MANILA, Philippines — The local sugar industry reiterated its opposition to a proposal calling for the liberalization of sugar imports, saying prices remained stable.
The Confederation of Sugar Producers said mill gate sugar prices have not increased drastically in the past months.
Food processors and manufacturers are reviving calls to relax sugar imports.
The Philippine Food Processors and Exporters Organization Inc. (PhilFoodex) recently said the high cost of sugar in the local market was” killing the local industry but favoring foreign competition.”
“Truth be told, food processors have been allowed in the past to directly import sugar for their needs, however, there have been instances that these imported sugar were eventually found sold in domestic market, making it technically sugar smuggling,” Confed spokesperson Raymond Montinola said.
“We suspect that there are larger groups behind this lobby and we will remain vigilant against this move to ensure that our industry is protected,” he said.
Confed cited the mechanisms put in place by the Sugar Regulatory Administration which allow industrial users, including food processors, to prioritize their need.
“The SRA has already mentioned in the past that they will import sugar when the need arises,” Montinola said.
“All they have to do is ask and consult with the agency that is tasked to address their concern,” he said.
Confed also slammed PhilFoodex for comparing the cost of Thai sugar to that of Philippine sugar.
“They know fully well that Thailand producers are heavily subsidized while sugar farmers in our country have to fend for themselves without any support from the national government,” Montinola said.
He said even the Sugar Industry Development Act fund which was supposed to help in the modernization of the industry has been reduced to P500 million, a fourth of what was initially P2 billion.