Increase marketing strategies to control coconut prices

- Coconut Growers Association:

Coconut Growers Association of Sri Lanka has appealed to the Coconut Development Authority, the marketing arm of the Coconut Industry to assist the domestic consumer by taking steps to increase the marketing strategies.

The association has pointed out that although the consumers are compelled to pay high price that the farm gate price was around Rs. 15 to 17 in Kurunegala, Rs. 16 to 18, in the Puttalam district and was about Rs. 19 to 20 in the Gampaha district.

The Association has pointed out that the fresh coconut price in the domestic market was yet being maintained above Rs. 30 per nut.

The Association urges the Coconut Development Authority (marketing arm of the coconut industry) to take immediate and positive steps to increase the marketing strategies to assist the domestic consumer.

Although such high prices are being paid by the consumer, the farm gate price is approximately Rs. 15 to 17 in Kurunegala, 16 to 18 in Puttalam district and 19 to 20 in Gampaha district.

The Association said in the letter that to break this monopoly created by the middlemen by having a series of portable outlets in Colombo and suburbs. It will certainly assist to break into this blackmarketing.

Few years ago, a similar situation existed, and the Government managed to control the prices artificially, with State assistance and marketing of coconuts.

To make things easy, the Coconut Development Authority could come into an understanding with the estates belonging to Kurunegala Plantation, Chilaw Plantation, National Livestock Development Board, Coconut Cultivation Board, Sri Lanka State Plantation Corporation, Janatha Estates Development Board, Coconut Research Institute, where bulk purchases of coconut are possible at a mutually agreed price.

It has been observed in the recent past, Coconut Development Authority has taken the path of least resistance by trying to adjust duty structure and cess collection, to control the coconut prices.

Since crop production is going to increase from February onwards, the Coconut Growers Association strongly suggest the Coconut Development Authority to initiate such marketing strategies, to overcome the current high local domestic consumer prices till such time the coconut production improves, which is expected by end of February.