Millers ensure continued investment to improve domestic sugar production

The Philippine Sugar Millers Association (PSMA) said on Tuesday the industry would continue to invest to improve operations amid concerns about the country’s competitiveness and “aging” factories.

In a press release, the PSMA allayed concerns about the sugar industry’s ability and efficiency to produce raw sugar amid the country’s tight supply of the product.

“Unknown to many, the country’s sugar factories are being rehabilitated and modernized to cope with the changing market environment,” PSMA said.

PSMA added that the modernization of sugar factories started when the government decided to privatize state-owned factories and when the sugar industry was included in the Investment Priorities Plan (IPP) in the 1990s.

“In this period alone, factories have invested 20 billion pesos in new production systems and operations,” PSMA said.

The PSMA noted that the number of sugar factories in the country has been reduced to 28 from 41 in the 1990s.

“Most of those who didn’t implement the upgrades stopped working,” PSMA explained.

PSMA Deputy Director of Programs Oscar L. Cortes explained that the Sugar Regulatory Administration (SRA) tracks “all new equipment installed by factories.”

Cortes added that the year of establishment of a sugar factory “is not indicative of the state of the installed equipment and the technical performance”.

“Industry reports published by the SRA show that sugar recovery has increased from 78% in the 1990s to over 81% in the last three years,” PSMA said.

Earlier this month, the new SRA board revealed it would prioritize the country’s sugar self-sufficiency over security, as President Ferdinand R. Marcos ordered. Jr.

SRA board members, led by SRA trustee David John Thaddeus Alba, revealed that Marcos’s marching order is for the country to achieve self-sufficiency in sugar, which means reducing its dependence on imports.

Alba pointed out that the SRA would improve the country’s sugar production by providing “direct” services to farmers, especially land reform beneficiaries who have comparatively lower production.

Direct services, Alba explained, include advancing research and development, improving laboratory services, among others.

Alba added that the SRA will implement a “big brother, little brother” program that would allow for mentorship among cane growers, especially between those producing higher yields and those with lower yields.

My board member of the SRA. Mitzi Mangwag, who represents the milling industry, said she would advocate for more efficient sugar milling.

“To be more efficient, we need better quality rods. It takes two to tango,” she said. “We will work hard to overcome the challenges ahead so that the sugar industry is finally stable,” Mangwag added.