Coconut oil prices touched an all time high of ₹125 per kg both in Kerala and Tamil Nadu markets this week. Traders attribute low copra arrivals for the surge in prices. Copra rates are ruling at ₹90 a kg both in Kerala and Tamil Nadu.

Bharat N.Khona, former Board Member, Cochin Oil Merchants Association (COMA), said that shortage of copra has impacted the prices of coconut oil, which is expected to continue for the short term. Even though the coconut season has commenced in Kerala, the arrival of the commodity has not yet picked up from any of the major producing centres.

The rate of palm kernel oil has shot up this week touching ₹99 per kg with a good demand from consumers due to higher coconut oil prices. Palmolein prices are quoting at ₹69 a kg.

There were reports that a major portion of raw nuts are now moving to North Indian markets for making coconut based valued added products, he said.

Thalath Mahmood, Director, COMA, said that the price rise may force consumers to shift to other cheaper oils for meeting their domestic requirements. Major coconut producing centres in Kerala reported a 30-40 per cent drop in production which may reflect in copra availability, he said adding that the market is pinning its hopes on the starting of the season in Tamil Nadu and Karnataka, which is expected to start by the end of this month.

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