Philippine sugar industry opposes exports despite additional 9,151-tonne US quota allocation
The Philippine sugar industry opposes exports in 2026-27 despite receiving an additional 9,151-tonne US quota, raising its allocation to 154,386 tonnes. Stakeholders cite lower production forecasts, pest damage and adverse weather, warning exports could tighten domestic supplies and necessitate imports.
The Philippine sugar industry has maintained its opposition to sugar exports during the 2026-27 crop year despite receiving an additional 9,151 metric tonnes of raw sugar export quota from the United States, taking the country’s total allocation to 154,386 tonnes, Digicast Negros reported.
The additional allocation falls under the US tariff-rate quota (TRQ) system for fiscal year 2027, running from October 1, 2026, to September 30, 2027. The Philippines has the second-largest quota allocation after the Dominican Republic.
The Sugar Regulatory Administration (SRA) has classified the entire domestic sugar production for the 2026-27 crop year under the ‘B’ or domestic market category, following an agreement among industry stakeholders. SRA Administrator Pablo Luis Azcona said the government would assess production figures and consult industry participants before deciding how to respond to the US quota allocation.
Sugar industry representatives said lower expected production and concerns over domestic availability made exports difficult to justify. National Federation of Sugarcane Planters president Enrique Rojas said the country’s projected output would not be sufficient to meet anticipated domestic demand, leaving little justification for changing the existing allocation.
The Confederation of Sugarcane Planters Associations also opposed exports, arguing that shipping domestic sugar to the US could reduce supplies and force the country to import sugar to meet local requirements.
Industry representatives also cited damage from red-striped soft scale insects and adverse weather conditions as factors affecting production. They indicated that the government could explain these challenges to the US Department of Agriculture rather than push to utilise the entire export quota.
One industry representative said unused quota volumes could be reassigned to other suppliers without an automatic penalty or permanent reduction in the Philippines’ future allocation.
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Source : ChiniMandi