The Asociacion de Agricultores de La Carlota y Pontevedra Inc. (AALCPI) is recommending to maintain the status quo of sugar classification for the coming milling season.
AALCPI president Roberto Cuenca said in a press release that he is recommending to the Sugar Regulatory Administration, in its issuance of Sugar Order No. 1, to classify 95 percent of sugar produce as B and five percent as A sugar for this crop year which will start in September.
This percentage classification takes into consideration the present situation and the balance between ensuring sufficient domestic supply while maintaining the status quo of a readily available export market to the United States, Cuenca said.
“Although we like to have an all-B classification, we cannot be assured of the demand in these times and so we have to maintain the balance,” he added in the press release.
Cuenca also stressed that the A sugar quota should be “without replenishment rights.” This was in reference to the sugar order in the last crop year where SRA approved the importation of sugar as replacement for the US quota to address the gap in domestic supply.
He asked that “SRA should be on top of the situation” and make sure they have enough and accurate data “to determine if that classification is viable as we forge into the milling season.”
Cuenca said that demand for sugar usually peaks by December in time for the holidays and the second peak is towards summer.
“But given the present situation, if this continues, SRA must revisit the classification and respond to it accordingly,” he added in the press release.*
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