Major Sugar Planters’ Groups Rally Behind Government Measures for Sugar Price Stability
BACOLOD CITY — The United Sugar Producers Federation (UNIFED), the largest independent group of sugar planters in the Philippines, expressed strong support on Wednesday for government efforts aimed at lowering the farmgate prices of sugar, amidst concerns over proposed sugar importation plans by the Sugar Regulatory Administration (SRA).
According to Philippines News Agency, the federation, along with the Asociacion de Agricultores de la Carlota y Pontevedra Inc. (AALCPI) and the Luzon Federation of Sugarcane Growers and Associations (LuzonFed), backs the interventions discussed with Department of Agriculture Secretary Francisco Tiu Laurel and SRA Administrator Pablo Azcona. Lamata’s statement comes in response to criticisms from other sugar groups regarding the SRA’s new importation strategy.
Lamata clarified that contrary to the claims of some critics, the government’s plan does not involve direct sugar importation. Instead, it includes a PHP5 billion buy-back local sugar scheme and a second program where traders will purchase local sugar to be reserved for potential acquisition by the national government.
UNIFED, AALCPI, and LuzonFed, representing a significant portion of the country’s sugar plantation sector, are grateful to President Ferdinand Marcos Jr. for addressing their concerns about falling sugar prices. Miguel Hinojales, a prominent sugar planter with one of the largest sugar landholdings in the Philippines, also voiced his support for the government’s actions.
The groups collectively endorsed a proposed sugar order discussed during a meeting with SRA representatives on January 25. This order aims to purchase a limited volume of locally produced sugar for reclassification to reserve sugar, facilitating an allocation for the next import program. The goal is to enhance farmgate prices to a more stable and favorable level while maintaining reasonable retail prices.
Additionally, the three organizations requested the SRA to allocate 20 to 30 percent of quedans (warehouse receipts) issued before the program’s effectivity, allowing farmers to benefit from the sugar order. Lamata emphasized the urgent need for the government to expedite the implementation of these measures to mitigate the impact of declining sugar prices on farmers.
Current farmgate prices for sugar in Negros are reported to be between PHP2,400 and PHP2,500 per 50-kg bag, a significant drop from the PHP3,200 price level recorded during the same period last year, as per UNIFED’s data.