Coconut processing investments sought to stimulate copra sales

published December 17, 2009 in BusinessWorld

PALO, LEYTE -- A top official of the Philippine Coconut Authority (PCA) here has encouraged more investments in coconut processing to stimulate the market and stabilize the price of the coconut by-product.

PCA Regional Manager Edilberto Nierva noted that the price of copra has remained weak at P17 per kilogram in retail outlets and P12-P13 per kilogram at farm-gate.

"We are encouraging local and foreign investors to concentrate in local copra processing. The demand in the domestic market can help stabilize the price of copra in the long term. We are starting to push for rural industrialization and we continue to advocate for it," he said.

About 80% of the country’s copra production is exported. Only 20% is left for domestic use.

"We want to reverse the scenario but this will take time and effort," Mr. Nierva said.

Eastern Visayas is the second top coconut-producing region with a harvest of 1.9 billion nuts or 525,000 metric tons of copra annually.

About 649,000 hectares of land are devoted to coconut farming. The region hosts eight active coconut oil mills and has some 1.7 million farmers and their dependents. (Sarwell Q. Meniano)