The Sugar Regulatory Administration (SRA) has rolled out sweeping reforms since President Ferdinand Marcos Jr. took office in June 2022, helping stabilize sugar supply, temper price swings, and strengthen support for thousands of sugarcane farmers despite weather disruptions and volatile global markets.
SRA said its strategy combines tighter market regulation, carefully calibrated imports, and investments in farm modernization to ensure consumers have adequate sugar supplies while protecting producers from sharp declines in farmgate prices.
Among the most significant policy changes was directing that 100 percent of locally produced sugar be reserved for the domestic market beginning with crop year 2022-2023. The move temporarily suspended the traditional allocation of sugar for export and reserve markets, ensuring the country’s harvest remained available for Filipino households and food manufacturers.
“These reforms are about creating a stronger, more resilient sugar industry that can withstand climate shocks and market volatility,” SRA Administrator Pablo Luis Azcona said. “Our goal is to protect our farmers, maintain a stable supply for consumers, and build an industry that can continue growing for generations.”
When typhoons and the El Niño phenomenon reduced local production, the SRA complemented domestic output with calibrated import programs. Instead of allowing unrestricted imports, the agency authorized only enough refined sugar to bridge supply gaps and prevent shortages without depressing farmgate prices.
The regulator also introduced an innovative incentive program that encouraged traders to purchase locally produced raw sugar at premium prices. In return, participating traders received priority access to future import and export allocations, helping stabilize farmers’ incomes while ensuring adequate sugar supplies for the domestic market.
To raise production without expanding farmland, the SRA shifted the sugarcane cropping calendar from Sept. 1-Aug. 31 to Oct. 1-Sept. 30. The additional month allows sugarcane to mature longer, increasing its sugar content and enabling mills to extract more sugar from every ton harvested.
The agency also expanded oversight of alternative sweeteners and sugar substitutes by requiring importers of products such as glucose, dextrose and sugar syrups to register and secure SRA clearance before customs release. It likewise tightened regulations on molasses imports to support local producers and ensure adequate supplies for the domestic bioethanol industry.
Beyond market reforms, the SRA invested heavily in farm mechanization. Through assistance from the Japanese government and locally funded programs, more than 160 tractors, hundreds of farm implements, mechanized planters and hauling trucks were distributed to farmer cooperatives and associations, helping lower production costs and improve efficiency.
Agriculture Secretary Francisco P. Tiu Laurel Jr. said the reforms underscore the Marcos administration’s commitment to building a food system that benefits both producers and consumers.
“When farmers become more productive and earn more from their harvests, consumers also benefit through a more stable food supply and more affordable prices. These reforms strengthen our food security while creating a more competitive and sustainable sugar industry,” he said.
Taken together, the reforms represent one of the most comprehensive overhauls of the sugar sector in recent years. By balancing supply, supporting farmers, modernizing production and improving market efficiency, the SRA is laying the foundation for a more resilient industry that contributes to rural development, stable food prices and the country’s long-term food security goals.
