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RC Cola maker confirms 7,000 MT sugar import amid smuggling probe
RC Cola maker confirms 7,000 MT sugar import amid smuggling probe
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RC Cola maker confirms 7,000 MT sugar import amid smuggling probe
by Ellicia Del Mundo25 August 2022
Photo courtesy: RC Cola Philippines Facebook

ARC Refreshment Corp. confirmed on Thursday that it ordered the 7,000 metric tons of premium refined sugar from Thailand that was recently stopped in Subic port due to alleged smuggling.

In an interview during DRZH’s Dos Por Dos, ARC chief operating officer (COO) Gerry Garcia said they regularly order Thai premium refined sugar for their bottled drinks.

“Regular namin silang ino-order-an [Oro-Agritrade Inc.] ng asukal para sa requirement namin. 'Yang in-order naming yan para sa Sept. to Oct. requirements iyan,” he said.

Last Aug. 19, the Bureau of Customs (BOC) averted a cargo vessel carrying 7,000 metric tons or 140,000 bags of Thai premium refined sugar at the Subic port after it learned that the import permit was recycled.

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The customs’ initial investigation showed that Oro-Agritrade Inc. under the account of ARC Refreshments Corp. was the consignee of the imported sugar.

Garcia explained that their trader got a clearance permit from the Sugar Regulatory Administration (SRA) which indicated that the imported premium refined sugar would be directly sent to the company.

The operation chief said they allow traders to use their company name when applying for a permit, otherwise, they could not import.

He said importing sugar directly to the industrial user and not into the local market is permitted.

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“Regular naman yung pag import niya, ang pagbili namin sa kanila. Meron kaming logistics planning, therefore meron kaming oras na eto mag-place kami ng purchase order (PO). Sila na ang bahala mag-import nun basta fi-fill up lang nila ang PO namin at gagamitin lang nila ang pangalan namin dun sa importation para sigurado na papunta sa manufacturer at hindi lalabas sa market,” he added.

He also explained that imported premium refined sugar is needed for their flavored beverages like citrus drinks.

“Gaya ng citrus, clear drink 'yan, parang tubig kung titignan mo. Kailangan doon, premium sugar, ‘yung tinatawag nating bottled. Kung pula 'yan, magiging pula ang aming citrus na drink,” he explained.

He added that only white sugar is available at the local market which is not made for soft drinks.

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Since the imported Thai sugar is currently on hold for investigation, he said their production may temporarily stop which may deflate the supply and affect the local stores that order soft drinks from them.

On Wednesday, the Malacañang announced that six customs officials in Subic port were relieved from their positions and temporarily transferred to the Office of the Commissioner amid the pending investigation of alleged sugar smuggling.

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