The Department of Agriculture (DA) and the Sugar Regulatory Administration (SRA) have decided to extend the moratorium on sugar imports as part of efforts to safeguard farmers’ earnings while ensuring stable domestic supply and consumer prices, reported local media.
In a statement released Friday, the agencies said the suspension of sugar imports will stay in effect until the close of the current harvest season, and possibly beyond, citing stronger domestic raw sugar output and the need to prioritize local requirements.
According to the news report, Agriculture Secretary Francisco Tiu Laurel Jr. said the policy, which was first announced on October 15, may continue through the end of the milling season or even until December, depending on stock levels following last year’s improved production.
Tiu Laurel said he has directed SRA Administrator Pablo Azcona to closely track sugar refinery output and submit regular updates to ensure accurate monitoring of standard and premium refined sugar inventories.
He emphasized that all refined sugar in the country is produced from locally sourced raw sugar.
In addition to the import ban, the DA and SRA are completing long-pending regulations governing molasses imports to further protect domestic producers.
Under the proposed rules, molasses users will be required to purchase and withdraw local supply first before any importation is permitted, based on a set ratio and subject to SRA approval.
To help address declining farmgate prices, the agencies will also roll out a government procurement program for raw sugar, with purchases to be held as buffer stocks for up to 90 days.
Tiu Laurel said the decision followed months of discussions with industry stakeholders that failed to yield a consensus. “We can no longer afford to sacrifice our farmers,” he said.
As part of the new plan, the SRA will purchase up to 400,000 metric tons of raw sugar to be kept as reserve stocks for 90 days, supporting the allocation of a 100,000-metric-ton raw sugar export quota to the United States.
