Coconut Market News 21st September 2026

The coconut market strengthened this week, with coconut oil returning above US$2,000/MT and Philippine raw-material prices continuing to rise. Desiccated coconut average price softened slightly.

Shipping presents a mixed picture. Asia-Europe container rates have fallen sharply, but intra-Asia costs continue to rise, while blank sailings and port congestion remain potential sources of disruption.

Desiccated coconut

International desiccated coconut quotations remained at 109-190¢/lb FOB for the 31st consecutive week.

Within that range, the representative seller average declined by 0.83¢ to 135.17¢/lb FOB, equivalent to approximately US$2,980/MT before freight. This is slightly above the August average of 133.46¢/lb but around 22% below the 173.96¢/lb recorded in September 2025.

The Philippine domestic market moved in the opposite direction. The Manila average increased by ₱14 to ₱5,788 per 100-lb bag, with quotations ranging from ₱5,632 to ₱5,944.

Husked-nut prices also rose. Southern Tagalog quotations increased to ₱10,300-₱12,000/MT, while Southern Mindanao moved up to ₱11,970-₱13,300/MT.

For buyers, the message remains mixed. Export prices are broadly stable, but firmer domestic nut and processing costs may make it harder for Philippine producers to offer significant reductions. Lower freight rates into Europe could nevertheless improve landed replacement costs.

Coconut oil

Coconut oil recovered during the week, with the European seller average increasing by US$15.80 to US$2,091/MT CIF.

The market also reported physical business for the first time in 13 weeks. Trades for early 2027 delivery were concluded at approximately US$2,060-2,070/MT CIF.

Latest seller indications were approximately:

• US$2,070/MT for September/October
• US$2,080/MT for October/November
• US$2,075/MT for November/December
• US$2,060-2,070/MT for early and mid-2027 positions

Buying interest was concentrated in 2027, with bids ranging from approximately US$2,000 to US$2,020/MT CIF. Buyers showed limited interest in the remaining 2026 positions.

Coconut oil also returned to a premium over palm kernel oil. The nearest spread moved to a premium of approximately US$32.67/MT, compared with a marginal discount the previous week.

The Philippine Coconut Authority’s daily report for 18 September placed European coconut oil at US$2,075/MT CIF, with palm kernel oil at US$2,100/MT.

Domestic Philippine coconut oil prices were firmer. UCAP’s weekly crude coconut oil average rose by ₱2.90 to ₱106.80/kg excluding VAT, while RBD coconut oil increased by ₱1 to ₱115.30/kg.

Copra and raw materials

Philippine copra prices continued to recover.

The average Quezon seller price increased by ₱300 to ₱5,695 per 100 kg, while the corresponding buyer average rose to ₱5,595. In Bicol, the Visayas and Mindanao, seller quotations reached ₱6,450-₱6,700 per 100 kg.

PCA’s 18 September report placed the national average millgate price at ₱52.04/kg and the farmgate average at ₱41.88/kg.

Farmgate prices have recovered from ₱38.58/kg a month earlier, but remain well below the ₱57.53/kg recorded a year ago. Regional availability continues to vary considerably, with the highest current millgate quotations concentrated in parts of Mindanao.

The recovery in copra and husked-nut prices suggests that the period of immediate raw-material relief for processors may be ending. If this continues, it could eventually place upward pressure on desiccated coconut replacement costs.

Container shipping

Drewry’s World Container Index rose 1% to US$4,500 per 40-ft container on 17 September, but trade routes saw varying changes. Europe shipments improved: Shanghai-Rotterdam fell 9% to US$3,626, Shanghai-Genoa down 5% to US$4,016. Asia-Europe rates may ease due to weak demand and Suez Canal service recovery. Risks remain: four blank sailings announced for Asia-Europe, and Shanghai waiting times increased from 65 to 78 hours. Within Asia, the Intra-Asia index hit a record US$1,402, up 6%, amid typhoons, geopolitical issues, and capacity limits. This affects Philippine exporters: lower Asia-Europe rates may be offset by higher regional fees and surcharges. Drewry anticipates 77 blank sailings from 21 September to 25 October, an 11% cancellation rate, with 89% of sailings expected to proceed.Coconut-industry news

Other News

Sri Lanka’s coconut export earnings reached US$614 million during the first half of 2026, up from US$530 million a year earlier. Kernel-based products generated US$317 million, with fibre products contributing US$150 million and shell products US$135 million. The figures demonstrate continued demand for value-added coconut products but also highlight Sri Lanka’s efforts to strengthen its position in export markets.

Chinese food processor Hainan Chunguang Foodstuff has begun establishing a production base in Palembang, Indonesia. The facility will increase production capacity for coconut juice, coconut milk and coconut-water beverages, with further investment planned in automated primary processing. This is another sign of growing investment in Indonesia’s coconut-processing sector. But also a sign of China’s investment within South East Asia and their potential influence on the market in coming years

Market Outlook

In the short term, coconut oil and Philippine raw-material prices have regained some momentum, while desiccated coconut export quotations remain broadly stable.

For desiccated coconut buyers, lower European freight rates may create an opportunity to improve landed costs. However, firmer Philippine nut prices and rapidly rising intra-Asia freight costs argue against assuming that FOB prices will fall materially.

The most practical approach remains to stagger purchasing, compare FOB-plus-freight against CIF offers and avoid relying solely on the movement of the global freight index. Origin-specific feeder costs, blank sailings and trans-shipment arrangements are becoming increasingly important.

Overall, the market has moved from broad weakness towards a more mixed position: coconut oil and raw-material values are firmer, desiccated coconut remains stable, and European freight is providing some welcome relief.

A note on Rotterdam coconut oil prices

The Rotterdam market is now used relatively infrequently for physical coconut oil trading. A substantial proportion of international business is conducted privately between Philippine millers, major commodity traders and industrial buyers and is therefore not visible in published market data.

Consequently, a quiet Rotterdam market should not be interpreted as an absence of underlying business. We continue to report these prices because they remain one of the few transparent international reference points available, alongside our own market intelligence and direct trading activity.