‘Court junks Coke’s civil suit’

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BY MAE SINGUAY
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Sunday, June 11, 2017
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BACOLOD City – The civil case filed by Coca-Cola FEMSA Philippines, Inc. seeking to nullify Sugar Order No. 3 has been dismissed by the court, according to Sen. Juan Miguel Zubiri.

Zubiri told the local press on June 8 this is good news for local sugar farmers and producers.

“At least, the sugar industry [here] has hurdled one problem,” said the senator who claims to have roots in Negros.

Coca-Cola filed the case before the Regional Trial Court Branch 98 in Quezon City.

During a congressional inquiry on May 16, Atty. Marc Cox of Coca-Cola told lawmakers that the company will withdraw the case to move “toward a sustainable partnership” with the local sugar industry.

The company has been criticized by the local sugar industry for allegedly preferring high-fructose corn syrup to locally produced sugar as sweetener.

ANOTHER PROBLEM

But according to Zubiri, sugar farmers and producers were facing another problem: the tax reform package, or the proposed Tax Reform for Acceleration and Inclusion, which was approved by Congress last month.

“An excise tax of P10 would be imposed on sugar sweetened beverages, which include sweetened juice drinks, sweetened tea and coffee, carbonated beverages with added sugar, including those with caloric and non-caloric sweeteners, flavored water, energy drinks, sports drinks, powdered drinks, cereal, and grain beverages, and other non-alcoholic beverages that contain added sugar,” part of the measure read.

Excluded from the measure were plain milk and milk drinks without added sugar; infant formula and milk alternatives such as soy milk, almond milk and flavored milk; 100-percent fruit and natural vegetable juices; and meal replacements and medically indicated beverages.

Zubiri said he will propose to lower the excise tax for it to have minimal impact on farmers.

“This will be my thrust when they resume the session on the third week of July,” Zubiri said./PN

 

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