P5B ALLOCATION OKAYED FOR DIRECT PURCHASE OF SUGAR FROM FARMERS

THE GOVERNMENT has allocated P5 billion to purchase sugar directly from farmers in order to prop up farmgate prices, the United Sugar Producers Federation of the Philippines (Unifed) on Sunday said.

According to Unifed, President Ferdinand Marcos Jr. has approved the budget allocated to directly procure sugar from farmers. to address the declining prices of the commodity.

“To my fellow sugar planters, do not sell yet your sugar at this low prices. Wait a little more because our President has stepped in to help the sugar farmers,” Unifed President Manuel Lamata said.

In December last year, Unifed initially made the appeal to the government to directly buy sugar from farmers due to the ongoing decline in sugar prices since the beginning of the milling season.

Lamata said that during the previous months, prices of raw sugar ranged between P2,400 to P2,500 per 50-kilogram (kg) bag, which is much lower than the ideal price of P3,000 per bag posted last crop year.

“We are very grateful to the President, to Agriculture Secretary Francisco Tiu Laurel Jr., and Sugar Regulatory Administrator (SRA) Pablo Azcona for heeding our plea for government intervention on the plummeting sugar millgate prices,” Lamata added.

The said that it had recently met with sugar industry representatives to draft procedures for direct purchasing.

Last year, the SRA said trading prices for sugar will remain stable at P3,000 per 50 kilo bag.

Sugar stakeholders also convened on Friday to draw up measures and mechanics as the government starts buying sugar directly from the farmers.

Present in the meeting led by the Department of Agriculture were the SRA, the Philippine International Trading Corp. (PITC), leaders from sugar federations, millers, farmers and traders.

The meeting aims to strategize support for farmers by directly purchasing sugar at an enhanced price, which will help address the decline in sugar prices since the commencement of the milling season.