We are only pushing for a temporary lifting of the matured coco export ban to lessen the current glut of coconut in our local market and to stabilize its price. Once the price is stable, we will stop exporting

The PCA headquarters in Quezon City. The agency said the average price of coconut oil declined to $635 per metric ton (MT) in June, from its year-ago level of $931.19 per MT.

The Philippine Coconut Authority (PCA) is pushing for the “temporary” nationwide lifting of the matured coconut export ban as part of its effort to curb the current coconut supply glut.

Speaking with the press on Thursday, PCA Administrator Gonzalo Duque said the move also intends to provide an additional livelihood to coconut planters, taking advantage of the plummeting international price of copra.

However, Duque clarified that the lifting of the export ban would only be temporary.

“We are only pushing for a temporary lifting of the matured coco export ban to lessen the current glut of coconut in our local market and to stabilize its price. Once the price is stable, we will stop exporting,” Duque told reporters.

Based on the latest figures from PCA, the average price of coconut oil declined to $635 per metric ton (MT) in June, from its year-ago level of $931.19 per MT.

These figures were nearly half of the recorded $931.19 per MT in 2017.

Former Administrator Romulo de la Rosa, who remains an official of the PCA, said the cut in international prices is attributable to the existing oversupply of palm, vegetable and coconut oil in the international market.

De la Rosa said the decline in prices has hurt the income of farmers.

“Crude coconut oil constitutes about 54 percent of the country’s shipments of coconut products,” he said.

He said the farmgate price of copra or the dried kernel of a coconut, is now at its breakeven point at P13 per kilogram.

Two years ago, copra price was pegged at about P25 per kg, he said.

Approximately four million farmers nationwide are being affected with the decline in copra prices due to competition in the global market.

Meanwhile, Duque stressed that there is no need to worry over the threat of genetic copying, noting that “we are already past that era.”

“We don’t have to worry about genetic copying because if they wanted to do that before, they would have already done it. It’s not an important matter now. What we need is to address the falling copra prices,” Duque said.

He said the Philippines should capitalize on the rising demand for coconut among Asian countries like China.

Duque also confirmed that their request is currently undergoing through stakeholder consultation.