The price of coconut oil has remained steady in the Kerala market this week. It quoted at Rs 61 per kg against last week’s price of Rs 62 per kg.

Mr Prakash B. Rao, Vice-President of the Coconut Oil Merchants’ Association (COMA), said the absence of local demand has resulted in a drop in prices in the Kerala market. However, support from corporates in Tamil Nadu was holding prices up at Rs 60 per kg. Corporates, who had stayed away from the market in the last couple of weeks, had started buying in a limited way at the support price of Rs 60 per kg, he said.

Besides, north Indian Vanaspati manufacturers were seen buying marginal quantities of coconut oil, he said.

Mr Bharat N. Khona, former Board Member, COMA, said though the movement of oil tankers had started picking up, upcountry buyers were still reluctant to buy. Movement is expected to start in full swing shortly and this would lead to higher consumption in the North Indian markets, he said.

According to him, the prices quoted this week were attractive as far as corporates were concerned. However, despite the attractive prices as compared with other edible oils, there was no demand, he said.

Edible oils such as palm oil and palm kernel oil, which are close substitutes for coconut oil, are still on the higher side. The price of palm oil has dropped to Rs 68 per kg this week against last week’s Rs 70 per kg, and palm kernel oil is quoting at Rs 74 against Rs 76 per kg.

Copra prices ruled at Rs 4,100 a quintal in the Kerala market and at Rs 3,800 in Tamil Nadu.

According to Mr Thalath Mahamood, President, COMA, the market has witnessed low demand from local consumers in the last two weeks. He added that April-May is a lean season for consumption of all commodities in Kerala.

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