Senator Risa Hontiveros holds a press conference at the Senate in Pasay City on Tuesday, March 21, 2023. Courtesy of Sen. Hontiveros office
MANILA, Philippines — Senator Risa Hontiveros revealed on Tuesday that three sugar importers might get at least P7 billion in “super profits” by selling the sweetener at an “appalling” price.
The three importers that Hontiveros was referring to are the All Asian Countertrade, Sucden Philippines Inc., and Edison Lee Marketing Corporation. The three traders are led by the firm All Asian.
“All Asian, according to my sources, initially quoted a wholesale price of P85 per kilo. Why is this price so appalling?” Hontiveros said in a press conference.
“You can actually buy refined sugar wholesale for P25 per kilo in Thailand. Kung matino kang [if you are a decent] importer, you know that you would already get a decent profit if you sell sugar at P61, bayad na doon ang warehousing, duties, handling, at may maayos ka na na profit of P8 per kilo per industry standard at a wholesale price point of P61 [covering the warehousing, duties, handling and you’ll have an P8 per kilo profit per industry standard at a wholesale price point of P61],” she pointed out.
With the P85 asking price of All Asian, Hontiveros said that there is a P24 “super profit” per kilo.
She explained that if it is multiplied to 440,000 metric tons of sugar allocated to them, the three traders will get P10.5 billion. It could even be higher at P14 billion if they include a P8 standard profit per kilo on top of the “super profit.”
“Selling it at 85 pesos is nothing short of outrageous. Parang tumama ka ng 50 times sa super lotto ng hindi ka man lang tumataya [It’s like winning the super lotto 50 times over even without betting],” she said.
However, the opposition senator said the three traders agreed to sell sugar below P80.
Still, Hontiveros said that the traders will get at least P7 billion if the sugar is sold for P77 per kilo. If they add an P8 normal profit per kilo, profits can further balloon to P10 billion.
For Hontiveros, the selection of the three traders is “irregular.”
The opposition lawmaker further asked if it is normal to host sugar importers in Malacañang. Hontiveros was pertaining to a photo circulating online, showing the three traders posing with President Ferdinand Marcos Jr.
Last month, Hontiveros exposed an alleged government-sponsored sugar smuggling involving the three importers.