Bukidnon planters seek fixed price for raw sugar

VALENCIA CITY, BUKIDNON, Philippines — A key leader of the sugar sector in Bukidnon province on Wednesday urged industry regulators to peg raw sugar prices to at least P2,800 per 50-kilogram bag for farmers “to earn fairly” as the province prepares for an early milling season amid fears of a severe impact of the El Niño phenomenon on sugarcane farms.

Quezon Mayor Pablo Lorenzo III, president and chair emeritus of the Associated Bukidnon Sugarcane Farmers Inc. and ABS Farmers Multi-Purpose Cooperative, urged industry regulators to immediately overhaul current pricing mechanisms to protect farm-gate values. His group represents 9,786 planter-members.

Lorenzo noted that a price of P2,800 per sack of raw sugar “would be fair to farmers.”

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READ: Raw sugar imports threaten local industry, Bukidnon planters warn

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He warned that projected output drops for crop year 2026-2027 leave local growers vulnerable to market distortion and cheap imports.

Aside from pegging a minimum price of raw sugar, he called on regulators to guarantee domestic raw sugar allocations and decouple mill-gate (raw sugar) prices from refined sugar benchmarks.

“Because of the low expected production this crop year of only 1.662 million metric tons (MT) of raw sugar, we must ensure that 1.2 million MT is kept for domestic raw sugar consumption,” Lorenzo stressed. “Otherwise, there could be importation of cheap raw sugar, which will directly and negatively affect the price farmers are paid for their production.”

He highlighted a stark disparity between rising retail consumer costs and the stagnant compensation handed down to sugarcane cultivators, noting that the current pricing model unfairly shortchanges small producers.

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“At this time, the price of refined sugar largely dictates the price of raw sugar, from which it is made,” Lorenzo told the Inquirer.

“Yet, if you compare the retail price of raw sugar versus the price paid to farmers, there is a wide gap, meaning the market can absorb higher prices for producers. Conditions are now right for decoupling the price of raw from refined,” he said.

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While Bukidnon planters await the opening of local mills to determine their mill-gate rates, sugar hubs in Visayas have already set strong initial benchmarks.

Negros Island officially opened its 2026-2027 crop year on Oct. 1, with opening mill-gate prices hitting at least P2,500 per sack. /cb