Majority of producers, millers push measures to boost industry’s productivity

January 11, 2023

(L-R) PSMA Exec. Director Atty. Jesus L. Barrera, PANAYFED president Danilo A. Abelita, NFSP president Enrique D. Rojas and CONFED president Aurelio J. Valderrama, Jr., who represent the substantial majority of sugar producers and millers in the country, sign the joint position paper calling for amendments to the Sugarcane Industry Development Act to improve farm productivity and mill efficiency, in response to the call of Pres. Ferdinand Marcos, Jr. to boost productivity in the sugar industry.*

In response to the call of President Ferdinand Marcos, Jr. to boost productivity in the sugar industry, the majority of sugar producers and millers submitted a joint proposal which contains measures to improve farm productivity and mill efficiency.

The measures call for amendments to the Sugarcane Industry Development Act (SIDA) of 2015, particularly the increase in annual SIDA funding from P2 billion to P5 billion, the creation of a dedicated SRA-SIDA Program Management Structure focused on the implementation of SIDA-mandated programs, and the institutionalization of the Stakeholders’ Consultative Assembly (SCA) and Sugar Industry Development Council (SIDC).

Aurelio J. Valderrama, Jr. of the Confederation of Sugar Producers’ Associations (CONFED), Enrique D. Rojas of the National Federation of Sugarcane Planters (NFSP), Danilo A. Abelita of the Panay Federation of Sugarcane Farmers (PANAYFED) and Atty. Jesus L. Barrera of the Philippine Sugar Millers Association (PSMA) signed the joint position paper, which they will submit to congressmen, senators and Agriculture officials.

The CONFED, NFSP, PANAYFED and PSMA represent the substantial majority of sugar producers and millers in the country.

The SIDA mandates an annual allocation of P2 billion for the sugar industry’s productivity improvement programs, as follows: 50% for infrastructure support, 15% for grants to block farms, 15% for socialized credit for farm support and farm mechanization programs, 15% for research and development, capability building and technology transfer activities, and 5% for scholarship grants.

Under the group’s proposal, the annual SIDA fund should be increased to P5 billion, broken down as follows: 40% (P2 billion) for Farm Productivity Improvement, 20% (P1 billion) for Mill Efficiency Improvement, 20% (P1 billion) for Infrastructure Support (Farm-to-Market Roads & Bridges), and 20% (P1 billion) for Cane-Transport Systems Upgrading.

The producers also pushed for the creation of a full-time SRA-SIDA Program Management Structure to enable efficient, timely and effective implementation of programs with clear lines of responsibility.

Program Management Teams headed by Project Management Officers under an SRA-SIDA Program Coordinator shall be hired to manage the different program components. The SRA Administrator shall perform overall supervision of SIDA programs, and submit required performance or accomplishment reports to concerned agencies.

Moreover, the group proposes the institutionalization of the Stakeholders’ Consultative Assembly (SCA) and Sugar Industry Development Council (SIDC).

The SCA shall be composed of SRA-accredited representatives from participating and/or concerned sectors, and shall be consulted on the revision of SIDA Implementing Rules and Regulations and the promulgation of policies and regulations directly affecting the industry.

On the other hand, the SIDC shall be composed of industry experts and reputable stakeholder institutions (and consultants when allowed and necessary) under the direction of SRA, to review and assist in the formulation of Plans, Programs, Policies and Industry Development Strategies* (Butch Bacaoco)