There has been a sharp spurt in copra prices at Ambajipeta in East Godavari district, the major market in Andhra Pradesh, during the past fortnight just as the festival season begins.

The prices are ruling at a maximum of Rs 10,000 per 1,000 nuts before Vinayaka Chaturdhi.

The price rise is attributed by trade sources to good demand for copra from the upcountry markets in Chhattisgarh, Rajasthan, Uttar Pradesh and Maharashtra. To some extent, the fall in yields this season has also contributed to the price rise.

The two Godavari districts account for the bulk of coconut and copra production in the State. Unfavourable climatic conditions, untimely rains and eriophyd mite have resulted in substantial yield losses.

The best copra, locally known as Gandera Kuridi , is currently fetching Rs 10,000 per thousand nuts and even the slightly inferior grades such as Gatagata are fetching well above Rs 8,500 per thousand. New Gandera is fetching Rs 8,600 per thousand.

According to trade sources, raw coconuts from Tamil Nadu and Kerala are finding their way into Andhra Pradesh, and therefore there is no spurt in coconut prices. The coconuts from the southern States are available at Rs 4,500 per thousand.

The coconut farmers are also facing acute labour scarcity for agricultural operations such as harvesting and processing and that is also affecting the copra production. Coconut is now the main crop in the Konaseema area of East Godavari district, as the paddy farmers are observing crop holiday.

Paddy and coconut are grown in the Konaseema area in the Godavari delta. But this year has not been good for paddy.

Mr Balaji, the President of the Copra Merchants' Association at Ambajipeta, said the prices may rule high during the festival season and a correction is likely after that.

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