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Philippines secures additional 9,151-MT US sugar export quota

The Philippines received an additional 9,151 MTRV U.S. raw sugar export quota for FY2027, raising its allocation to 154,386 MTRV. However, meeting the quota may be difficult as production fell 11% to 1.85 million tonnes due to red-stripe soft scale, while current exports stand at 99,538 tonnes.

The Philippines has secured an additional 9,151 metric tons raw value (MTRV) in export quota for raw cane sugar to the United States (US) for the upcoming fiscal year (FY), according to the Office of the US Trade Representative (USTR).

The additional quota is part of the 55,993 MTRV that the USTR had not yet allocated under Washington’s tariff-rate quota (TRQ) scheme for imported raw cane sugar in FY 2027, which begins on Oct. 1 and ends on Sept. 30, 2027.

The USTR earlier earmarked 1.06 million MTRV in sugar imports for 39 participating countries under the TRQ system, including the Philippines.

The country received an initial allocation of 145,235 MTRV, marking the fourth consecutive year that it has received the same quota.

The additional export quota brings the Philippines’ total shipment allocation to the US to 154,386 MTRV, making it the second-largest volume for FY 2027.

Dominican Republic received the largest export quota at a revised volume of 201,274 MTRV, while Brazil ranked third with a quota of 100,000 MTRV.

Under the TRQ system, the USTR allows countries to export specified quantities of products to the US at relatively low tariff rates, while those above the threshold are subject to a higher duty.

The US agency allocates a specific volume to each exporting country based on its historical shipments to America and consultations with other quota-holding countries, in line with commitments under the World Trade Organization (WTO).

“The allocations of the raw cane sugar WTO TRQ to countries that are net importers of sugar are conditioned on receipt of the appropriate verifications of origin,” the USTR said in a Sept. 23 statement.

It remains to be seen whether the Philippines will be able to meet the US sugar quota this year, as local production has remained subpar.

Sugar Regulatory Administration (SRA) data showed that raw sugar production for crop year (CY) 2025-2026 declined by 11 percent to 1.85 million MT from 2.08 million MT as of Sept. 6.

The cropping calendar for sugarcane starts on Oct. 1 and ends on Sept. 30 of the following year.

The decline in the country’s raw sugar output has been attributed to the spread of the red-stripe soft scale insect (RSSI), which could cut sugar content by as much as 50 percent.

The Philippines was previously unable to meet its export quota to the US during CY 2021-2022 and 2022-2023 due to weak domestic output.

SRA data showed that the country exported 99,538 MT of raw cane sugar to the US during the current CY as of Sept. 6.

The Department of Agriculture (DA) earlier approved the export of 100,000 MT of raw sugar to the US to reduce domestic stocks and ease downward pressure on farmgate prices.

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Source : Manila Bulletin

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