THERE is imminent and real danger for all sugarcane producers, yet majority remain in the dark regarding the volatile price of sugar -- one that is hanging within the break-even price of cane producers.
Those in the know, the Sugar Regulatory Authority (SRA) and some of our sugar industry leaders used to say in the near past that we must export our surplus sugar "kuno." Well today, as one progressive sugarcane miller, Stephen Chan boldly stated, " This is a lie (the supposed sugar surplus), we have no such surplus."
Yet another predictive statement made by the de facto sugar authorities points to the need for sugar producers supposedly to fulfill their obligations to the U.S. quota. Well, they have, not too long ago been forced to admit to sugar producers that there is no such obligation. So what's the real story?
The Sugarcane planters -- the sector most affected in the sugar industry, the ones who absorb the high cost of labor and inputs, and suffer most the vagaries of the world market , need to know the real story. The SRA is mandated by law to come out each year the publication of the prevailing price of sugar. The current sugar quota holdings for A, B, and D must come out clean in its pronouncements.
But why the mishmash of information and pronouncements coming from the SRA, which incidentally, has only one planter on its board, one sugar federation representative, and one miller?
In truth, the vast majority of the medium and small planters are not fairly represented in the SRA Board of Directors who determine the movement and price of sugar trading.
Who or What sectors have been profiting from the confusing and outright deceptive SRA pronouncements? Why the recurring claim of sugar surplus production which ordinary planters innocently accept.
As one sugar industry expert miller/trader puts it, "The more sugars they can export, the more replacement sugars they can import. This export-import business is very profitable, and they (the strategic grouping of SRA, traders and some sugar industry leaders aptly rewarded) want to keep it going. Ang malain lang, they want us to subsidize this business for them by allocating us 'A' sugars. .Para may excuse sila, amo ini ila gina palusot nga story" but such is a nonsensical excuse. For to have a surplus means to produce more than what we consume. Consumption is around 2.7 million tons. So, they are worried we might suddenly produce 2.8 million tons this year.
In the face of this burning issue, the SRA issued a very controversial order allowing for the importation of 250 metric tons of sugar. Very intriguing is the fact that the order was signed by only two members of the Governing Board. As pointed out by one key sugar leader within the Planters' Federation, the P2.6 billion those who pushed for this importation stand to gain, using "feigned sugar shortage," is strong motive for this betrayal of the producers.
It must be pointed out that the ones seriously affected are small planters, especially thousands of CARP farmer beneficiaries who chose to remain in sugarcane production.
The SRA through its ruling governing board must correct itself and explain to the sugarcane producers its recent very contradictory moves.