Coca-Cola says industry needs 450,000 MT of premium refined sugar

Top soft drink maker Coca-Cola Beverages Philippines Inc. said Saturday the bottling industry would need 450,000 metric tons of premium refined sugar, on the heels of the government’s plan to import 150,000 metric tons of sugar to plug a shortfall in local supply. 

In a statement, Coca-Cola Philippines thanked President Ferdinand Marcos Jr., who is concurrently the head of the Department of Agriculture and chairman of the Sugar Regulatory Board, "for his immediate action in addressing the current shortage of premium refined sugar in the Philippines." 

However, the company said that "not all sugar is the same." 

“Food and beverage manufacturers need premium refined sugar to maintain high-quality products. This type of sugar is not the same sugar that is commonly used in households,” Coca-Cola Philippines said.

“We have shared with the President that the industry needs at least 450,000 metric tons of premium refined bottler grade sugar to utilize 100% of its manufacturing capacity for the balance of the year and serve the orders of customers who are depending on our products for their sales and income,” it said.

The Philippine Association of Stores and Carinderia Owners (PASCO) earlier said that the insufficient deliveries of soft drinks had negatively affected their sales. 

Coca-Cola Philippines, along with Pepsi-Cola Products Philippines Inc. and ARC Refreshments Corp., earlier said that the bottling industry is facing a shortage of premium refined sugar—a key ingredient in making their products. 

According to Coca-Cola Philippines, there is currently a 400,000 metric ton shortage on top of the initially projected 200,000 metric ton shortfall in local sugar supply for this year. 

It said this is based on a projected demand of 2.3 million metric tons for 2022 for the entire country, it said.

“Along with many other companies in the Philippine food and beverage industry beset by the difficulties brought on by the sugar shortage, we at Coca-Cola Beverages Philippines Inc. (CCBPI) are in the midst of implementing various efforts aimed at cushioning the business impact of the lack of premium refined sugar supply,” the company said.

“As always, we are keeping our consumers, customers, and our people front and center. We and the broader industry look forward to continuing to work with the President and all relevant government offices to address the situation and deliver a sustainable solution as we get back to delivering our full line-up of beverages and supporting the country’s economic recovery,” it added. —VBL, GMA News