Philippine industry groups are calling on the Marcos administration to reconsider the Sugar Regulatory Administration’s (SRA) order imposing permits and fees for importing sugar alternatives, warning that it could trigger high prices in beverages and confectioneries.

In a letter to President Ferdinand “Bongbong” Marcos Jr., the Federation of Philippine Industries (FPI) said SRA’s Sugar Order (SO) No. 6 is “another form of red tape” that could harm several local industries and their respective workforce.

The FPI said this additional bureaucratic layer directly contradicts the President’s vision of improving the ease of doing business in the country.

"It is FPI’s submission that implementing the Order will merely result in bureaucratic inefficiencies, increase the cost of doing business, especially on the part of PCBSA members, increase the selling prices of beverage and confectionery products, and ultimately adversely affect the Filipino consumer," FPI Chairman Jesus Arranza said in the letter.

Through this letter, the FPI is echoing the concerns of its member groups, the Philippine Confectionery Biscuit Snack Food Association (PCBSA) and the Beverage Industry Association of the Philippines (BIAP).

SO No. 06 covers the importation of all sugar alternatives and sugar-based items, which include sucrose, specialty sugar, maple syrup, honey, caramel, and sugar confectionery items, among others.

The SRA earlier said its order is in response to the sugar industry’s appeal over the unregulated importing of sugar alternatives.

The SO, according to the agency, was meant to gather accurate data to determine the volume of imports entering the country.

Arranza, however, noted that there is existing data on importation records that are accessible in the Bureau of Customs (BoC).

Instead of requiring additional fees and documents, he suggested that the SRA and the BoC could establish a data-sharing agreement, as both agencies belong to the executive department.

On top this, the FPI Chairman said local industries are even willing to regularly submit their importation records on a quarterly basis.

With concerns on logistics, Arranza pointed out that the SRA order has the potential to create congestion at local ports.

He said this would lead to additional demurrage fees, further hurting local manufacturers of confectioneries and beverages with delays in production and extra costs.

Arranza likewise clarified that concerns about imported sugar alternatives displacing locally produced sugar are unfounded, as they serve different purposes.

For instance, alternatives such as glucose complement sugar in the production of confectioneries by serving as the hardener to improve stability and extend shelf life.

The FPI official said regulating the importation of alternative sugar, which are non-sugar materials, is no longer within the SRA’s mandate.

He argued that the agency’s order could be an "overreach", warranting an immediate reconsideration.