Santo Domingo.- From June 16 to September 11, the Dominican Sugar Institute (Inazucar) has approved three tariff quotas to import sugar to the Dominican Republic. The main objective is to meet domestic demand for sugar and create a reserve of this essential product.
The first tariff quota guarantees 75,000 tons of raw sugar to meet local demand from June to November. However, an additional 50,000 tonnes of raw and refined sugar imports were authorized in July. A further 20,000 tonnes of sugar were approved at the beginning of September, bringing total imports in the last three months to 145,000 tonnes.
Inazúcar explained that the quantities approved by the Board of Directors, along with existing sugar stocks in the mills, will be sufficient to cover internal demand until the next sugar harvest in 2023-2024, scheduled for December.
As of now, Inazucar has announced the arrival of 20,000 tons of raw sugar on September 4, received at the port of La Romana.
These tariff quotas have been introduced to ensure stable supply and price stability in the sugar market. Sugar production was initially affected by Hurricane Fiona in September of the previous year and prolonged periods of drought. The aim is to address any supply shortages before the next harvest, although production results for the just-ended season remain undisclosed.
The closing of the June harvest is being prepared by Inazucar but remains unpublished due to preliminary statistics, awaiting definitive production data yet to be compiled.
One of the main sugar producers, Central Romana, reported its production results in June, revealing a total crush of 2,379,000 short tons of cane. This was 662,355 tons less than what was reported by Inazucar for the previous harvest, which was 3,041,355 tons. Central Romana also highlighted the production of 265,735 short tons of refined sugar and 16,426,000 gallons of molasses.
Speculation over the supply and price of sugar has raised concerns. Pro Consumidor, the consumer protection agency, plans to curb hoarding and speculation in the marketing of sugar. They have identified sectors where speculation forces retailers to sell sugar above the prices stipulated by Inazucar.