GEORGE TOWN: Malaysia’s move to export fresh coconuts to China can help stabilise prices locally, especially during a glut, say coconut suppliers.
The export of excess stocks will help ensure better prices for fresh coconuts while local supply will not be affected, said Joez Coconut director Joel Jeyachandran.
These coconuts, of the Matag variety, are not only consumed as coconut water but are also popular as coconut shakes and jelly.
He said Matag coconuts, which are green and known for their sweet, juicy water, are ideal for exports.
On April 16, Malaysia received approval to export fresh coconuts to China following the signing of a memorandum of understanding (MOU) between the two countries.
He said an oversupply in the market could cause the wholesale price of RM4 per coconut to drop sharply, resulting in losses to suppliers.
“Exporting the surplus will not negatively impact domestic availability. In fact, during rainy weather, local consumption of fresh coconuts declines, increasing the surplus.
“Prices often fall at such times and exporting the surplus will be good,” said Joel, who gets his coconuts from farms in Bagan Datok and Pantai Remis in Perak.
Joel, who supplies between 80,000 and 100,000 fresh coconuts to local retailers each month, noted that not all coconuts are suitable for export or prolonged storage.
Certain varieties, like the Pandan coconut, must be kept fresh.
“Pandan coconuts are prized for their fragrance and must be consumed within 18 to 20 days of harvest. Otherwise, they lose their aroma and market value,” he said.
“As for the Mawar variety, its flesh is thick and creamy. It is used for making coconut milk,” Joel added.
SL Coconut Trading director A. Loganathan, who owns four plantations spanning about 400ha in Manjung and Bagan Datok, said he turned down an export deal due to the high risks associated with delivering fresh coconuts to China.
“I was told the shipment would take around 10 days to arrive. Fresh coconuts typically last only about a week without refrigeration, and exposure to heat during transit could cause them to crack and spoil before they reach their destination,” he said.
“Moreover, the prices offered were too low.”
Still, Loganathan is optimistic about receiving more attractive offers to launch his export venture.
“Malaysia has high-quality coconuts and many people in other countries are incorporating them into their culinary practices.
“I hope to tap into this growing market,” he said.
Previously, Malaysia had been exporting young coconuts to China based solely on general phytosanitary certificates, without any specific protocol in place.
The signing of the MOU, however, will see greater emphasis on the requirements for registered farms and adherence to good agricultural practices.
Malaysia’s coconut production reached 624,000 metric tonnes in 2023, with 6,000 metric tonnes of that being young coconuts exported abroad.
