UNIFED urges DA and SRA to intervene amid sugar price crash

“This is an artificial price. “Someone is manipulating the market and immediate intervention is crucial to stop the current downward trend in sugar prices.”

This was the statement made by United Sugar Producers Federation (UNIFED) President Manuel Lamata in response to a significant drop in milling prices, which resulted in a loss of around P100 per 50-kilogram bag of sugar. this week.

“We urge the Department of Agriculture (DA) and the Sugar Regulatory Administration (SRA) to immediately intervene and uncover the culprits behind this situation,” Lamata emphasized.

UNIFED suspects that traders are artificially lowering prices to make profits at the expense of sugar producers. “These traders should be exposed,” Lamata said.

He also noted that while milling prices are falling, retail prices remain stable and may even increase due to the upcoming holidays, which could lead to higher profits for traders.

“I am urging farmers to hold on to their sugar until prices stabilize,” Lamata added, acknowledging that this is easier said than done, especially for small farmers who rely on weekly sales. “We may all have to tighten our belts to avoid being exploited by these unscrupulous traders.”

Last Thursday, milling prices averaged P2,500 per bag of sugar, far from the P2,800 per bag that farmers expected to make a modest profit. Since the start of the milling season, prices have fluctuated erratically, raising suspicions of manipulation that does not align with supply and demand trends.

“We need the DA and SRA to intervene and stabilize sugar prices at a reasonable level to avoid further losses, especially with the added challenge of reduced sugar purity due to the prolonged drought,” Lamata added.

Lamata suggested that if the government intervenes by purchasing sugar directly from farmers, it could eliminate traders and sell it directly to consumers, which would help stabilize the market.

“We fear that if this downward trend continues, it will have a severe impact on our small farmers, who represent more than 80 percent of the industry. “These farmers were hoping for a better Christmas season, especially after dealing with increased production costs caused by the long drought,” he said.