MANILA, Philippines - The National Government will forego P700 million to P2 billion in tax revenues from the use of the tax expenditure subsidy (TES) for the importation of 150,000 metric tons of sugar.
Sources at the National Food Authority (NFA) and Sugar Regulatory Administration (SRA) said the foregone revenue would be around P700 million if the sugar will come from an ASEAN (Association of Southeast Asian Nation) country for which the sugar tariff/is 38 percent, and up to P2 billion if the sugar is imported from countries outside ASEAN for which the tariff is as high as 50 percent.
At least 14 firms were represented in yesterday’s session and bought bid documents for the Feb. 23 sugar auction.They include Coca Cola Bottlers Philippines, Inc., the Food Processors and Exporters Organization, Nismo Trading and several individuals who did not reveal their principals.
The NFA held yesterday a pre-bidding conference at the SRA Social Hall in Quezon City for the importation of 60,000 metric tons (MT) of refined sugar, the first of two tranches totaling 150,000 MT.
The second tranche will be done through the sugar industry’s export replacement scheme.