Tender coconut at Rs 60? Consumers feel the heat

Prices of tender coconut have gone through the roof, retailing between Rs 50 and Rs 60 per piece in Karnataka and around Rs 80-Rs 100 in North India.

A double whammy of high temperatures seen in several parts of North India this year and lesser yields in Karnataka, again caused by a “heatwave”, are said to be the reason for the sharp jump in prices of the refreshing drink that is usually sold on roadsides and helps to hydrate quickly.

At Maddur, India’s biggest market for tender coconut, average wholesale prices are hovering between Rs 38 and Rs 50 per piece in the last three months. The retail prices are higher and depend upon distance from important markets such as Davangere, Tumakuru, Mandya, Hassan and others.

In June and July this year, tender coconuts were retailing for Rs 30 to Rs 35 in the state, which is the top producer of coconuts.

According to Krishi Marata Vahini, an online agriculture marketing information website of the state government, there has been a huge jump of at least Rs 10,000 per 1,000 coconuts compared to last year in the wholesale market.

In October 2022, farmers were able to sell good quality tender coconuts for Rs 26,000 per 1,000 coconuts, which jumped to Rs 30,000 last year. This October, they were able to sell it for a maximum price of Rs 45,000.

Farmers can harvest tender coconuts twice a year and the impact of severe summer this year is being felt now.

Even though there is no official data on the yield this year, arrivals in the Maddur market are down by 14.35 lakh pieces in October compared to last year (In October 2023, the Maddur market received 86.65 lakh tender coconuts; this October, the number is just 72.30 lakh).

Tumakuru APMC Yard Deputy Director V Rajanna blamed “heatwave conditions during the summer of 2024” for the disruption in supply, saying “farmers could harvest only 30% to 40% of the total expected yield”.

“On top of it, there was a greater demand from North Indian states for tender coconut, pushing the prices in the local market,” he added.

He said nearly 60% of the state’s tender coconuts are dispatched to North India. And this year, Jammu & Kashmir and Gujarat queued up for the state’s produce. 

This summer, traders said, they sent a lesser consignment at higher prices to North India. “Earlier, at least four lakh tender coconuts were transported to North India every day during summer. Now, we are shipping around 3 lakh pieces every day. This is 80% of this year’s reduced yield. Traders from North India offered higher prices,” said Sujith Kumar, a Tumakuru-based wholesale trader. 

Horticulture department officials said that demand and high price for ball copra could also have impacted the supply of tender coconut.

“The price of ball copra has more than doubled in the last three months, going from Rs 8,000 to Rs 18,000 a tonne. There is a general feeling that the price could go further high, which is why most of the farmers are not harvesting tender coconuts,” said Horticulture Deputy Director Kadiregowda. 

But some good news in the offing on the price front. With copious rains this monsoon, the yield is expected to improve and bring down the prices in the coming days.