The Philippine Sugar Millers Association (PSMA) said the country currently has enough refined sugar supply, even as demand for locally produced sugar has weakened.
Based on industry data as of May 3, 2026, local refined sugar production reached 11.092 million 50-kilo bags, up 7.06 percent from 10.360 million bags during the same period last year. PSMA said this reflects improved refinery operations and stronger processing capacity.
However, despite higher production, demand for locally refined sugar dropped by nearly 12 percent compared to last year. At the same time, withdrawals of imported refined sugar rose by about 25 percent, or 1.042 million bags.
PSMA warned that continued imports, combined with slower local demand, could hurt domestic sugar producers because excess local inventories may remain unsold. The group also noted that around 2.908 million bags of imported refined sugar remain in storage, 68 percent higher than last year’s carry-over inventory.
Despite this, PSMA assured consumers and food manufacturers that sugar supply remains stable and sufficient for the rest of the year. Current retail prices in Metro Manila remain at around P80 per kilo for refined sugar, P75 for washed sugar, and P70 for brown sugar.
Significance
The report highlights a growing imbalance in the Philippine sugar market: production is increasing, but local demand is slowing while imported sugar continues to enter the market. This could put financial pressure on local sugar producers and millers if inventories continue to pile up. At the same time, consumers are unlikely to face sugar shortages or major price spikes in the near term due to the strong supply situation.
