SRA Approves 240,000 Metric Tons of Sugar Importation to Stabilize Prices

MANILA — The Sugar Regulatory Administration (SRA) has authorized the importation of 240,000 metric tons of refined sugar to stabilize and maintain affordable prices for consumers and ensure equitable compensation for local farmers. This move comes in response to potential shortages anticipated due to environmental factors such as El Niño, affecting the upcoming 2024-2025 crop year.

According to Philippines News Agency, the importation strategy, outlined in Sugar Order (SO) No. 5 approved on August 8, aims to bolster the domestic supply ahead of expected challenges and maintain a buffer stock for the country. This proactive measure is designed to prevent any disruption in sugar availability that might otherwise lead to price volatility in local markets. The order also specifies allocations for importers who have demonstrated support for local sugar farmers, ensuring they receive priority in the importation program.

The detailed allocation within the importation plan sets aside a maximum of 176,500 metric tons for importers who have previously purchased from local producers, as mandated by SO No. 2. An additional 63,500 metric tons are allocated for replenishing sugar exports to the United States, following the stipulations of SO No. 3. This structured approach underscores a commitment to supporting domestic agriculture while managing international trade obligations.

Azcona highlighted the timing of the imports, expected around September 15, as crucial for filling the supply gap before the milling season begins in October. He further assured that the country’s current sugar stocks, which include substantial reserves of both physical and refined sugar, provide a solid two-month buffer that should mitigate any immediate supply concerns.

In anticipation of the milling season, Azcona expressed confidence that the refineries and raw mills scheduled to commence operations in mid-September and December, respectively, will be fully operational to meet domestic demand and maintain stock levels throughout the crop year.