September 10, 2014

Exports of both coconut oil and palm kernel oil are expected to climb in 2014/15 to 5.4 million tons from 5.01 million tons in 2013/14 according to Oil World.  Coconut oil production in the Philippines is set to climb to 1.34 million tons – up from a decreased 1.22 million tons in 2013/14 due to damage from typhoon Haiyan which damaged 33 million coconut trees in the Eastern Visayas region of the Philippines alone, and 1.62 million tons the year before.  Supply disruptions and the price volatility they create, especially in coconut oil disrupted growth in global demand, however Oil World expects global exports of coconut oil to recover from these lows.  Global consumption of lauric oils is projected to climb to a record 9.99 million tons from 9.53 million tons in 2013/14 and up 3.2 million tons from 10 years ago.  Production of palm kernel oil will increase to 6.73 million tons in the year through September, 2015 with output in Indonesia climbing to 3.42 million tons up from 3.22 million tons.  And coconut oil production is forecast to reach 3.25 million tons led by increases in the Philippines – up from 3.22 million tons the year before.

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