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The Department of Agriculture announced over the weekend that the ban on sugar imports will remain in place until December next year given higher domestic output
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DA will also strengthen monitoring of refinery operations to keep close track of inventories
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DA and the Sugar Regulatory Board are also finalizing a long-delayed regulatory framework governing molasses imports
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To stabilize prices and support farmers, the agencies will also roll out a government buying program for raw sugar
The Department of Agriculture announced over the weekend that the ban on sugar imports will remain in place until December next year, extending protection for local producers amid improving supply conditions.
“Based on the current outlook for sugar production and demand, a longer import moratorium than initially suggested is necessary,” Agriculture Secretary Francisco P. Tiu Laurel Jr. said in a statement, clarifying an earlier announcement that the moratorium will be in effect until September 2026, when the current crop year ends.
Citing higher domestic raw sugar output, Tiu Laurel stressed that the policy is aimed at prioritizing locally produced sugar and stabilizing the market.
READ: DA sets no sugar imports policy until mid-2026
As chair of the Sugar Board — the policymaking body of the Sugar Regulatory Administration (SRA) — Tiu Laurel said the DA will step up monitoring of refinery operations to maintain an accurate picture of standard and premium-grade refined sugar inventories.
Close tracking, he added, is critical to preventing supply distortions and speculative pricing.
“I have instructed SRA Administrator Pablo Azcona to closely monitor local sugar refinery production and provide regular updates, so we maintain an accurate picture of our standard and premium grade refined stocks,” said Tiu Laurel, noting that refined sugar is produced entirely from locally grown raw sugar.
Meanwhile, the DA and SRA are also finalizing a long-delayed regulatory framework governing molasses imports, a move expected to further shield domestic producers.
Under the proposed rules, molasses users will first be required to purchase and withdraw locally produced molasses. Only after those obligations are met — and based on a predetermined ratio — will imports be permitted, subject to SRA approval.
The planned system echoes the earlier Sugar Order No. 2 mechanism, which tied export and import privileges to actual purchases of local sugar.
According to Tiu Laurel, the approach reduced discretion in allocations, curtailed corruption risks, and boosted demand for domestically produced sugar, ultimately helping raise farmgate prices.
To stabilize prices and support farmers, the agencies will also roll out a government buying program for raw sugar, with purchases held as buffer stock for up to 90 days. Tiu Laurel said the decision followed months of consultations with industry leaders that failed to produce consensus, even as farmgate prices continued to fall.
“We’ve seen over the past two years that when a buying program is implemented, prices recover,” he said.
With the extended import ban and tighter rules on molasses, the DA said it is moving towards a more assertive stance on sugar policy, one that is based on data, curbs market abuse, and puts local producers first.
