Coconut oil, copra prices head south amid weak demand, export disruptions

NEW DELHI : Surge in production and export disruptions following the West Asia crisis have dented coconut oil and copra prices, which are now witnessing a southward movement after hitting record highs a few months ago.

Thalath Mahmood, President of Cochin Oil Merchants Association (COMA), said coconut oil prices in Kerala dropped to ₹266 per litre, while copra rates came down to ₹153. This is a sharp decline from last July’s peak of ₹393 and ₹259 for coconut oil and copra respectively. Raw coconut prices have also decreased significantly, falling about ₹36 per kg over the past seven months.

He said that the demand was subdued both at the corporate level and in local purchases and the declining price trend is likely to continue unless the supply reduces with the onset of monsoon. There are also reports of liquidating stocks by traders in Tamil Nadu in view of the price fall.