The Department of Agriculture (DA) and the Sugar Regulatory Administration (SRA) have extended the ban on molasses importation until the end of March next year to prevent domestic farmer prices from falling further.
SRA Administrator Pablo Luis Azcona said on Wednesday, Nov. 26, that the extension covers Molasses Order No. 1, which originally suspended imports from September until the end of this year.
Azcona explained that a 21-percent increase in molasses production last milling season, coupled with additional imported supply, pushed prices down by almost half to below P10,000 per metric ton in early November.
He recommended the extension to Agriculture Secretary Francisco Tiu-Laurel after the Sugar Board found it necessary, Azcona said.
This necessity stems from local stock levels remaining high, at around 250,000 metric tons, which is ample for domestic use, he said.
Milling operations on Negros Island began on October 1, Azcona also reported, with molasses production reaching nearly 84,000 metric tons as of November 9.
“Based on the recommendation of the SRA, and in the interest of our farmers and millers, Administrator Azcona and I have agreed to extend the moratorium on molasses imports until March 30, 2026 — or further, depending on local stock levels,” Secretary Tiu-Laurel confirmed.
Despite the moratorium, Azcona noted that stock levels remain high.
“The extension will help relieve our millers’ tanks of local stock and, hopefully, support better molasses prices,” he said.
The SRA and the DA confirmed they may amend the moratorium order as needed, depending on the total molasses inventory.
Azcona said only locally produced molasses is allowed to be used for bio-ethanol production.
Local and imported molasses may be used for baking, confectionery, cooking, and beverages, as well as in the production of animal feeds, vinegar, citric acid, and potable and sanitary alcohol, among others, he added.*
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