BACOLOD City – The Confederation of Sugar Producers Associations, Inc. (CONFED) has raised alarm over what it describes as a worsening crisis gripping the Philippine sugar industry.
In a statement, the group noted that millgate sugar prices have fallen to their lowest levels in four years, with producer losses already exceeding P4.21 billion.
Aurelio Gerardo Valderrama Jr., CONFED president, said a “perfect storm” of oversupply in imported refined sugar, unchecked molasses imports, and the increasing presence of sugar substitutes has significantly weakened demand for locally produced sugar.
Mills across major sugar-producing areas have struggled for the past six weeks to secure acceptable bids for newly milled sugar, CONFED said in its open letter to industry stakeholders.
From the start of the milling season until November 9, CONFED estimated foregone revenues at P3.89 billion—a figure that further increased according to Sugar Regulatory Administration (SRA) data released on November 23. Most of these losses were recorded in Negros, the country’s top sugar-producing province.
The group warned that without urgent intervention, industry-wide losses for Crop Year 2025–2026 could reach P23.3 billion, threatening the survival of sugarcane producers and the communities dependent on the sector.
To address the crisis, CONFED has been in talks with the SRA, Department of Agriculture (DA) and various industry stakeholders, although no consensus has yet been reached on a unified strategy. Proposals on the table include exporting 120,000–140,000 metric tons of “A” sugar, implementing a “Buy 4, Export 1” program, and adopting a government-subsidized sugar buying scheme.
Other recommendations include a 10% “B1” supply program for industrial users, a moratorium on sugar imports, and a government-backed “Purchase and Park” system wherein the Philippine International Trading Corporation (PITC) buys and stores raw sugar until market conditions stabilize. Direct subsidies for small planters and even calls for presidential intervention have also been raised.
Despite conflicting views among stakeholders, CONFED stressed the urgency of adopting both immediate and long-term measures to stabilize prices. It urged the DA and SRA to collaborate closely with political leaders and industry groups to protect the thousands of families that rely on the sugar sector.
Negros Occidental 5th District Rep. Emilio Yulo, reacting to the continued downtrend in sugar prices, called on stakeholders to “stop the bickering and help address the situation.”
He urged the SRA to “institute immediate measures to arrest the downward prices,” adding: “We want to see better prices by Thursday next week—that should be the end game.”
Yulo also appealed for relief for sugar farmers, especially smallholders who have borne the brunt of calamities, pest infestations, and now severely depressed prices. “They can barely make ends meet,” he said.
He noted that most disagreements stem from millers and large planters “who can afford to wait it out until prices improve,” unlike small farmers who lack that flexibility.
Yulo added that while some groups are calling for investigations and new policy directives, leaving the matter entirely to policymakers could delay solutions. “They are fond of debating issues,” he remarked./PN
