Bacolod City – The 25,300 metric tons of raw sugar loaded in the cargo vessel Tate J, is now on its way to the United States, to fill the Philippines’ share of the US sugar quota, after leaving the BREDCO Port in Bacolod City, recently.
Sugar Order No. 3 allows “the Philippines to fulfill its US quota allocation of 25,300 MT,” the first export of sugar this year to participate in future import programs.
It is expected to arrive in California, USA, in a month, according to a statement issued by the Sugar Regulatory Administration.
“This will balance out the supply of raw sugar in the country when milling starts this September,” SRA Administrator Pablo Luis Azcona earlier said.
According to the SRA, 30 sugar traders participated in the administration’s call last year to buy domestic sugar to stabilize farmgate prices that dropped to a low of P2,400 per 50 kilogram bag.
Under the arrangement, they are allowed to import and export when needed. Traders bought local raw sugar at an average price of P2,700 per bag and sold it at the US export price of only P1,800 per bag.
“They are exporting sugar now at an estimated loss of P900 to P1,200 per bag of sugar,” Azcona said, pointing out that the opportunity to import refined sugar will give them a little profit to recoup their expenses.
The Philippines’ last shipment to the US was in the crop year 2020–2021, when it shipped 112,008 MT of commercial raw sugar. The Philippines is planning to import around 200,000 MT of refined sugar later this year, to fill an anticipated supply gap, and ensure the price stability of the commodity. (Gilbert Bayoran via tvds)