Market News 19th August 2024

Overview of International Price Trends

In the past month, the international market for coconut products has witnessed some fluctuations, with prices showing mixed trends across different commodities.

Coconut oil, in particular, exhibited a strong upward trajectory despite a generally quieter market in Rotterdam.

The price range for coconut oil began on a lower note, with sellers offering $1,560-1,575/MT CIF for deliveries between August and December.

However, as the week progressed, the market rebounded, ending on a firm note at $1,590-1,600/MT CIF, influenced by the recovery in palm oil prices.

This trend highlights the resilience of coconut oil in the face of broader market pressures.

Significant Growth in Philippine Coconut Exports

April 2024 was a remarkable month for the Philippine coconut industry, with export volumes more than doubling compared to the same period last year. According to the Philippine Statistics Authority, the country exported 279,265 metric tons of coconut products in copra terms, a 145.8% increase from the previous year.

This surge in exports translated into a significant revenue boost, with gross receipts soaring by 121.2% to USD 254.821 million.

Coconut oil led this growth, with shipments reaching a record high of 160,214 metric tons, a 170.0% increase year-on-year.

Other products, including copra meal and desiccated coconut, also saw substantial gains, reflecting the robust demand for Philippine coconut products in the global market.

Shipping News

The Drewry World Container Index (WCI) has continued its downward trend this week, with average rates falling by another 2% to $5,428 per 40ft from the mid-July highs. This marks the third consecutive week of falling rates. However, experts note that the WCI is still significantly higher, sitting at 282% above the 2019 pre-pandemic average, indicating that there is still a long way to go.