BACOLOD CITY – The Sugar Regulatory Administration (SRA) announced on Sunday (18 Aug 2024) that the loading process has begun for a shipment of 25,300 metric tons (MT) of raw sugar destined for the United States, fulfilling the country’s quota as outlined in Sugar Order (SO) No. 3.

The manual loading commenced on Saturday in Negros Occidental, with plans to load 1,500 MT daily onto the cargo vessel Tate J at Bredco Port. The entire loading process is expected to take 15 days, weather permitting, with the shipment anticipated to reach the US within 30 days.

“This export will help balance the domestic supply of raw sugar as milling begins this September,” said SRA Administrator Pablo Luis Azcona.

According to the SRA, around 30 sugar traders responded to the administration’s call last year to stabilize farmgate prices, which had plummeted to PHP2,400 per 50-kilogram bag. These traders bought domestic sugar at an average of PHP2,700 per bag and sold it at the US export price of PHP1,800 per bag, incurring losses between PHP900 and PHP1,200 per bag.

“We appreciate the traders who supported this program despite the financial loss they’re facing in the export market,” Azcona stated. He added that the opportunity to import refined sugar would provide these traders with a chance to offset some of their expenses.

To expedite the process, the Bacolod City government granted an exemption from the truck ban, typically enforced from 7 a.m. to 7 p.m. on weekdays, allowing uninterrupted loading within the 15-day window. Any delays beyond this period could result in additional fees unless caused by weather disruptions.

“We are grateful to Bacolod City Mayor Alfredo Abelardo Benitez for lifting the truck ban for sugar-loaded trucks heading to the port,” Azcona added.

Sugar Order No. 3 is the first export of sugar this year and allows the Philippines to fulfill its US quota, a move that positions the country to participate in future import programs. The Office of the US Trade Representative has indicated that the Philippines may deliver an additional 145,235 MT of raw cane sugar during the period from October 1, 2024, to September 30, 2025.

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