Sri Lanka coconut auction prices up 90-pct over quarter
ECONOMYNEXT– Sri Lanka raw coconut prices grew 2.97 percent to 42,392 rupees for 1000 nuts at an auction in Colombo on January 02, 2020, up from 41,167, on December 19, extending gains made over several weeks, official data showed.
The top price rose to 49,000 rupees for 1,000 nuts from 45,100 rupees from two weeks earlier.
The lowest price was 35,000 rupees, down from 36,500 rupees a fortnight earlier.
Sellers offered 1,274,374 nuts for the auction and 1,134,618 were sold.
Sri Lanka’s coconut price rose sharply in November and December as international commodity prices also rose.
Sri Lanka’s rupee collapsed in 2018, due to contradictory money and exchange policies of the central bank, altering the price of all exported (and also imported) commodities but demand was initially held back with tighter policy. Policy reversed around August.
Prices collapsed in the second quarter of 2019, and started to recover from the third quarter.
Coconuts are not directly traded due to quarantine restrictions, but its price is influenced through oil and dessicated coconut.
Prices at the auctions were weaker and buyers also withdrew and re-introduced large volumes of coconuts during the period.
The average price on January 02 is up 89 percent from the September monthly average of 22,341. (Colombo/ Jan 02/ 2020)