More groups press Marcos to act on ‘sugar crisis’
BACOLOD CITY—The Panay Federation of Sugarcane Farmers Inc. (PanayFed) and the Trade Union Congress of the Philippines (TUCP) have joined calls for President Marcos to urgently act on proposals to address the “worsening sugar industry crisis.”
The groups backed recommendations put forward by the Confederation of Sugar Producers Association Inc. (Confed), which are also supported by other major industry players, including the National Federation of Sugarcane Planters and labor groups in the sugar sector.
They warned that the sugar industry is on the brink of collapse as prices, yields and domestic demand continue to fall.
“Mr. President, our sugar industry is collapsing as price, yield and demand for domestic sugar continue to drop, leaving millers, farmers, planters, workers and their families to bear the full weight of this social, economic and financial tragedy,” said TUCP party list Rep. and Deputy Speaker Raymond Democrito Mendoza in a statement.
He urged the President to show decisive leadership and listen to industry stakeholders instead of resorting to what he described as failed policies of excessive sugar importation.
Proposed measures include a government-funded program to buy locally produced sugar to stabilize prices, with stocks to be sold later at a modest profit. The groups also want all remaining imported refined sugar reclassified as reserve sugar to ease oversupply in the market.
Other recommendations include the immediate convening of the National Biofuels Board to address problems in the molasses market, the adoption of a transparent and evidence-based sugar importation policy and the creation of a technical working group with broad stakeholder representation.
Mendoza said meaningful consultation is crucial before the Sugar Regulatory Administration (SRA) issues any new orders.
“Only through genuine consultation can we ensure that farmers, planters and workers are fully represented and that the country adopts a sugar policy that strengthens domestic production and moves away from destructive over-importation,” he said.
Oversupply
In Panay, sugar prices have continued to slide since the milling season began in late October, according to PanayFed president Danilo Abelita. He said prices fell from P2,480 to P2,150 per 50-kilo bag—now below production costs.
Abelita blamed the drop on oversupply, largely driven by imported sugar. He cited the SRA data showing that most of the current refined sugar stock consists of imported sugar carried over from previous crop years.
“This oversupply of sugar in the domestic market is the direct cause of low prices. Unless this sugar glut is addressed, our sugar farmers cannot expect improved prices,” Abelita said.
He added that the SRA’s proposed export-import scheme would only offer temporary relief and could worsen the problem in the long run.
PanayFed reiterated its support for Confed’s recommendations as a more sustainable way to address the sugar crisis.
Meanwhile, SRA Administrator Pablo Luis Azcona on Sunday denied that a sugar import liberalization policy will be implemented.
Azcona was responding to a statement by Wennie Sancho of the Save the Sugar Industry Movement, who warned of a possible industry collapse with import liberalization.
“The sugar import liberalization claim is a blatant lie,” Azcona said in a statement.
He cautioned Sancho and others to be more accurate with their statements, warning that “others might construe it as true, and these types of claims can agitate an already volatile market.”
Azcona said the SRA, together with the Department of Agriculture, has been conducting dialogues with sugar industry stakeholders, including traders, to identify ways to help sugar planters who have already been affected by successive natural disasters and are now further burdened by low sugar prices.
