Title
Rules on exporting 'A' sugar to USA
Law
Sra Sugar Order No. 6 S. 1991-92
Decision Date
Jun 23, 1992
The Sugar Regulatory Administration establishes rules for the exportation of "A" sugar to the United States, detailing application procedures, shipping priorities, and compliance requirements to ensure quota fulfillment and prevent speculative practices.

Scope: “A” export sugar shipment rules

  • The order governs exportation of “A” Export sugar from the Philippines to the United States of America during any calendar year/quota period.
  • Sugar exports to the United States must comply with shipping schedules prescribed by the United States Department of Agriculture and the procedures in this Sugar Order.
  • Export participation is limited to sugar exporters who meet SRA registration requirements specified in the order.

Who may export and quota filling

  • Any sugar producer or trader duly registered with the SRA as a sugar trader during the crop year may export as a “Sugar Exporter.”
  • A Sugar Exporter may export during any calendar year/quota period upon compliance with the provisions of this Sugar Order.
  • During prescribed shipping schedules, a Sugar Exporter with ready “A” sugar must apply to the SRA for shipment by submitting all requirements required under the order.
  • SRA approves the Application upon compliance with this Sugar Order.
  • A Sugar Exporter’s allocation/booked tonnage is non-transferable.
  • If a Sugar Exporter is short of its allocation/tonnage or discontinues the same, the SRA reallocates the shortage.

Applications and required documents

  • A Sugar Exporter must submit to the SRA at North Avenue, Diliman, Quezon City:
    • an Application for Shipment of “A” Sugar (Annex “A”);
    • Quedan-Permits covering the sugar and listings thereof for verification; and
    • an Affidavit stating ownership of the sugar (Annex “B”).
  • Upon approval of the application, the Applicant is notified and must submit a document relative to its allocation/booked tonnage stating:
    • Quota to be Filled (including ordering such as 1st, 2nd, etc., when quarterly);
    • Quantity to be Shipped in metric tons and LKg;
    • FOB Value in U.S. Dollars;
    • Consignee;
    • Party to be Notified;
    • Name of Vessel;
    • Port of Loading;
    • Date of Loading;
    • Date of Departure; and
    • Destination.
  • The allocation/booked tonnage document must be supported by a copy of the Applicant’s Export Declaration.

Priority rules for sugar and exporters

  • Unshipped “A” sugar of a previous crop year receives priority status in filling the quota during the current crop year.
  • In filling any quarterly quota, quedanned sugar of the current crop year receives first priority.
  • Advanced-swapped sugar, when authorized, receives second priority only when:
    • no sugar of the current crop year is readily available; and
    • a reasonable undertaking for repayment is made.
  • The SRA determines which Application receives clearance for shipment based on:
    • priority rules under Section 4; and
    • first-come first-served where applicable.
  • If more sugar is available to fill the quota in a given period, any excess sugar over the quota is:
    • carried over to the next succeeding quarter; but
    • if it occurs in the last quarter, the excess is prorated by the SRA.

Withdrawal, transport, loading, and transshipment

  • “A” sugar may be withdrawn from mill warehouses only upon surrender of:
    • the corresponding quedan-permits; and
    • a certificate of clearance (withdrawal) issued by the SRA.
  • “A” sugar withdrawn must be:
    • transported directly to; and
    • loaded on vessels in the port of loading indicated in the Export Clearance issued by the SRA.
  • If transfer to a bulk sugar terminal is necessary prior to final shipment, the SRA may allow it upon application by the Sugar Exporter for whom certificate(s) of clearance (inloading/outloading) are issued.
  • The SRA-approved bulk terminal transfer requires that:
    • the “A” sugar is withdrawn from the mill warehouse in accordance with Section 6; and
    • the bulk sugar terminal submits two written reports to the SRA:
      • the first report on inloaded sugar within seven days from the date of clearance to inload; and
      • the second report on outloaded sugar within 15 days after departure of the vessel for the foreign port of destination.

Swapping/exchange of sugar types

  • The SRA may allow and approve swapping or exchange of “A” sugar with an equal quantity of “B” Domestic sugar, or any other class of sugar, to facilitate movement from mill warehouses to loading ports.

Sanctions and national-interest protection

  • If the U.S. sugar quota cannot be filled according to U.S. shipment schedules due to speculative practices by holders of “A” sugar quedan-permits or any other circumstance prejudicing the national interest, the SRA must take steps and impose sanctions necessary to ensure filling the quota.

Reporting requirements after shipment

  • After shipment to the United States is completed, each concerned Sugar Exporter must submit a written report to the SRA within 10 days.
  • After shipment arrives in the United States, each concerned Sugar Exporter must likewise report within 10 days, indicating:
    • actual inload weight;
    • polarization;
    • color;
    • premium;
    • penalties; and
    • other relevant details.

Policy of minimal regulatory participation; applicability

  • Sugar exporters are given every opportunity to make arrangements/schedules necessary to fill the quotas, subject to SRA approval.
  • The provisions of the Sugar Order apply upon failure of the sugar exporter to do so.

Amendments to inconsistent regulations

  • Provisions of Sugar Orders, circular letters, and/or other regulations contrary to or inconsistent with this Sugar Order are amended, modified, or revoked accordingly.

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