Sugar output drops 31.2% in 2010

MANILA, Philippines - The country’s raw sugar production nearing the end of 2010 amounted to 560,980.37 metric tons (MT), 31.19 percent lower than the end-2009 output of 815,256.65 MT, according to data obtained from the Sugar Regulatory Administration (SRA).

Refined sugar production stood at 127,639.26 MT as of Dec. 26, 2010, 55.08 percent lower than 2009’s refined sugar production of 284,166.14 MT.

Fortunately, despite the lower refined sugar production in 2010, withdrawals have also been lower by just over half, or 50.53 percent, resulting in a sugar balance of 101,030.60 MT.

According to Rosemarie Gumera of the policy planning division of the SRA, the lower sugar withdrawals is making the SRA evaluate further a need to import additional sugar this year.

However, the SRA will only be able to see a clearer picture on sugar production by March or April this year once peak milling production is reached.

Gumera explained that because of heavy flooding in Negros, sugarcane harvesting has been delayed which may also delay sugar milling.

Normally, she said, peak sugar milling is by February.

The sugar crop year starts in September of the current year and ends in August of the following year.

Sugar prices, as such, remains at around P64 per kilo in the supermarkets and at P65 per kilo in the wet markets, although monitoring has seen some sugar prices at P70 per kilo.

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