Sugar Order No. 7 authorizing the importation of an additional 150,000 metric tons (MT) of sugar will provide the country with a needed buffer stock, Manuel Lamata, United Sugar Producers Federation (UNIFED) president, said Sunday, July 9.
“UNIFED agrees with SO 7. The industry needs a buffer stock to absorb the one month delay in the harvest season…The 150,000 imported refined sugar is just enough for that”, he said.
Lamata pointed out that harvesting of sugarcane will be delayed to September.
“The reason behind this is with the one month delay in harvesting our sugarcane will be sweeter because it will be matured so there will be more sugar content. The president is doing the correct thing,” Lamata said.
Enrique Rojas, National Federation of Sugarcane Planters president, said “as a buffer stock, the 150,000 MT might just be enough. The key is in the timely release and volume at which such buffer stock will be introduced in the local market”.
Mills presumably will start producing sugar by September 1. But not all mills in the country will start milling simultaneously on September 1, he said.
He also said it takes about two weeks for millgate sugar to reach the shelves of most retails outlets and on to tables of consumers.
“We expect that SRA will be judicious enough to release the additional imported sugar in a calibrated manner, in such small volumes that will answer the gap in production, so that millgate prices at the start of milling will not be adversely affected by this 150,000 MT importation,” Rojas said.
SO 7 states that eligible importers are mandated to ensure that their allocated volumes arrive in the country no later than Sept. 15, 2023.
“Any imported volume of refined sugar that arrives under this sugar order shall be classified as ‘C’ (Reserve) subject to future disposition or reclassification, as SRA deems necessary,” the order added.
Sugar Order No. 7 was approved by President Ferdinand Marcos Jr., who is concurrent secretary of agriculture.*