MANILA – Senator Paolo Benigno Aquino IV on Wednesday reiterated his call for government to fast-track the full implementation of mitigating measures under the Tax Reform for Acceleration and Inclusion (TRAIN) law following the increase in the price of sugar.
According to reports, the price of raw (brown) sugar was at PHP54.15 per kilo as of June 19, 2018, up from the PHP47 a kilo in September 2017.
Meanwhile, the price of refined sugar rose to PHP64 from PHP53 for the same period.
The Sugar Regulatory Administration (SRA) said that this is due mainly to the decrease in sugar production this year, adding that it is currently considering measures, which include importing sugar among others, to bring down the price of sugar.
Aquino said that while it is the SRA’s mandate to monitor and maintain sugar prices, “the government must ensure that financial assistance and other mitigating measures under the tax reform program are rolled out immediately.”
He pointed out that rising sugar prices are compounding the woes of common Filipinos who are struggling with the rising prices of other basic commodities.
He said that the increase in price of sugar will also result in rise in prices of flour, bread and other sweetened products that are essential commodities to families.
“Wala na ngang ihihigpit ang sinturon ng mga mahihirap na Pilipino dahil sa TRAIN law, lalo pa silang mahihirapan kung tataas ang presyo ng asukal (There’s no more allowance for Filipinos to be austere because of the TRAIN law, they would suffer more if the price of sugar would soar),” Aquino said.
The lawmaker, who is one of four senators who voted against the ratification of the tax reform package, said that government must throw a lifeline to the struggling masses in the form of the immediate and full implementation of the mitigating measures under the TRAIN Law.
Mitigating measures under the tax reform program include the unconditional cash transfer program for poor families and the ‘Pantawid Pasada’ for jeepney operators and drivers among others.
“Kailangan na nila ng salbabida kundi tuluyan na silang malulunod sa mataas na presyo ng bilihin (They need a lifeline or else they would drown with the high price of commodities),” Aquino said.
Earlier, the SRA maintained that the surge in sugar prices was not due to the TRAIN law, but was the product of natural market forces at play.
SRA administrator Hermenegildo Serafica said that while production has gone down by 15 percent this year, demand for raw and refined sugar has risen by 13.64 and 20.41 percent, respectively.
He said that this was after drinks sweetened by high-fructose corn syrup were taxed PHP12 per liter under the TRAIN law.
Meanwhile, Aquino also renewed his call to the Duterte administration to support his measure that seeks to suspend and roll back the excise tax on petroleum products.
Under Aquino’s proposed measure, the excise tax on fuel under the TRAIN Law will be rolled back when average inflation rate surpasses the annual inflation target over a three-month period. (Jose Cielito Reganit/PNA)
