THE Sugar Regulatory Administration (SRA) said it will stop approving import applications for high fructose corn syrup (HFCS) amid an investigation into the decline of sugarcane prices.
The agency was responding to an appeal from the Sugar Alliance of the Philippines (SAP), which is seeking to determine the effect of HFCS imports on the continued decline of sugar prices.
According to SRA data, as of Nov. 5, the composite price of sugar was P1,189.98 per 50 kilogram bag, against the P1,270.80 registered at the start of the 2017/2018 crop year.
The sugar industry has blamed imports of HFCS, a sweetener used mostly by beverage makers, for the lackluster price of sugar.
SAP also requested that the SRA suspend the approval of HFCS imports pending the investigation.
The SRA during its Nov. 23 board meeting formed an internal committee to look into the matter.
“The board directed the committee to look into the importation and consumption of all forms of sugars. They will also run a check on customs bonded warehouses and food processors’ utilization of sugar,” SRA Administrator Hermenegildo R. Serafica said in a statement over the weekend.
In the same meeting, the board also resolved to suspend approvals of applications by the food processors to import HFCS until the committee has concluded its investigation.
SRA estimates that around 373,000 tons of HFCS were imported into the Philippines last year, crowding refined sugar out of the market.
At the start of crop year 2016/2017, sugar prices hit highs of P1,720.23 per bag. But prices at the end of the crop year, which runs through September to August, fell to P1,153.90 per bag. — Janina C. Lim
