New threat for Sugar Industry: HFCS users to construct own processing plants

April 8, 2017

Gilbert P. Bayoran (The Philippine Star) | https://goo.gl/7toUeu

BACOLOD CITY, Philippines — The sugar industry is now facing another threat to its future: Users of high fructose corn syrup (HFCS), instead of importing it that drew protests from sugar stakeholders, will build their own processing plants of the substance right here in the country, most likely in Mindanao, where corn production is abundant.


This was disclosed by Bukidnon Governor Jose Zubiri, a sugar planter himself, who on Thursday met with various leaders of the sugar industry in Negros Occidental.

“Once they (HFCS users) start constructing HFCS processing plants, we are screwed up,” said Zubiri, who earlier arranged a dialog between leaders of the sugar industry and President Rodrigo Duterte in Davao City.

That meeting led to the issuance of Sugar Order No. 3 by the Sugar Regulatory Administration, regulating the importation of the lower-cost HFCS into the country because it drove sugar prices down, as a result.

Zubiri said that multi- national companies—when the establishment of HFCS processing plants materializes—want the sugar and corn industries to fight each other.

“This would spell the demise of the country’s sugar industry,” said the governor whose son, Senator Juan Miguel Zubiri supported the Senate inquiry on the use and importation of HFCS by the beverage companies in the country.

The elder Zubiri said he is now proposing for a meeting of all stakeholders of the sugar industry in Negros after the milling season ends in May. “We have to do something about it as soon as possible," he said.

During the recent meeting, Zubiri said the sugar industry players will invite Agriculture Secretary Emmanuel Piñol to grill him, and to hear his plans for the sugar industry.

In Bukidnon alone, Zubiri said 90,000 hectares of land have been planted with corn, compared to 60,000 hectares of sugar.

“The influx of multi-national companies in Bukidnon is increasing, especially those engaged in planting pineapple and banana, as they are offering to rent areas and willing to give P40,000 per hectare annually, with five years in advance payment and a year of signing bonus,” the governor said.

“The sugar industry in Bukidnon is not only fighting for prices, but also for its existence,” Zubiri said, while noting that prices of sugar in Bukidnon is lower than in Negros.

During his recent meeting with President Duterte in Bukidnon, Zubiri said, " He (Duterte) told me that he will not allow a 6-month allowance for the beverage companies to pull out from the Customs 373,138 metric tons of HFCS," and after that “they will not be allowed to import it anymore otherwise they will have to pay huge tariff charges."

However, lawyer Emilio Yulo, spokesperson of the Sugar Alliance of the Philippines (SAP) said they will still have to seek a clarification "when the the six-month period starts."

Yulo said, "Our position right now is that it should begin when the milling season start and that only those imported before the March 10 implementation of SO 3 will be released."

Zubiri further said that Secretary Piñol—whom he said was not answering his calls—"has no right to negotiate with the beverage companies. Piñol should respect the sugar industry and its stakeholders.”

The governor said, " Give me a reason why you (Piñol) favor multi-national corporations rather than our (sugar) industry?" He added that one million Filipinos rely on sugar for their livelihood. (FREEMAN)