The chairman of the Coconut Development Authority, Shantha Ranatunga, revealed that a Cabinet paper will be presented this week to authorize the import of several coconut products in a bid to prevent an unnecessary coconut price hike in the local market.
Citing a report by the coconut research institute, the chairman claimed that the island is in short supply of 200 million nuts from January to April this year, driven by a drop in coconut harvests this off-season.
Furthermore, Ranatunga highlighted that the current coconut price hike was prompted by a drop in the coconut harvest during the off season.
The Coconut Research Institute projects a deficit of 200 million nuts from January to April, he said, noting that the short supply of 200 million nuts has led to excess demand in the market.
“To control the surge in Coconut prices a cabinet paper will be presented to approve the import of coconut milk, coconut flour, and frozen coconut kernel, which are crucial raw materials required by several local industries”, the Coconut Development Authority Chairman added.
Moreover, he stated, “through these imports we believe we can eliminate unnecessary demand from the industrial sector and thus prevent an necessary price hike in the local market.”
