT demand.
During the meeting with the SRA, President Marcos also approved the movement of the milling season start from August to September, stating that it would increase production by approximately 10%. The President ordered the SRA to expedite block farming initiatives to increase productivity, consolidate small farm lots into at least a 30-hectare block farm, and provide financial and mechanization support to farmers for increased production.
Acting Administrator Pablo Luis Azcona informed the President that sugar farmers are pleased with the stable farmgate price of raw sugar, which is averaging at PhP62/kg for the current calendar year. It is higher than the PhP38/kg average farmgate price in the previous year, 2021-2022.
The President also mentioned that consolidation is an essential part of agro-industrial production and plans to increase the budget for block farming to expedite the process of organizing block farms.
The maximum amount of sugar to be imported will be 150,000 metric tons (MT), but the exact amount will be determined at the end of the month, once the supply is confirmed. The President stated that the importation would be open to all traders.
The SRA has forecasted that the country will have a negative ending stock of 552,835 MT by the end of the milling season in August 2023. To avert a shortfall, the country will need to import another 100,000 to 150,000 MT of sugar. As of May 7, 2023, the country has sufficient raw sugar supply with a beginning stock of 160,000 MT. However, local production of 2.4MMT, 440,000 MT allowed to be imported under SO No. 6, s. 2022-2023, and 64,050 MT under the Minimum Access Volume (MAV) mechanism will not be able to cover the 3.1MMT demand.
During the meeting with the SRA, President Marcos also approved the movement of the milling season start from August to September, stating that it would increase production by approximately 10%. The President ordered the SRA to expedite block farming initiatives to increase productivity, consolidate small farm lots into at least a 30-hectare block farm, and provide financial and mechanization support to farmers for increased production.
Acting Administrator Pablo Luis Azcona informed the President that sugar farmers are pleased with the stable farmgate price of raw sugar, which is averaging at PhP62/kg for the current calendar year. It is higher than the PhP38/kg average farmgate price in the previous year, 2021-2022.
The President also mentioned that consolidation is an essential part of agro-industrial production and plans to increase the budget for block farming to expedite the process of organizing block farms.
May 15, 2023
