Kilusang Magbubukid ng Pilipinas (KMP) warned that even with raw sugar imports on hold, decades of liberalized trade policies and the growing influx of artificial sweeteners continue to undermine the country’s sugar industry by steadily eroding demand for locally produced cane sugar.

Industry consultations and farmer testimonies show that tens of millions of kilograms of artificial sweeteners including sucralose, aspartame, acesulfame potassium, and high-fructose corn syrup have entered the Philippines in recent years, alongside more than 200,000 to 300,000 metric tons annually of other sugar-like products. This volume is equivalent to millions of sacks of “displaced sugar”, costing the industry billions of pesos in lost income.

“These imports enter under liberalized trade regimes while local farmers are forced to compete without any protection,” KMP said.

The impact is magnified in sugar-dependent regions like Negros, where declining prices have pushed mill-gate rates down to P2,000 to P2,150 per bag, far below production costs. Thousands of small farmers and planters are now operating at a loss, accelerating debt, land insecurity, and rural poverty.

KMP also criticized the Sugar Regulatory Administration’s (SRA) failure to proactively monitor and regulate substitute imports, noting that the scale of the problem only became widely acknowledged after repeated complaints from planters and workers. Government proposals such as buffer stocking, export quotas of 100,000 metric tons, and temporary buying programs are just stopgap measures that do not address the lingering issue.
Industry insiders estimate that imports of artificial sweeteners and similar substitutes have surged to levels equivalent to more than 500,000 metric tons of raw sugar or volumes large enough to significantly weaken demand for local products.

In a latest policy pronouncement, the Department of Agriculture on Monday said it is considering imposing higher tariffs on artificial sugars as an additional measure to boost demand for locally produced cane sugar. Agriculture Secretary Francisco Tiu Laurel Jr. has already discussed the idea with the Finance Secretary, signaling growing government understanding of the market pressures caused by substitute imports.

KMP said higher tariffs are not an assurance of protection for the local sugar industry, like what is happening to the domestic rice industry,” the group said.

As Congress reviews sugar policies, KMP urged lawmakers to include strict regulation of sugar substitutes, reverse trade commitments that weaken domestic agriculture, and abandon liberalization frameworks that have steadily dismantled the country’s sugar economy.

“Without reversing agricultural liberalization, no amount of temporary bans, buying programs, or tariff adjustments will save the sugar industry,” KMP concluded. ###