Govt urged to trim volume of sugar imports

• Published date: 09 February 2023
• Publication title: Business Mirror

A group of sugar producers is urging the government to limit the proposed import program to just 350,000 metric tons (MT), and to ensure that planters and industrial users will get equal allocation.

In a series of letters to the Sugar Regulatory Administration (SRA), the Confederation of Sugar Producers (Confed) proposed changes to the sugar import program of the government.

The group recommended a 50:50 volume allocation for industrial users and producers and pushed for the participation of all interested accredited sugar traders in the import program.

'We reiterate our position that the importation program should be implemented in an open, transparent and equitable manner,' the group said in its letter.

The group said total import volume should be adjusted to 350,000 MT (300,000 MT refined sugar and 50,000 MT raw sugar) instead of the 450,000 MT earlier announced by some government officials.

It added that imports should arrive in two tranches: 175,000 MT in July or after the current crop year's milling season and 175,000 MT in August or before the next milling season.

The group also urged SRA to adopt 'transparent' import guidelines and to allow sugar producers and other interested accredited sugar traders to participate in the import program.

'Sugar farmers and millers, through their federations, associations or cooperatives which are accredited sugar traders, or through other accredited sugar traders, should be qualified to apply for and import their allocation of 50 percent of the proposed volume,' it said.

The group said the import allocation for sugar producers should be based on their share in the total sugar output in crop year 2021-2022. Meanwhile, industrial users' import volume allocation should be pro-rated and should be subjected to usual SRA requirements, such as excise tax or VAT payments, among others.

'All applications for importation should be...