MANILA, Philippines - The Sugar Regulatory Administration (SRA) is trying to fasttrack the importation of an additional 100,000 metric tons of sugar to increase the country’s sugar buffer stock in the face of expected lower local production this year, according to SRA Administrator Bernardo Trebol.
Trebol told reporters at the sidelines of President Arroyo’s farewell visit last Friday to the Department of Agriculture that the SRA is hoping to conduct a bidding this week for the additional importation of an additional 100,000 MT of sugar – for delivery before the end of August this year.
However, the decision to conduct a bidding for the additional 100,000 MT would depend on the approval tomorrow by the Cabinet, specifically the economic team, on the continued use of the tax expenditure subsidy, SRA director for policy planning Rosemarie S. Gumera said after President Arroyo instructed Trebol on the need to get the Cabinet’s economic team to give the go-ahead for the additional sugar importation.
Gumera told The STAR that the SRA must first ensure that it can still use the TES for the additional 100,000 MT. Otherwise, she said, additional importation would be subject to the regular 32 percent tariff on imported sugar.
Trebol said that the SRA wants to fasttrack the additional sugar importation, particularly for the retail market.
Sugar prices have been rising despite repeated assurance from the SRA of adequate stocks, as consumers fear a possible sugar supply shortage due to expected lower local sugar production and a similar global production decline.
Trebol said the SRA is considering using a combination again of a reallocation scheme and a public bidding.
The Philippine Sugar Millers Assocation (PSMA), on the other hand, according to its executive director Archie Amarra, prefers a public bidding.
Allocation of the sugar importation still has to be settled since in the previous importation of 150,000 MT, the most keen to do the additional importation was the industrial sector.