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Sugar smuggling using ‘recycled’ permit,foiled
By Nidz Godino
“Initially, the said cargo vessel was allowed to discharge its load at 11in the morning, cleared by SRA and BOC, because it was not covered by failed attempt to import 300,000 MT of sugar… means recycled permit was from an old allocation,” Customs Intelligence and Investigation Service (CIIS) officer-in-charge Joeffrey Tacio said agents from Bureau of Customs (BOC) have prevented alleged smuggling of 7,021 metric tons of sugar after they learned import permit was “recycled.” A news release issued by the Office of the Press Secretary said acting BOC Commissioner Yogi Filemon Ruiz reported “attempted smuggling” to Executive Secretary Victor Rodriguez, who has tasked BOC to exercise visitorial powers in sugar warehouses upon orders from President Ferdinand “Bongbong” Marcos Jr.
Tacio said cargo was covered by “Special Permit to Discharge (SPD) and Verified Single Administrative Document (SAD)” from BOC, having verified clearance from Sugar Regulatory Administration (SRA) through certain Rondell Manjarres.
Ruiz, for his part, directed BOC in Subic Port to take under its custody 19 crew members of the cargo vessel that was found to be loaded with white refined sugar from Thailand.
The sugar shipment was equivalent to 140,000 bags and has total tax payment value of P45,623,007.51, authorities said.
Meanwhile, Rodriguez’s office also received reports about similar modus in which “recycled import permits” were allegedly used to smuggle sugar last week.
Rodriguez’s office identified individuals who allegedly control Subic Port, including a certain Buboy and Reggie, who both use “Kysse Lish” and “Foxxie” as consignees.
“This is clearly economic sabotage and this crime is non-bailable,” the report from Rodriguez’s report stated.
On the other hand, Press Secretary Trixie Cruz-Angeles warned that heads would roll in BOC if proven that its port personnel are “in connivance with smugglers using recycled sugar import permits.”
She also disclosed that at least one of the warehouses recently inspected by BOC was not registered with SRA.
“Suspicions were raised when owner claimed that the stock pile was result of slow sales…matumal daw,” Cruz-Angeles said.
“In the averted shipment, they use Sugar Order No. 3. If this is true, the immediate release of Sugar Order No. 4 has become more suspicious” she stressed.
Sugar Order No. 4 was branded as illegal by Malacañang as president Marcos, who sits as Department of Agriculture secretary, has rejected proposal to import 300,000 metric tons of sugar.
Cruz-Angeles had said president Marcos did not approve meeting of SRB regarding the said importation.
The proposal to import around 150,000 metric tons of sugar in the country was agreed upon during President Marcos, Jr.’s meeting with stakeholders, Malacañang said.
Angeles said proposed sugar imports would be needed by industry players in commercial quantities.
Asked if the Palace confirms agreement to import 150,000 metric tons of sugar, she said, “Iyan po ang proposed na quantity for importation gawa nga ng pangangailangan ng mga industrials na tinatawag ng ating Pangulo.”
“Some jobs are dependent on their continued production…so, yes po, kino-confirm natin na iyon ang proposed amount, 150,000 metric tons,” she added.
Senate President Juan Miguel Zubiri president Marcos’ consultation with farmers, millers, sugar workers, and refiners in Malacañang, they reached a “consensus” to import 150,000 metric tons of sugar based on “data on the remaining demand.”
This is half of what SRA canceled resolution that aimed to import around 300,000 metric tons, an idea that president Marcos disapproved.
The “illegal” approval led to the resignation of 3 key officials from the SRA in the past week. They are currently being investigated.
“There were other initiatives recommended to the President to ease increase of sugar prices but we will let the President make the announcement at the proper time,” said Zubiri in a Facebook post.
“What is important is that all stakeholders came together to propose concrete short term and long term solutions on the sugar situation…looking for ‘sweet spot; between producers and consumers,” he added.
Cruz-Angeles said there was no information yet regarding when this would be imported.
Zubiri said it was president Marcos who sought meeting with stakeholders of the local industry.
“Ang hiningi ng president ay ‘yung mga information na kailangan nya, para maka-desisyon sila kung may kulang ba ng asukal sa bansa, meron ba tayong sapat na suplay at kung gaano kalaki ang demand,” Zubiri said in a phone interview.
The importation of 150,000 tons may start “before the milling starts fully” in October to help industrial users who need that sugar, he added.
The group’s main recommendation to the President, he said, was to allow industrial and users to now directly import sugar, instead of the current system that solely authorizes the SRA to do such task.
“Kasi ang nangyayari ngayon, kung merong allocation ang isang industrial user, hindi lahat ibinibigay sa industrial user,” Zubiri said.
Such situation gives no option to the industrial user to buy sugar “outside” at a higher price, the senator said.
Portion of these imports also land in the hands of unscrupulous traders who sell commodity at a higher price.
Zubiri said practice is a clear case of “technical smuggling.”
“Ang suggestion namin sa Presidente para wala nang tong-pats… just give import order sa mga end-users, yung talagang gagamit ng asukal… para hindi na sila dadaan sa government agency,” he said.
“Kailangan pa rin ng traders ng import permit from SRA… but end user now ang magi-import…either sila mismo ang magi-import, or pwede silang makahanap ng trader at ibigay ang allocation na yan para mag-import para sa kanila,” he added.
The higher sugar prices were brought by typhoons Agaton and Odette that hit the country, thus resulting in a shortage of 500,000 metric tons.
The senator is confident that sugar prices will eventually go down when harvest season starts in October.
No more importation will happen starting October, he said, but noted that the country will face a “minimal shortage” of around 100,000 metric tons of sugar in household use until September.
He also said SRA’s Sugar Order No. 3 approved total of 200,000 metric tons will enter country anytime soon.
“Ang plano po ni Presidente at ang gusto pong i-endorse sa ating mga stakeholders kay Presidente, na mag-allocate na galing sa Sugar Order No. 3 which is 200,000 metric tons, reclassify it for domestic use,” Zubiri said.
“The President within today or tomorrow, will make an announcement on behalf of the sugar industry and government on mitigation measures, to mitigate high prices of sugar,” the senator added.
“I’m assuring the public that stakeholders of the sugar industry fully supports President on his move to temper prices…nakahanap po tayo ng sweet spot ‘ika nga hindi po magiging apektado ang ating consumers.”
Despite their productive meeting with Chief Executive, Zubiri is still looking forward to attending investigation of Senate Blue Ribbon Committee on Aug. 23.
The probe will center on SRA’s unauthorized sugar import or the Sugar Order Number 4 despite a standing temporary restraining order from the court.
The alleged violation of the Anti-Graft and Corrupt Practices Act and “usurpation of duties” inside SRA should no longer be repeated, he said.
“It’s to teach government agencies to be more careful and more diligent…we have to teach these government agencies a lesson,” Zubiri stressed.
“Huwag naman…pag ganyan lang po, mag-resign na tapos wala na pong parusa yan at walang investigation, baka lahat ng nagnakaw sa gobyerno, gagawin lang nila mag-resign lang sila, tapos na ang boxing…hindi pupwede,” said the lawmaker.
“Pag nagkaroon po ng ganoong klase ng malfeasance, misfeasance, possible violations of law, we have to investigate and cases have to be filed… kasi pag hindi po natin ginawa yan, hindi matatakot yung mga ganung klaseng unscrupulous individuals and public servants.”
President Marcos, during his vlog over the weekend, said government plans to start sugar imports by October to keep prices steady.
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