Solon sees pressure from industries that led to unauthorized sugar import order

Metro Manila (CNN Philippines, August 16) — The head of the congressional committee looking into the sugar importation mess believes pressure from several industries led a former official to sign the unauthorized order on behalf of President Ferdinand "Bongbong" Marcos Jr.

San Jose Del Monte City Rep. Rida Robes, who chairs the House Committee on Good Governance and Public Accountability, recounted to CNN Philippines' The Source on Tuesday what transpired in the joint briefing with the Committee on Agriculture and Food and other government agencies on the controversial Sugar Order No. 4 signed by Sugar Regulatory Administration (SRA) board members.

The order allows the importation of 300,000 metric tons of sugar. It was signed by then Agriculture Undersecretary for Operations Leocadio Sebastian, even without the express approval of Marcos, who also serves as Agriculture Secretary and SRA chairperson.

Robes said Sugar Order No. 4 would cost the government a hefty ₱9 billion.

Press Secretary Trixie Cruz Angeles earlier said the order was "illegal," and Sebastian was not authorized to sign it. 

"In my assumption, I think there is pressure from several industries. Hindi niya (Sebastian) dapat ginawa iyon (he should not have done that), it is beyond boundaries," Robes said.

"Kahapon when he was delivering his speech towards the committee parang masyado siyang determined sa sinasabi niya. Para sa akin, nagkamali ka na nga, nagsorry ka na nga, pero you keep on pushing that it was known. I don't think so," she added. "Unang-una nakakausap niya ang Pangulo, nagrereport ka every day. Bakit kailangan mo ipirma ang Pangulo?”

[Translation: Yesterday, when he was delivering his speech towards the committee, he sounded very determined. But to me, you already committed a mistake, you said sorry, but you keep on pushing that it was known. I don't think so. First of all, you get to talk to the President, you report every day. Why would you sign on his behalf?]

Robes added there is a need to also review Sugar Order No. 3, which allows the importation of 200,000 MT of refined sugar exclusively for industrial users. She said its implementation would be a big loss for farmers, workers and investors.

A court in Negros Occidental in February issued a temporary restraining order against that SRA directive, but Senate President Juan Miguel Zubiri said importation continued.

Zubiri — who is calling for a parallel investigation on the issue in the upper chamber —noted on Monday that nearly 127,000 MT of sugar imported under Sugar Order No. 3 are still languishing in warehouses. Citing internal documents from the SRA, Zubiri said more than 172,016 MT of sugar have entered the country under Sugar Order No. 3. He questioned the need for more importation.

During Monday's hearing, Cornelio Toreja of the Luzon Federation of Sugar Producers Inc. (Luzonfed) said the group agrees on the need to import refined sugar to address high prices and stabilize supply. He said it "would ensure great impact on domestic market rather than simply lowering production cost of the specific sectors."

Data from the Department of Agriculture showed the retail price of refined sugar has skyrocketed to ₱100/kilo, ₱75/kilo of washed sugar, and ₱70 for brown sugar in Metro Manila.

Aside from Sebastian, SRA board member and millers' representative Atty. Roland Beltran, as well as Sugar Regulatory Administrator Hermenegildo Serafica have tendered their resignation after signing Sugar Order No. 4.

Robes said respondents involved in the issue were invited to physically attend the hearing on Monday, August 22. Those who would fail to attend will be cited in contempt or will face charges, she warned.