Regulator holds off import permits, fees for sugar stand-ins

The Sugar Regulatory Administration (SRA) has suspended the implementation of its order that requires firms to secure permits and pay fees for importing sugar alternatives, responding to concerns from industry stakeholders about potential trade disruptions and higher consumer prices.

In a statement on Thursday, SRA Administrator Pablo Luis Azcona announced that SRA is postponing the enforcement of Sugar Order (SO) No. 6, which outlines the guidelines on importing certain “sugars” and sugar confectionery.

“We have received letters and are actively reaching out to set up meetings with the concerned groups,” Azcona said, adding the Department of Agriculture (DA) will facilitate the dialogues to address their specific fears and concerns.

According to the SRA, two key issues were identified during the consultation process — processing delays and the associated costs of complying with the order.

Azcona said the SRA processes over a thousand sugar-related import clearances every year, with typical processing times averaging just two to three working days.

“We have been issuing import clearances for fructose under the same 1702 code since 2017, and there have been no reports of delays or disruptions to business operations,” Azcona said.

The SRA is set to launch an online portal to further streamline the processing of import applications.

Azcona said the processing fee for sugar imports under SO 6 is “minimal” as it amounted to a mere P0.06 per kilogram, representing about 0.8 percent of the total cost of importing other types of sugar.

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He also said the directive’s objective is to obtain accurate data for improved supply and demand planning, benefiting both local farmers and consumers.

“SRA and the DA are very careful that policies made do not affect the consumers as well,” he said.

“Again, their fears are unfounded as these are all speculative at the moment, since the order has not been implemented yet, and we welcome the opportunity to sit with them and find solutions to their concerns,” he added.