Sugar alternatives to be slapped with import clearance fees

MANILA, Philippines —  The Sugar Regulatory Administration (SRA) is inching closer to imposing import clearance fees on sweeteners like glucose and fructose as it seeks to monitor the entry of the raw sugar alternatives amid concerns over unabated imports to the detriment of local farmers.

SRA administrator and CEO Pablo Luis Azcona said the SRA board is set to sign next month an order that would require importers of sweeteners under Tariff Line 1702 to pay an import clearance fee to the agency before allowing their shipments to be released at the port.

Azcona explained that the SRA board, the agency’s highest policy-making decision body, has discussed the matter and all members are in agreement with the proposed regulatory measure.

The SRA board is chaired by Agriculture Secretary Francisco Tiu Laurel Jr., with members composed of Azcona and two board representatives each hailing from the sugar milling and the sugarcane planters sectors.

The proposed import clearance fee would be pegged at P10 per 50-kilogram bag equivalent of raw sugar, Azcona explained.

The regulatory measure, Azcona said, would allow the SRA to closely monitor the entry of imported sweeteners in the country, which has been blamed by certain quarters in the sugar industry as the reason for the lower than usual demand for local raw sugar.

“Our effort is not to regulate at the moment. Our effort is to gather accurate data to determine how huge is the volume of imports that enter the country. Besides, the charge for the import clearance fee is very minimal,” Azcona said.

Commodities under Tariff Line 1702 include glucose, fructose, artificial honey, palm sugar and maltose, among others. Imports under the tariff line are roughly estimated to be around 300,000 metric tons (in raw sugar equivalent), Azcona said.

The SRA board is also considering slapping the same regulatory measure on artificial sweeteners like sucralose and aspartame, Azcona said. He added that it would be a different sugar order should the board decide to push through with this.

“We would want to also monitor the volumes (of artificial sweeteners) coming in. Based on informal information, it is around 200,000 metric tons to 300,000 metric tons,” he said.

The SRA board also wants to check the health issues concerning artificial sweeteners by coordinating with the Department of Health to see the health effects of these sugar alternatives.