Dried Fruit

Desiccated coconuts: El Niño sets in

June 21, 2023 at 4:22 PM , Der AUDITOR
Play report as audio

MANILA. There is good demand on the coconut market and prices are holding steady. However, market players are concerned about El Niño - the weather phenomenon can lead to considerable problems, especially in Asia.

Volatile exchange rate in Sri Lanka

Demand in the market for dried coconut products remains good and most producers have sold out up to and including July. Growers are in the comfortable position of selling their product to the highest bidder, according to Chelmer Foods experts. Prices have not changed much in recent weeks, remaining stable in both Indonesia and the Philippines, with only Sri Lanka showing a slight decline. Chelmer Foods stresses that the exchange rate there is extremely volatile and thus offers exporters little security.

Dreading El Niño

A problem that not only exporters but all market players have to contend with is the weather phenomenon El Niño, which has already started in the Asia-Pacific region and usually reaches its peak at Christmas time. As reported by the German newspaper Handelsblatt, among others, residents of emerging Asian countries fear damage from drought, heat and energy shortages that could run into the billions. Other regions, in turn, are affected by heavy rainfall. Handelsblatt states that India's economy could be hit hardest by El Niño, followed shortly by the Philippines as an important coconut producer, as well as Australia and Thailand. However, industrialised countries such as Germany could also be affected by the extreme weather conditions if supply chains are interrupted or bottlenecks occur in the supply of raw materials. Furthermore, the experts write that the water shortage could also cause energy prices to rise further, which would increase global inflation. Thus, the coconut market, like all agricultural markets, faces a challenging season.

View more
price chart, desiccated coconuts, Sri Lanka
price chart, desiccated coconuts, Indonesia
price chart, desiccated coconuts, Philippines 
price chart, coconut oil, Indonesia
more price charts

View related articles

Go to the News Overview
Nuts
Jul 22, 2024
NEW DELHI/AUSTIN. Although US growing regions in the Southwest have faced some heavy rains, growers in parts of Texas continue to face drought and water shortages. In India, prices could soon receive support.
Nuts
Jul 18, 2024
BRUSSELS/ORDU. Given that prices have surged this season it is quite remarkable that EU imports have risen for hazelnuts in the first six months of the year. Suspense is palpable in Turkey with the TMO and Ferrero expected to take decisive action very soon. Offers for the new crop are circulating.
Nuts
Jul 17, 2024
HANOI/NEW DELHI. Vietnam's exports in the first half of 2024 are quite impressive, and many destination countries have increased their purchase volumes. Meanwhile, prices in India remain stable.
Dried Fruit
Jul 16, 2024
AYDIN. The figs in the Turkish province of Aydin are developing well, with the warm temperatures allowing the fruit to ripen quickly. However, a sudden change in the weather could have negative consequences for yields.