India gains from SL coconut ban

22 February 2011 10:08 am

India’s coconut exports have increased by 30 per cent this year, triggered by the export ban on shipments of the produce by Sri Lanka. The Indian Coconut Development Board (CDB) is expecting an export growth of 30 per cent this year over last year.

During the last couple of months, the export of fresh coconuts from India to Middle East has increased considerably, they said, adding previously Sri Lanka was the main exporter of fresh coconuts to Middle East.

“Now their (Lanka) domestic price is much higher than our domestic price,” the sources said, adding the supply constraints in other major coconut countries like Philippines, Indonesia, Thailand, and Malaysia are also working in favour of India’s surge in exports.

Sri Lanka has imposed ban on coconut export possibly to control local prices of the product and fullfill domestic requirement of coconut oil, CDB’s Chief Coconut Development Officer Thomas Mathew told PTI over the phone from Kochi.

Sri Lanka has been the main competitor to India in the export of coconut and its products, but exports from Lanka have been hit by a sharp shortfall in production and the island nation’s loss has turned out to be India’s gain.

He said the coconut crop in Sri Lanka has been affected by disease and floods.

-The Hindu-