I have received a copy of the urgent resolution authored by Iloilo Board Member Matt Palabrica, a very good friend of mine, wherein Iloilo province was requesting President Rodrigo R. Duterte and Agriculture Secretary William Dar to consider to stop exporting sugar to the United States because sugar farmers lose money in the transactions. The resolution also urged the President to provide more support to the sugar farmers. 

The resolution reads:

WHEREAS, it had been the practice in the sugar industry to “force” the allocation of a certain portion of the sugar produced by the local farmers for export where the portion is labeled “A” and is priced lower at 70.48% of the sugar “B” intended for the local market;

WHEREAS, every year, it is estimated that we produce about 2,100,000 metric tons of sugar while the national demand for the commodity is about 2,500,00.00 metric tons, therefore, we have incurred a production deficit of about 400,000 metric tons, and thus, there was no reason to export our local sugar at a much lower price of about P350.00 per bag or P7,000.00 per metric ton;

WHEREAS, the yearly “forced” export of sugar to the US at the rate of 7% of our total production and, meaning an average of 140,000 metric tons of sugar and in the process, our farmers lose about P920,000,000.00. every year;

WHEREAS, in the years back, the Sugar Regulatory Administration, allowed 100% of the domestic sugar, or the “B” sugar to be sold to the local traders which was advantageous to the farmers while profitable to the traders alike, but for the past several years, SRA has imposed the allocation for export which many, including us here in Iloilo Province have been deprived of our rightful income.

WHEREAS, the volume of imported sugar is sizable at about 350,000 to 500,000 metric tons annually and is estimated to value about P110,000,000,000, making it attractive for certain sectors to get involved in, as a big time business and undertake manipulations to the disadvantage of the farmers and consumers alike;

WHEREAS, this disadvantageous situation for the sugar farmers may be corrected by stopping the export of our sugar to the US and to provide more support for the farmers by way of technology and financial or credit facility;

On motion of HONORABLE MATT P. PALABRICA, Ph. D., BE IT RESOLVED, that the Sangguniang Panlalawigan through the Honorable Governor, ARTHUR R. DEFENSOR, JR., send this resolution to His Excellency President Rodrigo Roa Duterte, for the following:

Query addressed to the Department of Agriculture and its attached agency, the Sugar Regulatory Administration, why the continued annual exportation of about 140,000 tons of sugar (valued at P3.1 billion) when in fact, we have a supply deficit of about 400,000 metric tons (valued at P11.13 billion), whereby if this exported product were sold as “B” or domestic sugar, an estimated P980,000,000.00 will be saved as the income of the local sugar farmers;

Considering the volume of historical imported sugar, we implore His Excellency to provide more support for the sugar industry so that instead of the estimated P11.30 billion spent on imported sugar that benefit farmers from other countries, the amount can be earned by our sugar farmers and thus improve the economic status in the countryside where sugarcane farming is the main industry;

It was RESOLVED FURTHER THAT COPIES OF THE RESOLUTION BE IMMEDIATELY SENT TO HIS EXCELLENCY, PRESIDENT RODRIGO ROA DUTERTE, with copies furnished to the Honorable Secretary William Dar and the Administrator of the Sugar Regulatory Administration for information and appropriate action.

Palabrica should be commended for his concern to the sugar industry even if he is not from Negros Occidental where majority of sugar producers belong. I just don’t know if the good members of the Sanguniang Panlalawigan of Negros Occidental have also filed a resolution like the one filed by Palabrica.

Palabrica’s move will surely benefit all the sugar farmers in the country. Good job, BM Matt Palabrica! Kudos to you for taking a stand for and in behalf of the sugar industry./WDJ