Coconut
After a brief period of crop improvement, the coconut market is once again facing rising price pressure.
Coconut oil (CNO) remains firm at high price levels, driven by limited stock availability at origin, low inventories in Europe, and continued strong demand. This tight supply situation is leaving little room for the market to stabilize.
Adding to the uncertainty is the typhoon season, which is leading producers to act cautiously. Shipping delays remain a major issue, with no signs of structural recovery. Looking ahead, producers and mills are increasingly unwilling to commit to forward contracts, having faced significant financial strain last year when prices surged beyond contracted levels. One of the largest mills in the Philippines is reportedly unable to continue operations under current conditions.
Outlook: No improvement in supply or price relief is expected in the coming months.