Gov’t and Lawmakers Agree on Reforms for Sugar Industry Amid Declining Prices

Manila: Government officials and lawmakers have reached a consensus on immediate and long-term measures to stabilize the sugar industry, which is currently facing challenges such as declining farmgate prices, refining constraints, and market uncertainty. This agreement emerged from a consultation held on January 23 with sugarcane farmers, millers, refiners, and other stakeholders, who expressed concerns about falling farmgate prices, excess raw sugar, and policy coordination issues affecting the market.

According to Philippines News Agency, Senator Francis Pangilinan, Quezon 1st District Rep. Mark Enverga, and Apayao lone district Rep. Eleanor Bulut-Begtang, along with Agriculture Secretary Francisco Tiu Laurel Jr. and other officials, have developed a coordinated response to address these urgent concerns. Their plan involves aligning immediate measures with longer-term structural reforms for the industry.

A central component of the plan is the initiation of stakeholder consultations to propose amendments to the Sugar Industry Development Act (SIDA). These amendments aim to ensure that the law reflects current industry realities, especially in refining performance, importation policy alignment, and regular consultations. The Sugar Regulatory Administration (SRA) has committed to supporting sugarcane farmers, while the Department of Agriculture (DA) and the Department of Agrarian Reform (DAR) will explore using purchase contracts as collateral to improve financing access.

The agencies will also review how small farmers, including agrarian reform beneficiaries and communities, can be integrated into existing assistance programs according to established guidelines. Furthermore, to reduce market uncertainty, the SRA will conduct regular stakeholder consultations before issuing sugar orders on imports or exports.

Policies regarding the entry, use, and market impact of artificial sweeteners will undergo review. The DA and SRA have pledged to update and make available comprehensive data on refinery output, trends in sugar production, output disposition, and importation volumes and distribution.

These efforts will involve close consultation with stakeholders, aiming to build a stable, transparent, and sustainable sugar industry that safeguards farmers while ensuring a reliable supply for consumers and industry. Importation programs will also be reviewed to incentivize domestic refining and assess the geographic movement of sugar in oversupplied areas to prevent market distortions.