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President Ferdinand Marcos Jr. has given eligible sugar traders the go-ahead to import 150,000 metric tons of refined sugar to ensure sufficient actual supply of the commodity for domestic consumption, and as a two-month buffer stock
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Sugar Regulatory Administration Sugar Order No. 07, series of 2022-2023, provides the third sugar import program for crop year 2022-2023 and the second sugar import program for 2023
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Eligible importers who are granted allocations under SO No. 07 should ensure that their respective allocated volumes arrive in the Philippines no later than September 15, 2023
President Ferdinand Marcos, Jr. has approved the importation of 150,000 metric tons (MT) of refined sugar to ensure sufficient actual supply of sugar for domestic consumption, and secure a two-month buffer stock.
Sugar Regulatory Administration Sugar Order No. 07, series of 2022-2023, dated May 25 and released on July 6, provides the third sugar import program for crop year 2022-2023 and the second sugar import program for 2023.
SO No. 07 said it found imperative to open a second import program this year to address demand because, despite the release of SO No. 06, which approved the importation of 440,000 MT of refined sugar, “further reduction of sugar production volume for crop year 2022-2023 is forecast due to the early start and early end of milling, and in anticipation of a possible shortfall of supply and to bridge the gap between the supply and the demand.”
According to SRA’s forecast inventory, the country will have a negative ending stock of 552,835 MT by the end of August 2023, the end of the milling season, and importation of another 100,000 MT to 150,000 MT of sugar is necessary to avert a shortfall.
Malacañang in May said that Marcos, who chairs the SRA Board as the agriculture secretary, approved the additional importation at the recommendation of the SRA.
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Under SO No. 07, the import program will be open to duly registered SRA international sugar traders in good standing and compliant with SRA/government documentary requirements, among others things.
The volume allocated to an eligible importer will be recommended by the SRA Board.
The SRA Regulation Departments in Quezon City and Bacolod City will begin accepting applications and requirements for importation from the date of effectivity of SRO No. 07, for three calendar days. The award of the allocations will be given within three calendar days from the last day of acceptance of applications.
Eligible importers granted allocations under SO No. 07 should ensure that their respective allocated volumes should arrive in the Philippines not later than September 15, 2023.
Thereafter, each eligible importer will be given one month from actual arrival of shipment to completely distribute their allocations and submit to SRA within 30 calendar days afterwards written proof of compliance with the actual distribution requirement.
Any imported volume of refined sugar that arrives under SO No. 07 will be classified as “C” (Reserve Sugar) subject to future disposition or reclassification, as SRA deems necessary.
Eligible importers who fail to bring in any volume of their imported refined or raw sugar allocation on or before September 15 may be subject to sanctions and penalties as the SRA may deem fit and proper.
The SRA will collect a fee of P33 per 50-kilogram (kg) bag of imported refined sugar as SRA clearance fee.
Every allocation of imported raw and refined sugar is subjected to a bond of P750 per 50 kg bag and will be used to answer violations or non-compliance by the eligible importer. The bond will be released upon submission of proof of purchase of an equal volume of locally produced sugar concurrently with the importation and compliance with the undertaking stated in SO No. 07.
The imported sugar should only be stored in an SRA-registered warehouse or directly delivered the consumers’ warehouse as indicated in the importer’s application. The declared consumers’ warehouse must be pre-inspected to avoid co-mingling of imported sugar stocks with domestic sugar stocks.
Imported sugar may also be stored in the same SRA-registered warehouse where domestically produced sugar is stored, provided that the imported sugar will be segregated as a separate pile for monitoring of SRA.
Eligible importers’ non-compliance or violation of any provision of SRO No. 07 or other SRA policies will lead to forfeiture of their entire performance bond without prejudice to other sanctions that SRA may deem proper.
Any person importing sugar who is not an eligible importer or without the approved allocation granted by SRA will be considered engaged in sugar smuggling and be prosecuted under Republic Act No. 10845, or the Anti-Agricultural Smuggling Act, and other existing laws, rules, and regulations.
