SRA board member Roland Beltran said unforeseen events—especially the spread of the new coronavirus disease—were not factored in the forecasts, adding that “climate alone may prove or disprove predictions.”
While higher sugar production is often a welcome development, the Confederation of Sugar Producers Association Inc. spokesperson Raymond Montinola said this could hamper operations if the pandemic would continue to persist. “Industries that use sugar have cut back their orders because of the pandemic since they have yet to exhaust their current supply. Almost all businesses are operating on a limited scale, and most of our production are committed for industrial use,” he said.
He added the increased demand for ethyl alcohol does not have a significant impact on demand, given that the raw material for manufacturing disinfectants is not sugar but its byproduct, molasses. Current prices have already reflected the industry’s plight as sugar prices at the mill gate already declined by 8 percent. The average rate for a ton of molasses, in turn, has increased by 13 percent.According to Montinola, most sugarcane workers are migrants from other provinces, but with various quarantine measures imposed across the country, the industry is seeing a possible shortage of workers.