The Philippine Sugar Millers’ Association Inc. (PSMA) on Friday, Dec. 22, welcomed the pronouncement of Administrator Pablo Luis Azcona of the Sugar Regulatory Administration that based on current demand figures there is no need to import sugar.
Demand-withdrawals have been slow since the start of the season. Based on the latest figures of SRA, as of December 3, raw sugar and refined sugar withdrawals are down 23 percent and 10 percent, respectively, year-on-year, Jesus Barrera, PSMA executive director, said.
“We have entered the height of milling with practically all sugar mills in operation and producing sugar. With such weak demand, our physical inventories are building up as we are adding more stocks every week,” he said.
Barrera said they welcome the statement of the SRA administrator that there is no need to add more sugar from imports.
Adding to the woes of the sugar industry is that farmgate prices have gone down from P 3,000 per bag at the start of the crop year in August, to P2,390 to P2,500 in the past two weeks, Barrera said.
“Given sluggish demand and reduced prices, sugar producers see no justification for importing sugar, as any additional imports would worsen and prolong their current predicament,” he said.*