Market Report

As we have closed out 2024, the effects of the El Nino Season that extended from last half of 2023 through the first half of 2024 have been fully realized. In many regions, coconut yields have been halved in their bunches and in their size.  Forecasts project the effects will be felt through Q1, as such supply shortages are likely to extend into 2025 Q2.  In Q4 2024, SE Asia experienced several typhoon related events, causing even more of a strain on an already tight supply.  Typhoon season is nearly over as it usually ends December, however, the last major...

Supply: Over the last few months, the affects of 2023 El Nino season has started to show.  As the effects of the drought take about a year to come to fruition, crop yields have begun to slow, and expectations are that shortages will continue throughout 2024 and well into 2025.  In the Philippines, typhoon season is well under way and there have been a few storms that have caused production disruptions already. Pricing: Over the last couple of months, we have seen large increases to pricing, approaching highs not seen since the shortages caused by the 2009/2010 El Nino season. ...

Supply remained relatively stable through Q2.  However, the Philippines was hit in May by its first larger typhoon of the season.  Some mills were affected by flooding which caused disruptions to production at the mills for the week following due to power outages throughout the region.  Many mills, already behind on shipments continue to play catch up and bookings are already extended out well into 4th quarter. We are now a couple months into rainy season in the Philippines (May-November) but the effects of El-Nino throughout much of 2023 and through May 2024 are yet to be seen, as all...

After a slow 2023, we continue to see a shift to a more regular demand through Q1 2024.  As for supply, El-Nino has already affected some regions, already noticing lower crop yields, with many regions projected to experience the effects of El-Nino later in the year and into 2025.        Things to watch for in 2024 Q2: Pricing has already increased through Q1, and we expect Q2 to stay much the same course.  Current forecasting models are predicting the effects of El-Nino to be more pronounced in many more major growing regions as we move into Q3-Q4. As such, we...