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Business

A real concern

HIDDEN AGENDA -

Rampant smuggling continues to be on top of the list of concerns of the local sugar industry.

While the sugar production and milling season has ended, sugar prices remain low. The reason: sugar smuggling.

The Confederation of Sugar Producers Associations or Confed, the country’s biggest aggrupation of sugar farmers in the country, is now calling on government to put an end to sugar smuggling, whether it be actual or technical smuggling, as this is robbing sugar farmers of the right to earn a decent income.

Confed national president Joe Zubiri, who has been on top of the fight to finally put an end to sugar smuggling, is likewise calling on the government to include private sector representatives in the anti-smuggling task force, saying businessmen and farmers are in a better position to advise the government on the best plan of action when it comes to smuggling.

Farmers have been looking forward to an appreciation in domestic sugar prices that comes with the end of the milling season, especially after incurring losses in selling sugar to the world market and the US market. With domestic consumption stable and production having already ceased, traditionally, sugar prices rise as domestic supply decreases. However, contrary to expectations and the law of supply and demand, prices have remained low. Ergo, supply hasn’t really declined and someone is filling in the gap, to the detriment of the sugar farmers.

If prices remain low, there won’t be any incentive for farmers to plant. This should be a real concern for government, which is currently promoting the bioethanol program that uses bagasse from sugarcane as feedstock.

Shipping disaster

The Cebu-based Carlos A. Gothong Lines Inc. (CAGLI) is in a much more distressing situation than what its owners want others to believe

With two of its four ships down for some time now due to a recent fire and engine breakdown incidents, another ship has been literally limping along in its operations and which has caused complaints to pile up with the Maritime Industry Authority (Marina). 

Just last year, CAGLI’s M/V Subic Bay experienced a damaged crankshaft which company officials claimed would require a year and a half before the ship could resume its operations. These same officials explained that the crankshaft had to be ordered and imported from Japan thus, the rather long period before she could resume sailing. What these officials failed to consider was that the M/V Subic Bay’s type of ship was already phased out years ago in Japan and this has added to the company’s problems of sourcing for spare parts particularly, the crankshaft for this particular vessel.

A few months back, another ship of CAGLI, the M/V Butuan Bay while leaving Cebu City was ripped by an explosion in its engine room. Fire immediately broke out. One engine room personnel died and scores were wounded and subsequent investigation by the authorities showed that poor technical maintenance was the cause.     

Meanwhile, the shipping company’s M/V Ozamiz Bay has been  suffering engine breakdowns which has inconvenienced its passengers and distressed cargo clients. Poor technical maintenance again has been tagged as the culprit.

Shipping industry experts conclude that CAGLI’s ship breakdowns have already far outweighed their operational efficiencies.

But what has the Marina done to protect the riding public from these inefficiencies?

Cebu shipping industry sources claim that it would be impossible for Marina officials in Cebu not to notice what has been happening.

Antiquated ships can only mean disaster.

From the readers

“I have just read your Philippine STAR column today (July 18) and I would like to personally thank you for your kind words. I am humbled that you have perceived me as such. I’m deeply honored.

“With your insight of me, I would like to directly convey to you my personal advocacy of making the Philippine Army and the Armed Forces of the Philippines matter most to the Filipino citizenry. We will strive to make our countrymen realize that we are working for them; and that they should be proud of their armed forces. We are your protectors and as we work to attain peace, we will always be cognizant that we are all brother Filipinos.

“It is my vision too to work with all sectors of society in bringing that peace that we seek. Your role is very crucial and I’m happy to note that somebody in your tribe believes in us. I’ll treasure your comments on me and our armed forces. Do continue being a beacon in our shared pursuit of peace in our country.” — Alexander B. Yano, Lieutenant General, Commander, AFP

For comments, e-mail at [email protected]

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