Potentially misdeclared sugar imports from Vietnam under SRA testing

The Department of Agriculture (DA) on Monday said it has tasked the Sugar Regulatory Authority (SRA) to test samples from 14 container vans of imports from Vietnam, which may have been misdeclared as sweeteners but may be P30 million worth of sugar that would have higher tariffs and require a separate import clearance.

According to the DA, the shipments arrived in three batches that totaled 14 20-foot container vans which were initially declared as “sweet mixed powder.” Each 20-footer van could hold approximately 25 metric tons of sugar in sacks, which would place the total volume at 350 metric tons or 350,000 kilos of refined sugar approximately worth P30 million.

The shipments were flagged by the Bureau of Customs (BOC), however, as preliminary inspection suggested that the product could fall under a different code under refined sugar which has a 1% tariff, and not under the “other sugar” category which has a 5% tariff for members of the Southeast Asian Nations.

This comes as a joint operation by the BOC’s Customs Intelligence and Investigation Service (CIIS), the SRA, and other agencies found that the product — labeled as “TTC Sugar” manufactured by Bien Hoa Consumer Joint Stock Company — contained 88% white granulated sugar and 12% glucose.

“It appears the consignee used the classification under Tariff Code 1702 since importing sugar requires clearance from the SRA and the DA/SRA has not authorized any importation so far,” Agriculture Secretary Francisco Tiu Laurel Jr. said.

The DA did not name the consignee pending further investigation, as it said three samples equivalent to three kilos from the separate shipments are still up for further analysis. A courtesy meeting was also held with the District Collector of the Port of Subic to discuss the matter.

“The outcome of the laboratory tests will be critical in determining whether the shipment was misdeclared and whether further actions will be necessary,” the DA said.

“This case highlights the importance of maintaining precise tariff classifications and underscores the vital role of regulatory bodies in protecting the integrity of the domestic sugar market,” it added.—AOL, GMA Integrated News