Palm and Coconut oil summer slow down?

Firstly apologises for lack of news recently. Combination of overseas travels trade shows and figuring out new European GDPR Compliance. Have no fear back now hopefully every Friday. Also Liz who joined the team last year should also be adding some regular updates about all things coconut.

Firstly palm oil has been weaker pushing ever lower as supply continues to be good and demand has dropped due to Ramadan and heading into the European summer. Whilst there is talk in some parts about crops reducing during the second half of the year its too early to tell. For now low demand rules and prices will fall however with Ramadan finishing next week maybe we might see prices pick up the following week. Coconut oil has continued to drop breaching the big $1000 mark. Now heading down to below the $900 mark. But already we are hearing that with such low prices farmers are not seeing the worth in collecting raw nuts so its likely that we may be near the bottom.

Desiccated coconut has seen the salmonella issues in the US now start to subside. But prices have fallen as they are dragged lower be weaker oil. Its also not helped by heading into European summer which always slow demand. Some shippers have got things wrong holding out for high prices and as a result with low nearby sales they have been forced to cut prices further. Its creating a deception to some buyers that the price has much further to fall. However other shippers that have slowly reduced prices since April have full order books through till September. Whilst the prices may still have further to fall it may not be as low as some believe once this excess supply is finally sold. Nobody knows where the bottom will be but its likely not that far away. Peak buying season normally runs Sept-Dec.