‘Dwindling sugar supply prompted import order’

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Resigned DA exec explains import decision

RESIGNED Agriculture Undersecretary Leocadio Sebastian yesterday admitted to lawmakers that he signed a resolution authorizing the importation of 300,000 metric tons of sugar without the consent of President Marcos Jr. who is concurrent agriculture secretary.

Sebastian, who also sat as chair of the Sugar Regulatory Administration (SRA) on behalf of the President, said he signed Sugar Order No. 4 based on the data presented to him by the agency.

“There is a clear indication of the rapidly diminishing supply of sugar. Current supply is projected to run out in August 2022 this month,” he told the House committees on good government and public accountability and on agriculture in a briefing.

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Sebastian, who attended the joint meeting of the House panels virtually, said that based on the data from SRA, the Philippine Statistic Authority (PSA), the National Economic and Development Authority (NEDA), and even the United States Department of Agriculture, the average annual supply shortage of sugar is a little more than 530,000 MT between 2015 to 2019, comprising an average annual deficit of 203,000 MT of raw sugar and 332,000 MT for refined sugar.

Sebastian also said he signed the order because he wanted to protect the people because “I cannot stand watching Filipinos suffer from high local prices of sugar that are hurting Filipino consumers.”

Marcos on Sunday said there is enough sugar and supply will last until October. He said this means government can delay the importation, and may import a smaller amount later this year.

Sebastian resigned last week after Marcos rejected the importation and Malacañang said the order was unauthorized.

A new agriculture undersecretary has been appointed, Domingo Panganiban, former Food and Agriculture deputy minister under the administration of Marcos’ father, Ferdinand.

The President took to Facebook yesterday to share photos of Panganiban’s oath-taking last Friday.

SRA board member Ronald Beltran, another signatory to the order, has also tendered his resignation, citing “health reasons.” Malacañang confirmed the resignation yesterday.

Sebastian told the House panels’ joint meeting that he resigned immediately after he learned “the President disapproved (of) my action.”

The Palace announced Marcos’ rejection of the order late Wednesday last week. Sebastian submitted his resignation the following day.

“It has been clear that my actions were not in keeping with the administration’s desired direction for the sugar industry,” Sebastian said.

Malacañang warned last Thursday that heads will roll as it looks into the issuance of Order No. 4 which was also signed by other officials who are all under investigation.

The other signatories assigned from Sebastian and Beltran were SRA board vice chairperson Hermenegildo Serafica, and Aurelio Gerardo Valderama Jr., board member representing the planters’ sector.

Good government panel chair Bulacan Rep. Florida Robes thanked Sebastian for coming out in the open but said she disagreed with his line of reasoning.

“The more credible person to say that (there is a need to import sugar) is the President of the country,” she said.

STAKEHOLDERS

SRA deputy administrator for Research and Development Ignacio Santillana was supposed to start his briefing when Quezon Rep. Mark Enverga, chair of the agriculture panel, requested that Serafica be called to first to brief the joint panel.

Serafica said the first thing that the SRA does with regards to importation is to consult stakeholders, informing them of the real situation before asking for their recommendations which will be part of an importation plan or the sugar order “should the need arise.”

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“Once we collate everything, out this for recommendation to sugar board for their consideration, comments or approval,” said Serafica who was on video call from his office.

This prompted Cavite Rep. Elpidio Barzaga Jr. to request the panel to require the resource persons to attend the next briefing on Thursday, saying Serafica’s physical attendance at the House is more important.

Robes warned those who will snub the panel’s Thursday meeting they may be cited in contempt as she ordered the secretariat to subject the resource persons to RT-PCR tests to ensure everyone’s safety in light of the COVID-19 pandemic.

The joint panel, which adjourned after only more than just an hour, initially voted to turn the next hearing into a motu proprio inquiry in aid of legislation but Barzaga, a lawyer and senior lawmaker, reminded the joint panel that such a move may pose legal questions since House panels can only do so seven days after rules are published.

Under the rules, Barzaga said, motu proprio action can be done not only upon the majority vote of all members but also with the approval of the committee on rules.

Robes explained that it was the reason the panel had to hold a briefing to avoid technicalities as she vowed to seek clarification from the rules panel before deciding if an inquiry can be formally held on Thursday.

PANGANIBAN

Marcos said it is an “honor” to work with experts like Panganiban.

Panganiban started his career in public service as a plant pest control worker in the Bureau of Plant Industry (BPI) assigned in Zamboanga City. He later joined the Department of Agriculture as regional director for Central Luzon.

He also served as director of the Bureau of Plant Industry, executive director of the National Food and Agriculture Council (NFAC), deputy minister of the Philippine Ministry of Food and Agriculture in 1984 under the elder Marcos, and agriculture secretary under the Estrada and Arroyo governments.

Arroyo later tapped Panganiban to lead the Philippine National Anti-Poverty Commission with a Cabinet rank.

Meanwhile, Beltran said his original tour of duty as SRA board member ended on July 1 but he was informed on July 29 and on August 1 that he is still on a “holdover capacity.” He said he “reluctantly” resumed his post.

In a letter addressed to Executive Secretary Vic Rodriguez dated August 14, Beltran said his vote on Order No. 4 was conditional “subject to compliance of the provision of laws, rules and regulations and the internal processes of SRA,” which has been withdrawn and negated due to non-compliance of such conditions.

“Please note that I already left and said goodbye to SRA as early as July 1, 2022 upon expiration of my tour of duty and the issuance of memorandum circular No.1, series of 2022. That on July 29, 2022, I received an email from SRA management informing me that I am in a holdover capacity. I ignored this email. However, the same email was reiterated and resent on August 1, 2022 and thus reluctantly resumed my duties and responsibilities as such under pan of being accused of dereliction of duty,” Beltran said in his letter. — With Jocelyn Montemayor and Jed Macapagal

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