Market Update 17th December 2024

Global demand for desiccated coconut continues to grow, with export prices reaching 80-140¢/lb FOB, an increase from the previous week’s range of 80-135¢/lb.

The Philippine domestic market saw a slight price dip, with local desiccated coconut trading between P5,395 and P5,541 per 100-lb bag.

Philippine Export Performance

Exports of desiccated coconut from the Philippines grew 8.4% in October, reaching 14,672 MT, exceeding the monthly average of 13,972 MT by 5%.

Year-to-date figures show desiccated coconut exports at 140,415 MT, up from 130,194 MT in the same period last year, reflecting an increase of 7.8%. The USA, Netherlands, and China remain the top buyers.

Challenges and Opportunities Ahead

While the demand for desiccated coconut remains strong, challenges persist. Weather-related disruptions in the Philippines have tightened supplies, increasing production costs. Furthermore, competition from other tropical oil-producing countries continues to shape the market landscape.

We also believe that high-quality certified desiccated coconut supplies may be limited with the closure of a leading manufacturing plant in Sta. Cruz, Davao del Sur, in October with its 3,200 staff being laid off.

We advise all customers to get ordering in early to avoid shortfalls.