Business

Sugar Board classifies 100% production as domestic sugar

Erwin P. Nicavera

THE Sugar Board chaired by President Ferdinand “Bongbong” Marcos Jr. has approved Sugar Order No. 1 (SO1) classifying all production for Crop Year 2022 to 2023 as “B” or domestic sugar.

The order released by the Sugar Regulatory Administration (SRA) yesterday, September 13, stated that sugar production for the crop year, from September 1, 2022 to August 31, 2023, is pegged at 1,876,135.36 metric tons (MT).

It (production) shall be quedanned by the mill companies, as implementers of the sugar order, as 100 percent “B” or domestic sugar market, it added.

The Sugar Board, in the order, pointed out that as a general rule, sugar mill companies shall issue weekly sugar quedan-permit or molasses storage certificates in the name of the individual planter or mill companies for their corresponding shares of sugar and molasses production for Crop Year 2022 to 2023.

As an exception, in case of “B” sugar, where a planter has expressly authorized the mill company in writing or has executed agreement provides for the consolidation of his weekly sugar or molasses production in the name of the association or cooperative, the mill company concerned shall issue consolidated weekly sugar quedan permits or molasses storage certificates in the name of the association or cooperative with an attached listing of the planters and their corresponding production covered by the said permits and certificates, it said.

The order also stated that the SRA shall undertake assessment of the Crop Year 2022 to 2023 sugar production and withdrawals trend.

In terms of withdrawal, the country’s total domestic raw sugar withdrawal for Crop Year 2022 to 2023 is estimated at about 2,030,750 MT.

On the basis of such assessment, the SRA may, from time to time, adjust the percentage allocation or distribution to other classes of sugar in accordance with its power and function to establish domestic, export and reserve allocation, it said.

“Pursuant to Section 6 (of) Sugar Order No. 1 Series of 1995 to 1996 dated September 1, 1995, it is hereby reiterated that for Crop Year 2022 to 2023, and thereafter, all unused sugar quedan-permit forms of the previous crop year shall be shredded and not allowed for use,” it added.

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