Drop in sugar prices to adversely affect small planters

By Dolly Yasa

BACOLOD City – Negros Occidental Governor Eugenio Jose Lacson on Wednesday said that the drop in sugar prices will adversely affect small planters who comprise the majority of the sugar planters, especially in the province.

The drop in the price of sugar is reportedly caused by the “untimely” government importation of sugar.

Earlier, Senator Risa Hontiveros exposed 260 containers of sugar arriving at the Batangas port ahead of the allowed date of the sugar importation. She urged the Senate Blue Ribbon committee to conduct an investigation on what she defined as “government-sponsored” sugar smuggling.

Hontiveros said that the 260 20-foot containers came early last February 9 and were supposed to arrive on March 1, 2023, based on the Sugar Order No. 6 released by the Sugar Regulatory Administration (SRA.)

SO No. 6 allowed importing of 440,000 metric tons (MT) of refined sugar from Thailand. The imported sugar from its importer All-Asian Countertrade, Inc., appeared to be confirmed by a letter to the Bureau of Customs (BOC) from the Department of Agriculture (DA) dated February 14, 2023.

On his part, Lacson said the claim of Senator Hontiveros must be investigated if there is enough evidence.

“If there is really strong evidence, why not?” he added.

He reiterated that the volume and timing have to be considered as far as sugar importation is concerned.

The small planters will be affected the most, the governor said.

He said the price of sugar has indeed gone down adding that “I hope it will not drastically go down.”

Earlier, two more sugar planters groups expressed fears that the impending sugar importation by the government will lead to a further drop in sugar prices.

“We believe that the 440,000 MT volume is more than what is needed in the domestic market, this oversupply, coupled with the ill-timed arrival of imported sugar will surely lead to a further downward slide of millgate sugar prices,” said Enrique D. Rojas, president of the National Federation of Sugarcane Planters (NFSP) and Danilo A. Abelita, president of the Panay Federation of Sugarcane Farmers (PANAYFED)

Recently, the Confederation of Sugar Producers Associations (CONFED) in a statement also raised serious concerns on the importation, including the drop in sugar mill gate prices, on the issuance of Sugar Order (SO) No. 6 titled “2nd Import Program for Crop Year 2022-2023,” issued by the Sugar Regulatory Administration.