Plan to import sugar gets mixed feedback

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A business group has  expressed support to  the government’s plan to import a smaller volume of  150,000 metric tons of sugar  and only if local supply has been exhausted by October to protect both consumers and farmers.

But a  farmers’ group questioned the government’s timing of its alternative sugar import plan, saying this may pull down farmgate prices as October is the start of the sugar milling season.

President Ferdinand Marcos Jr. on Sunday said  he will consider importing sugar only if current stock from local production and previous importations will be insufficient by October, adding that the quantity will be only half of the 300,000 MT earlier proposed by the Sugar Regulatory Administration (SRA) under the controversial Sugar Order No. 4 (SO4).

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“The President’s approach will protect both the consumer and the farmer. Sugar is now P5,200 to P5,500 per sack and I have no doubt that at this level, consumers are going to be affected… But a calibrated importation of 100,000 to 150,000 MT as the President is planning will allow us to see if price levels will start to go down and doing this at a gradual level will let us adjust as harvest season approaches, then adjust it again as production comes into full swing,” said Joey Concepcion, founder of business group Go Negosyo.

Concepcion in a statement said  “there is never a perfect solution” but noted government’s current plan will help avoid excessive price swings of sugar.

Marcos said this import strategy will also be applied to rice, seedlings and animal feeds.

“The importation plan that the President has directed is correct and can help us achieve a more inclusive economy. It will allow our small farmers to make a living,” Concepcion added.

John Milton Lozande, spokesperson of the Unyon ng mga Manggagawa sa Agrikultura (UMA), said the usual sugar milling season in the country is from September to May every year with two refineries, Universal Robina Corp.-Central Azucarera de la Carlota and Victorias Milling Co. signifying plans to start milling by yesterday, August 15, to boost the supply of refined sugar in the market.

Lozande said  peak milling season of sugar is from November to December and importing sugar  by October would lower farm gate prices of sugar and molasses to the detriment of the planters, especially the small ones.

“No aid has yet been provided by the present government in providing fertilizer subsidies to the planters which costs P2,400 to P2,700 per bag from the previous P800 per bag last crop year,” Lozande added.

The UMA spokesman said the government has imported more than 200,000 MT of refined sugar since last year  under Sugar Order 3 and cited  only traders would benefit from the October importation.

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