Market Update for 15th December 2023

The edible oil market and the desiccated coconut market are heading in opposite directions at the moment. Edible oils are currently experiencing a decline due to a gloomy demand outlook, despite the predicted drop in crops in the first half of 2024. However, there has been some firmness in the last 24 hours, which may suggest that we have hit the lowest point for now.

The price of desiccated coconut is increasing due to concerns about supply as we enter the lean season for crops. Most shippers have already sold out for Q1, causing prices to rise as buyers were caught off guard.

This increase in demand has caused prices to go up by over $300 in just a few weeks. However, it remains to be seen if weaker edible oils and holiday office shutdowns will dampen this demand.

Despite this, buyers are still keen to book as they appear short on supply.

Shipping prices are steady at the moment. However, there are a lot of delays at the moment due to issues with the Panama and Suez Canals.