Philippines: Sugar Semi-annual

FAS Manila adjusted marketing year (MY) 2023 raw sugar production down to 1.85 million metric tons (MT). The weather disturbances and low fertilizer application due to soaring fertilizer prices drastically affected sugarcane production in the Philippines. Post anticipates no sugar exports for MY 2023, following the recent Sugar Order (SO) No. 1 allocating all production to domestic consumption. Post forecasts imports of 75,000 MT of raw sugar and maintains 275,000 MT of refined sugar to achieve comfortable end-of-MY stocks and provide more bottler’s grade sugar. Importation of 150,000 MT of refined sugar was approved by President Marcos as stated in SO No. 2, which should be in country by November 15, 2022. Post revises sugar demand to decline to 2.2 million MT. The high prices during the first quarter of MY 2023 will result in a slowdown in consumption.