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If confiscated sugar is handed away for free, farmers would suffer — Palace

Instead of giving away captured illegal sugar, the government has opted to sell it at reasonable rates because doing so may cause an artificial price decline that might harm small sugar growers, Malacaang said on Tuesday.

The Presidential Communications Office (PCO) stated in a statement that President Ferdinand R. Marcos Jr. had authorized the Sugar Regulatory Authority’s (SRA) suggestion to sell seized, illegal sugar at PHP70 per kilo in Kadiwa stores.

According to the most recent price monitoring report from the Department of Agriculture (DA), sugar is now priced between PHP86 to PHP110.

The PCO stated that Marcos also instructed DA and SRA to work with the Bureau of Customs (BOC) and other organizations in order to make sure the seized sugar complies with current international safety and quality requirements.

The PCO stated that confiscated agricultural items, such as sugar, may be gifted to another government agency, declared for official use, or sold at a public auction, citing Section 1141 of the Customs Modernization and Tariff Act of 2016.

The Department of Social Welfare and Development may potentially receive them as donations.

However, the PCO claimed that doing so would cause sugar prices to fall and hurt the regional sugar sector.

“Ipamigay ito ng libre direkta sa mga nangangailangan, kailangang isaalang-alang ang industriya ng asukal, kasama ang mga maliliit na magsasaka, naisin mang ipamigay ito. Despite our desire to give it away for free to the needy directly, one must take into account the sugar business, particularly the small producers. The statement added, “Giving out sugar for free will lead to an artificial decline in price that will harm our compatriots in the sugar sector.

The PCO claimed that the wisest course of action was to sell the seized sugar for less money.

“Ang Kadiwa Center is a DA programme. (The DA’s Kadiwa Center is a programme.) Isa sa mga layunin ng programang ito ay ang makapaghatid sa publiko ng mas abot-kayang mga pangunahing bilihin kumpara sa presyo sa mga karaniwang pamilihan. To make basic commodities more accessible to the public at lower prices than those found in the common marketplaces is one of this programme’s goals, the PCO stated.

The Kadiwa ng Pangulo pop-up stores, which were introduced in November of last year, cut out middlemen in the distribution of agricultural goods from farmers to consumers, enabling the sale of food and agricultural goods at lower costs.

The idea for kadiwa stalls originated with Ferdinand E. Marcos Sr. and Imelda Romualdez Marcos, the late former president and first lady of the Philippines.

Earlier, Pablo Luis Azcona, a member of the SRA board and a representative of the planters said that a total of 12,000 metric tonnes (MT) of illegally obtained sugar may be sold at Kadiwa stores.

Approximately 4,000 tonnes of sugar were seized in Subic, and at least 8,000 tonnes were seized in Batangas.

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