Industrial users must show proof of sugar requirement

MANILA, Philippines - Industrial users who want to avail themselves of duty-free sugar imports must prove their volume requirement before the government agrees to allocate a portion to them, Agriculture Secretary Arthur C. Yap said yesterday.

In a talk with newsmen, Yap said he is in favor of allowing industrial users to tap a portion of the sugar that the government through the National Food Authority is planning to import.

Yap said the NFA would import anywhere from 60,000 to 120,000 metric tons although the Sugar Regulatory Administration (SRA) Board had approved a total volume of 150,000 MT.

Yap said the NFA would draw up the rules for the “equitable distribution” of the sugar to industrial users and consumers, adding that the government would make sure that those who will get an allocation will not use it to engage it speculation.

“They will have to prove what they are using and that they are not going to bank it for speculation,” Yap said.

In a previous interview, SRA head Rafael Coscolluela said he foresees trouble if some industrial users are allowed to avail of the imported sugar, Coscolluela asked “who will decide how much goes to whom?”

Magiging source of graft or gulo lang yan (it will only become a source of graft or trouble),” he added.

Coscolluela warned that “the producers are threatening to go to court if subsidized imports go to industrial users.”

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