Market Report

As we continue through 2nd quarter, we are striving to meet the demands of the market.  It has been an uphill battle that Klassic Coconut is conquering.  The worldwide coconut shortage has continued to cause shipment delays.  This shortage, along with Covid-19 restrictions continues to put a strain on all users. On top of the shortages, there is still much difficulty in securing shipping containers. This has continued to cause the shipping costs to remain at an all time high.  The longer transit times also continue at 60-80 days which not so long ago were only 30-40 days. Due to...

As we approach 2021 Q2, supply shortages persist to new levels.  Suppliers continue to try to manage the demands of customers while coping with nut availability due to effects of storms and/or other weather-related issues; depending on the region—some mills are only able to operate at a fraction of their capacity while also having to contend with on-going consequences of COVID-19 on harvesting and production.  These shortages are expected to be an issue going into Q3 2021. The on-going effects of COVID have also culminated into a chaotic supply channel reaching to unprecedented heights of transit times and rates.  From...

Early 2021 has been a challenge to say the least for the world of all things coconut.  There has been a decrease in production due to COVID social distancing requirements.  There is also less coconuts due to the effects of the tropical storms that occurred in late 2020 which effected major growing coconut regions in the Philippines.  On top of these already large obstacles, the market has taken on additional struggles with transit reliability and pricing.  There are container shortages in far east Asia, causing extreme delays and extreme price increases.  Much of this has to do with the large...

As previously reported, after seeing cyclical lows on pricing in 2019, prices were beginning to rise due the effects of extended dry season in 2019 putting stress on trees resulting in lower yields for the end of 2019.Supply issues were further exacerbated throughout 2020 as there was a decrease in harvesting and processing due to the new measures and policies put in place to curb the spread of covid-19. In late October/early November of this year, supply was further effected by a series of severe storms that came through the major coconut growing regions in the Philippines.There is a lot...