The Coconut Development Board has attributed the “temporary withdrawal of a handful of major buyers of milling copra” as the reason for the recent price fall of copra.

“Their withdrawal is intentional with a definite objective to further pull down the price of procuring maximum quantity of copra at rock bottom price. However, big and small oil manufacturers are left with little stock, as such, they will continue to procure copra in bulk in the near future,” the Board said, while seeking to allay the fears of farmers on the price fall.

The Board’s clarification assumes significance when copra prices have dwindled to ₹5,900 a quintal in Kerala and ₹5,500 in Tamil Nadu this week. Coconut oil prices are also ruling at lower level at ₹8,500 per quintal in Kerala and ₹7,600 in Tamil Nadu.

Since the analysis of information received from the market indicates a rise in price by the end of this month, the officials requested the farmers not to panic and rush to the market to sell out their produce at a throwaway price.

However, the Cochin Oil Merchants Association (COMA) urged the authorities to start procurement at the earliest, saying that a mere announcement is not enough to pacify the farmers, who are reeling under continuous fall in prices. The current prices are close to the minimum support price fixed in 2015 for procurement at ₹5,550 for milling copra and ₹5,830 for ball copra.

Though the coconut oil market is in a steady line this week, Thalath Mahmood, President of COMA, said that the local consumption of coconut oil in Kerala witnessed a 10-15 per cent growth due to its low prices at par with other edible oils.

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