MANILA, Philippines - Sugarcane industry stakeholders will ask the Aquino administration to turn over funds collected by the National Food Authority (NFA) from the current sugar importations to the Sugar Regulatory Administration (SRA) so that the SRA can use the funds to further mechanize the sugarcane industry.
The money comes from the performance bonds and fees collected by the NFA for the current sugar importations.
The money, sugarcane industry stakeholders said, could bankroll their needs.
The sugarcane industry will submit a resolution to Agriculture Secretary Proceso Alcala, for his consideration and endorsement to President Aquino for approval.
The request was aired during a recent dialogue called by Alcala with sugarcane industry stakeholders at the SRA offices in Quezon City.
Aside from the need for additional equipment, the sugarcane industry stakeholders acknowledged that ethanol production from sugarcane is part of the future of the industry.
About 100 sugarcane industry stakeholders attended the dialogue-consultation last week.
Alcala initiated the dialogue to address major concerns and map out the industry’s future direction.
This involves increasing the production of sugarcane for both sugar and ethanol; achieve stable domestic supply and prices of sugar, and increasing farmers’ incomes.
According to Alcala, those goals will make the country’s sugar industry globally competitive following of the effectivity of the ASEAN Free Trade Agreement (AFTA).
Tariff rates on imported sugar from competing ASEAN countries will be gradually reduced from the current 38 percent to only five percent by 2015.
By 2012, tariff rates will further go down to 28 percent, then down to 18 percent by 2013, and 10 percent by 2014.
As such, Alcala stressed, “we have to prepare the country, sugarcane farmers, and everyone,” adding that “we, therefore, have to increase the production of sugarcane for both sugar and ethanol.”
Sugarcane farmers, particularly members of sugar Mill District Development Committees (MDDCs), urged the Aquino administration to provide the necessary equipment particularly, tractors, irrigation systems and trucks.