Bountiful rain in many of the growing areas across South India is expected to bring cheer to the coconut sector with a good crop season next year, resulting in enhanced production and price stabilisation.

In 2018, the sector posted a comfortable production, thanks to last year’s widespread rains after a drought-like condition in 2016-17. The trend of rising production is likely to continue next year as well, with heavy spells being experienced in many production centres.

Coconut Development Board data put the production in 2016-17 at 23,904 million nuts, which has gone up to 24,378 million nuts in 2017-18. However, the sectorexpects a 5-10 per cent growth in the 2018-19 crop season in the wake of several positive factors.

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A senior official in the Board told BusinessLine that besides monsoon, the renewed interest shown by farmers in taking up coconut crop cultivation lured by higher prices will perk up production.

Moreover, there was a small shift of farmers from rubber to coconut farming, especially in the Central Travancore belt, which would also contribute for the production growth.

This, he said, is evident in the minimal expansion of cultivated area in this region from 2.08 lakh hectares to 2.10 lakh hectares.

The high level urbanisation is one of the impediments for declining productivity especially in a State like Kerala where the land cost is high.

The official also hoped that a good production in the next crop season is expected to bring down prices which are ruling a high at ₹33/kg. The price stabilisation will also boost the demand for value-added coconut products exports, which witnessed a 20 per cent drop last fiscal.

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