Tuesday, May 19, 2026
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Refined sugar output rises 7%, creates surplus

The Philippines’ refined sugar production increased 7.06 percent to 11.09 million 50-kilogram bags as of May 3, 2026 from 10.36 million bags a year ago, data from the Sugar Regulatory Administration (SRA) showed, leading to a growing supply surplus in the domestic market.

The rise in output occurred even as demand for locally produced refined sugar declined 11.96 percent and carry-over import inventories jumped 68 percent.

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Local refineries sought to raise capacity utilization to process raw sugar and meet market demand. SRA records showed local refineries can produce up to 19 million bags, or about 950,000 metric tons annually, which is equivalent to around 92 percent of total refinery capacity under favorable market conditions.

Despite higher production, demand for locally produced refined sugar weakened as withdrawals of imported refined sugar continued to rise. SRA data showed withdrawals of imported refined sugar increased by 1.04 million bags, or about 25 percent, from the same period last year.

Philippine Sugar Millers Association (PSMA) deputy director for programs Oscar Cortes said the domestic market should prioritize locally produced sugar, especially amid the current excess supply.

“While our refineries have improved production volumes this season, there has been no corresponding increase in market uptake for local refined sugar. Meanwhile, withdrawals of imported refined sugar continue to rise,” Cortes said.

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