DTI Approves 1:1 Sugar Importation for Food and Beverage Makers

The Department of Trade and Industry (DTI) approves allowing food and beverages manufacturers to import “1:1” or 50% of their requirements for sugar while the other half would be purchased from local producers.

DTI Secretary Alfredo E. Pascual said that food and beverage firms are now allowed to import sugar for use and highlighted that this is a “one is to one basis”. One unit is from imports and another from local makers.

Sec Pascual has also said that a solution to the country’s sugar shortage is to determine the real demand for the Philippines’ sugar requirements as he also cites sugar hoarders and raids in warehouses.

A government task force is already working on the sugar issue and Sec Pascual has mentioned that he does not want to preempt because sugar falls under the responsibility of the Department of Agriculture.

However, DTI has been tapped to aid in the supply and price monitoring of sugar in supermarkets.

In the meantime, Sec Pascual has informed manufacturers to look into the possibility of implementing cross-subsidy in the area of pricing basic necessities and processed goods.

“I am not saying they increase the prices of the premium products, just balance the distribution of cost variables to premium products to maintain the price of the mass market variant and still maintain overall profitability, says Sec Pascual.

On the topic of big bakers such as Pinoy Tasty and Pinoy Pandesal asking for a price increase, Pascual has said that DTI is still reviewing the request and uses a formula to check whether a price adjustment is necessary.

Source: Manila Bulletin