PCCI hails deferment of sugar order implementation

The deferment of the implementation of Special Order 6 of the Sugar Regulatory Administration, which protects local producers by strictly monitoring the entry of imported sugar-based products and alternatives that would have been detrimental to other legitimate industrial players was hailed by the Philippine Chamber of Commerce and Industry.

PCCI President Enunina V. Mangio welcomed the deferment saying that SRA “has listened to and considered valid the concerns of the sugar manufacturers and acted upon immediately on the postponement of the order’s implementation.”

Under SO6, SRA regulates the importation of sugar and sugar confectionery products with tariff headings 1701, 1702 and 1704.

Goods belonging to 1701 include sucrose, specialty sugar, flavored syrup while those under 1702 include so-called “other sugars” like lactose, glucose, maltose, maple syrup, honey and caramel. Additionally, commodities with tariff heading 1704 are sugar confectionery items such as chewing gum and white chocolate not containing cocoa.

In an earlier round table discussion (RTD) organized by the American Chamber of Commerce and Industry (AMCHAM), participants composed of food and beverage manufacturers, industry associations and chambers of commerce called on SRA to conduct proper consultation with stakeholders and Regulatory Impact Assessment (RIA) on any policy changes, as well as to align its regulations with the Anti-Red Tape Authority’s (ARTA) Ease of Doing Business for “simplified, efficient, and transparent governance.”

“There will always be good results in open dialogues and proper consultations. The government and private sector should work together for the benefit of both the local farmers and consumers,” Mangio was quoted as saying.

SO 6 was supposed to be implemented last February 1 but it was suspended, following concerns raised by sugar stakeholders on its impact to the industry.

Under SO 6, imported goods under Harmonized System (HS) codes 1701, 1702, 1704 will be slapped a clearance fee of P60 per metric ton (MT). These items include sucrose, lactose, maltose, glucose, maple syrup, honey, caramel, and sugar confectionery items, such as chewing gum and white chocolate not containing cocoa.