Sri Lanka coconut auction prices up 3.1-pct

ECONOMYNEXT – Sri Lanka’s average coconut prices grew 3.12 percent to 50,268 rupees for a 1000 nuts at an auction at the third auction in July reversing from a three week drop, official data showed.

The highest price was 56,600 rupees for 1,000 nuts, up from 48,743 and the lowest 44,000 rupees up from 43,000 last weekat the auction conducted by Sri Lanka’s Coconut Development Authority on July 16.

Buyers offered 976,000 nuts at the auction and sold 744,000 nuts.

Sri Lanka’s coconut prices have picked up steadily from an average of 38,215 when auctions resumed on April 09 after a break due to a Coronavirus crisis and peaked at 55,318 in mid-June.

Palm oil, close substitute for coconut oil has been taxed at 350 rupees a kilogram while coconut oil imports have been restricted after money printing by the central bank to finance the deficit.

Sri Lanka’s coconut production was estimated to have dropped 12.6 percent to 679 million nuts in the quarter of 2020 from a year earlier. (Colombo/July 20 /2020-sb)