Sugar MAV Allocated for Three Importers

According to documents from the Department of Agriculture (DA), only three importers were approved to import sugar via the minimum access volume (MAV) mechanism.

The documents from the DA showed that the beginning year pool (BYP) for sugar MAV was given to three importers that were tagged as “new entrants”

The three importers are San Fernando Eric Commercial Inc., Leslie Corp., and Agro Bulk Marine Corp. These importers have already been previously accredited for years.

Leslie Corp received an allocation of 500 MT, while San Fernando Eric Commercial Inc. and Agro Bulk Marine Corp. both received 31,775 MT.

These three importers are allowed to import sugar classified under the harmonized system code (HS) 1701, which would encompass beet sugar, cane sugar, and raw sugar.

Leslie Corp. is a food manufacturer well-known for local brands such as Cheezy and Clover Chips. Agro Bulk Marine Corp. and San Fernando Eric Commercial Inc. are also registered importers of rice.

Several government officials and sugar industry stakeholders did not expect the DA’s decision to open MAV for sugar as this has not been used for over two decades.

Before this, the sugar MAV was opened last 2002 via a sugar order issued by the SRA.

The MAV is a trade mechanism that permits the importation of agricultural goods with a reduced tariff. Out-quota or imports outside the MAV are given higher tariff rates.

For sugar, those imported with MAV are given a 50% tariff while out-quotas are given a 65% tariff.

Source: Business Mirror