Philippine : Sugar producers urge Marcos to act as industry faces crisis
Philippine sugar producers urged President Marcos Jr. to act on an industry crisis marked by falling prices and weak demand, proposing a government sugar-buying program to stabilize markets, support farmers, revive refineries, and prevent deeper financial distress.
BACOLOD City — The Confederation of Sugar Producers Associations Inc. (CONFED) has appealed to President Ferdinand R. Marcos Jr. for urgent and decisive action to address what it described as a deepening crisis in the sugar industry marked by falling prices, declining yields, and weak domestic demand.
In a January 8, 2026 letter coursed through the Sugar Board, CONFED President Aurelio Gerardo Valderrama Jr. warned that farmers, millers, and sugar workers are facing severe financial distress, with refineries operating below capacity and labor groups threatening protests if concrete solutions are delayed.
While welcoming the government’s decision to suspend sugar importations until December 2026 and to regulate molasses imports, Valderrama said these measures are not sufficient to stabilize the industry.
The group also cited strong opposition from industry stakeholders to the Sugar Regulatory Administration’s (SRA) proposed Sugar Order (SO) No. 2, Series of 2025–2026, particularly its “4:1:3” incentive scheme, which has failed to gain broad support.
To complement the import suspension, CONFED proposed a government-financed sugar buying program that would purchase domestic raw sugar at a minimum price of P2,300 per 50-kilo bag, refine it locally, and sell it to the consumer market at sustainable prices.
The group stressed that the proposal is not a subsidy but a market-stabilizing mechanism that could improve millgate prices, lower retail costs, and revive local refining operations.
Other recommendations include holding remaining imported refined sugar in reserve to protect domestic supply, stabilizing the molasses market through the National Biofuel Board, and adopting a clear, transparent, and data-driven sugar importation policy.
CONFED also called for the creation of a technical working group with industry representation to immediately work out the funding and implementation details of the proposed program.
“The fate of an entire industry now rests on the shoulders of government and industry leaders,” Valderrama said, urging unity and swift action to prevent further damage to the sector./PN
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Source : Panay News
