Coconut farmers buoyed by 15% higher rate for copra in local market, arrival in regulated markets muted

Coconut farmers in Tamil Nadu benefit from high copra prices, impacting local markets and procurement through regulated markets.

Coconut farmers in the region are apparently buoyed by the local market rate of ₹130 per kg for copra, about 15 percentage higher than the procurement rate through regulated markets under Price Support Scheme.

The spike in demand for coconuts for local consumption has inevitably caused lesser copra conversion, eventually leading to the price-rise for the product in the local market. At the retail points, coconuts are being sold for ₹65 a kg.

According to Rajavel, a coconut farmer in Annur, copra conversion, in fact, has taken a backseat since the returns from coconut sale are much higher.

According to the officials, going by coconut to copra ratio of 20 to 30 percent, the margin is much higher in sale of coconuts.

Sources said that procurement at the regulated markets for copra will be severely impacted due to the market scenario. A senior official of Agricultural Marketing and Agri Business department apprehended that copra will continue to rule a higher price in the local market for the next three months.

Tamil Nadu notified implementation of Price Support Scheme through National Agricultural Cooperative Marketing Federation of India, through an order dated January 18, 2023.

Tamil Nadu State Agricultural Marketing Board was made the State Level Supporter, Marketing Committees the Primary Procurement Agencies and Regulated Markets were designated Primary Procurement Centres.