Coconut Oil Prices Surge Ahead of Onam, Consumers Face Fresh Shock

Thiruvananthapuram: The price of coconut oil is set to hit consumers hard ahead of Onam. After a brief period of stability, coconut oil prices have surged again, with the increase being attributed to artificial price manipulation ahead of the Onam season. By Monday, the price had crossed Rs 300 per litre, with a further rise expected.

Although there is no shortage of coconuts or copra, interventions by coconut oil marketing centres in Tamil Nadu are affecting consumers in Kerala. Despite adequate stocks, mills are allegedly making a coordinated effort to create an artificial shortage through hoarding and drive up prices. Large traders in Tamil Nadu had widely stockpiled copra in anticipation of the Onam market. This pushed coconut oil prices up from Rs 260 to above Rs 300.

Kochi Oil Merchants Association president Talat Mahmood told Deshabhimani Online that the intervention of lobbies in Tamil Nadu during festival seasons is behind the price rise.

The UDF government's failure to intervene effectively in the market has further aggravated the situation. Earlier, when coconut oil prices had risen sharply during the Onam season, government intervention had brought them down. The sale of coconut oil, including Kera coconut oil, at reduced prices through Supplyco had also provided relief to ordinary consumers.