• GILBERT P. BAYORAN
To ensure stable supply and prevent price hikes in the retail market, the Department of Agriculture (DA) is planning to import at least 200,000 metric tons (MT) of refined sugar in September.
Agriculture Secretary Francisco Tiu Laurel Jr. said June 26 the target import intends to cover the gap before the milling season in October.
“Dapat by September, may arrival tayo (By September we should have an arrival), at least 200,000 (metric) tons, refined, for the gap before harvest and refining,” he said.
Laurel said that the DA will finalize its sugar order in the second week of July since current sugar stocks are expected to drop in August.
The agriculture chief assured that the move underwent consultations with stakeholders.
In a statement, Pablo Luis Azcona, Sugar Regulatory Administration head, explained that the program being referred by Tiu is Sugar Order (SO) No. 2, or the pre-qualification of possible importers by having them pre-qualify by buying “local farmer sugar first.”
Azcona said that SO2 increased the farmer price to a stable P2,700 to P2,800 per bag of raw sugar, which also stabilized retail refined prices at P73 to P100 per kg.
This program pre-qualified an import volume of almost 200,000 tons of refined sugar and was planned in January, and formally signed on March 8 this year.
“We have pre-qualified and pre-allocated, based on their actual support for the local farmers,” Azcona said.
“As we stated previously, we will activate an import plan, should the trigger stock level be reached, to ensure a stable supply and stable price, for our retail and industrial consumers, as well as to ensure that our farmers will not be affected,” he added.
Azcona said that the five million farmers, farm workers, their families, and people dependent on the sugarcane industry are also 100 percent retail consumers.
He added that they are scheduled to meet with Laurel in the first week of July to discuss and update him on the stock levels, and to determine when to activate the plans.
The DA proposal was also supported by United Sugar Producers Federation (UNIFED) president Manuel Lamata.
“This will fill in the shortage before harvest season starts in September. Harvest this coming crop year will be delayed due to El Niño, and when we were consulted about this matter, we approved the proposal,” he said in a statement. | GB with PNA report
