The country’s coconut industry has suffered this year, with production declining by 20 percent. This is primarily due to the impact of last year’s El Niño phenomenon and successive typhoons in the latter half of 2023, according to the Philippine Coconut Authority (PCA).

Luz Brenda Balibrea, chief of the PCA’s Trade Information and Relations Division, said the dry spell early last year significantly stressed coconut trees. In contrast, the series of typhoons in the latter part of the year further compounded the damage.

“Our current situation in the coconut industry is that our production has slightly decreased this year due to the effects of El Niño in the first half of last year, and in the second half, there were consecutive typhoons,” Balibrea said in Filipino. She added that the country’s coconut oil output dropped by around 15 percent.

Despite the downturn, the Philippines remains the world’s second-largest coconut-producing country. However, Balibrea noted that the supply shortage is not unique to the country, as the global market is also experiencing tight supply across all vegetable oils.

`“This is a global experience,” she said, explaining that coconut products are considered internationally traded commodities, making the local industry vulnerable to global market shifts.

25-M trees eyed

To address the situation, Balibrea said the PCA has already conducted stakeholder consultations with key industry players, including oil millers, exporters, refiners and biofuel producers. These consultations have laid the groundwork for strategic actions aimed at mitigating the effects of the production shortfall.

One major long-term solution being pursued is the continuation of the government’s aggressive planting and replanting program.

Under President Ferdinand “Bongbong” Marcos Jr.’s administration, the PCA targets planting 100 million coconut trees. The program began last year with 8.5 million trees planted, and 25 million more are expected to be planted this year.

Despite the reduced output, Balibrea clarified that the government would not ban coconut product exports.

“Coconut products, especially coconut oil, are the Philippines’ biggest export,” she said.