THE Sugar Regulatory Administration said the drop in sugar yields has been holding steady since October, adding that it nevertheless expects to hit its 1.78 million metric ton (MMT) target for the crop year.
“We are currently about 11% down on LKGTC (50-kilo bag of sugar per ton of cane), and we have not seen a significant change in the percentage,” Administrator Pablo Luis S. Azcona told reporters.
Sugar production during the current crop year, was 1.01 MMT as of Feb. 16. The crop year runs from September to August, meaning that cane being grown starting last year experienced the tail end of the El Niño dry spells and the subsequent La Niña, which brought heavier-than-usual rains.
“The percentage decrease in yields has been the same since October,” he added.
Mill production fell 27.68% year on year to 1.01 MMT between Sept. 1 and Feb. 16. Output during the previous full crop year had been 1.92 MMT.
“The main factor that we are anticipating is the El Niño damage,” Mr. Azcona said.
He noted that the harvest in northern Negros has been delayed by rains, giving the final output numbers some upside that makes hitting the 1.78 MMT target possible.
“You move a bit south (in Negros), it’s already dry,” he said, facilitating the harvest there.
Mr. Azcona said big farms, which account for only 10% of the industry, are doing very well in terms of tonnage due to their access to water.
“The 85% do not have access to water. The other problem with the unirrigated farms is their costs this year are very high,” he said, noting that such farms planted and fertilized twice.
“They planted let’s say in October, and had to replant in May,” he said. — Kyle Aristophere T. Atienza
