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Padilla rues decline of PH sugar industry; state economic managers assure gov't trying to address supply woes

Published May 23, 2023 07:34 am
Senator Robinhood "Robin" C. Padilla on Tuesday, May 23, lamented the decline of the Philippine sugar industry. During the Senate Blue Ribbon committee hearing on the alleged "state-sponsored" smuggling of 440,000 metric tons of sugar last February, Padilla noted that the Philippines exported sugar from the 1950s to the 1960s. The senator said 20 percent of the Philippines then came from the sugar industry. But the sugar industry started its decline from the 1970s to the early years of 1980. "Ito ay henerasyon nating lahat (This is our generation). Kaya nakalulungkot pong isiping sa henerasyon natin nangyari ito (It is sad to think that this happened during our generation)," he pointed out. Padilla then expressed the hope that the current generation composed of Filipino citizens and those in government could reverse this decline. Michael Escaler, CEO of All Asian Countertrade, one the three sugar importers being probed by the Senate blue ribbon panel, said he built a world-class Philippine trading company that helps small farmers. All Asian Countertrade, Escaler said, is the largest buyer of sugar from Filipino farmers and balances its earnings from the high prices of domestic sugar and the relatively low prices of international sugar. “We need to keep local sugar production viable. We import sugar only to fill the gap that the domestic industry cannot supply. Strengthening local sugar production is key to the country’s food security,” said Escaler, who is a fourth generation of the Escaler family who is involved in the sugar industry from planting, milling and marketing. "I spent more than 50 years in trading sugar. During these years, I have never been accused of any wrongdoing or any unethical practices," he pointed out. Meanwhile, National Economic and Development Authority (NEDA) Economic Planning Secretary Arsenio Balisacan, and Department of Trade and Industry (DTI) Secretary Alfredo Pascual told the blue ribbon committee that they have established that the “tight” supply of sugar has been driving the price of the commodity up since last year. He said he has flagged the President and the Cabinet on the rising price of sugar since June last year, and recommended, among others, the immediate importation of 150,000 metric tons of sugar. He said it was the NEDA that provided the President with memoranda and technical reports on inflation and identify commodities contribute to inflation. He said he notice that a higher inflation for sugar starting June 2022. “It is NEDA’s responsibility to alert the President and the Cabinet on its potential risk to the economy…Tight supply is the one driving the elevated prices,” Balisacan said.

Related Tags

sugar industry Arsenio Balisacan National Economic Development Authority (NEDA) Sen. Robin Padilla
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