Desiccated coconuts: situation in the Philippines improves
June 3, 2020 at 12:07 PM ,
Der AUDITOR
Measures are being eased
After two and a half months in which only systemically important workers were allowed to leave their homes, the quarantine regulations in the Philippines have now been relaxed a little and more people are trying to return to work. This is still hampered by the disrupted infrastructure, which makes it difficult for workers in coconut factories to reach their jobs. There are reports of long waits before people may get a lift. One reason for this is the coronavirus pandemic, which has led to a shortage of staff, and typhoon "Ambo" has also caused considerable damage on the islands. Although the coconut plantations have been largely spared, the roads are additionally blocked by landslides and fallen trees. Cereal farmers who grow wheat or rice were less fortunate and some of them have suffered heavy damage to their crops.
Production increase in sight
The experts at T.M. Duché expect the problems with the infrastructure to improve considerably in the coming weeks as a result of the relaxed quarantine rules, which would lead to higher production capacities. Although the distance regulations in the factories will remain in place, the quota is not fully utilized at present. Raw nuts are available in sufficient quantities and must be transported to the factories, which are spread all over the country.
Stable prices
International buyers still have to expect long waiting times due to backlogs in production and shipping. However, market players reckon that export prices should at least remain stable into Q4. Desiccated coconuts, fine, high fat, origin Sri Lanka, are currently trading at EUR 2,120 per metric tonne.
|
Desiccated coconuts |
|
|
Quality |
EUR/mt |
|
Fine, low fat, Indonesia, EXW Poland |
1,270 |
|
Medium, low fat, Indonesia, EXW Poland |
1,445 |
|
Medium, high fat, Indonesia, EXW Poland |
1,890 |
|
Fine, high fat, Sri Lanka, FCA Spain |
2,120 |
|
Trade sources |
|
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