Philippines has sufficient sugar stock for next season
Manila: The sugar storage in Philippines for the next market year (MY) 2025, would be sufficient to cater domestic demand as per a report by a foreign agricultural agency suggesting that the country won’t need to import the sweetener.
The United States Department of Agriculture’s Foreign Agricultural Service (USDA-FAS) in Manila believes the Philippines won’t import raw sugar in MY 2025. The government plans to support local producers by reducing dependence on imports.
The USDA-FAS Manila also anticipates the country won’t need refined sugar imports due to large stockpiles carried over from previous import programs.
“The Philippines has enough raw and refined sugar stock for now,” the USDA-FAS Manila said in a recent report from its Global Agricultural Information Network (GAIN).
The Philippines imported about 730,000 metric tons (MT) of refined sugar in the previous market year (MY) 2022-2023 to address a supply shortage.
As per the USDA-FAS Manila estimates the Philippines would begin the next market year with a combined raw and refined sugar stock of 1.19 million MT.
Regarding sugar production, the USDA-FAS Manila projects the country’s raw sugar output to stay the same at 1.85 million MT in MY 2025. The negative effects of El Niño are expected to balance out any sugarcane area increase.
The Philippines’ sugarcane output is predicted to slightly rise to 21.6 million MT next year, compared to the projected 21.5 million MT this market year. The total area planted with sugarcane is also expected to increase to 387,000 hectares from 385,000 hectares.
“High sugar prices encouraged farmers to plant more sugarcane, but some farms without irrigation systems suffered due to the ongoing El Niño, hindering sugarcane growth,” the report said.
“Some new sugarcane crops planted in the last three months without irrigation were stunted by El Niño and will likely have lower yields in MY 2025,” it added.
The international agency’s projected output for the current market year matches the Sugar Regulatory Administration’s (SRA) initial forecast of 1.85 million MT.
“The impact of El Niño on sugarcane wasn’t as severe as initially predicted. Earlier forecasts expected a 10 to 15 percent production drop,” said the USDA-FAS Manila, referring to MY 2024’s raw sugar output.
As per the SRA data raw sugar production as of March 31 was 1.779 million MT, nearly 12% up than the 1.59 million MT recorded during the same period last year.
SRA administrator Pablo Luis Azcona said that they are estimating of 1.85 million MT for raw sugar output in the current crop year.
Source Link : https://www.chinimandi.com/philippines-has-sufficient-sugar-stock-for-next-season/
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