‘Get tougher on sugar cartels’
Credit to Author: Eugene Y. Adiong| Date: Fri, 22 Nov 2019 16:15:07 +0000
A multi-sectoral organization of stakeholders in the sugar industry has called on the national government to implement stricter measures against cartels and traders.
“The presence of cartels and middlemen has long been a problem of the industry as it has a disastruous effect on sugar prices which directly impacts us, sugar producers,” Raymond Montinola, convenor of Tatak Kalamay, said over the weekend.
Montinola’s statement was in reaction to those made by Socioeconomic Planning Secretary Ernesto Pernia who “blamed the cartel system for the high prices of sugar.”
Pernia, also director-general of the National Economic and Development Authority, said many people were involved in the trading of the staple and must be investigated.
“I think there’s too many handlers, too many middleman involved in the process,” he added.
On the Senate’s request to defer the liberalization of the sugar industry, Pernia agreed the government need not fully deregulate it.
“Well, we’ll probably do it slowly. We’ll try other steps first. If they succeed, then there may be no need for full-scale liberalization,” he said.
Last week, senators asked President Rodrigo Duterte, through Resolution 213, “not to pursue the planned liberalization,” warning that it would negatively affect on sugar farmers and industry workers in 20 provinces
Winnie Sancho, convenor of Save the Sugar Industry Movement, said, “Probably, [Pernia] is right, it is the sugar traders and cartels that were responsible for the increase of domestic or table sugar in the groceries and supermarkets.”
“The small farmers and producers have nothing to do and do not profit from it. While sugar liberalization is put on hold, we should be vigilant,” he added.
“It is not a time to rejoice because this is only temporary for now,” Sancho said.