Coconut Crisis: Prices Soar in Asia as Climate Disrupts Supply
The cost of coconuts has reached unprecedented heights in Vietnam, the Philippines, and Thailand because of reduced supplies stemming from climate change impacts and pest infestations.
Vina T&T, a major fruit exporter, is currently paying as much as VND220,000 ($8.47) per dozen coconuts directly from farmers, setting record-high prices.
Industry experts stated that coconut prices have increased over twofold compared to the previous year at this time, and dealers are finding it difficult to secure supplies.
"Coconut prices are increasing just as rapidly as gold prices," stated Nguyen Dinh Tung, the CEO of Vina T&T.
Each week, the firm ships out seven containers of coconuts; however, this quantity satisfies merely two-thirds of what its international clients require.
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A vendor prepares coconuts for sale at a roadside stall in Hanoi on July 1, 2022. Photo by AFP |
The same pattern can be observed in Sri Lanka, the Philippines, and Thailand, which are major exporters of the nut. Year-over-year prices have surged by 50-100% in these nations.
In Thailand, the fruit is currently priced at $2.9 per kilogram, whereas in the Philippines, the cost has reached as high as $4.28.
Extended periods of severe weather have interrupted supply chains, where El Nino has led to droughts and La Nina has brought intense rainfall and unexpected storms in major coconut-producing areas within these nations.
Insect infestations have additionally impacted crop outputs, whereas the demand from markets such as China and the U.S. keeps driving prices upwards.
In the meantime, Vietnamese coconuts are making headway due to their competitive prices and consistent quality.
The Ministry of Agriculture and Environment has reported significant growth in Vietnam’s fresh coconut exports for the initial four-month period of this year, showing considerable rises particularly towards the U.S. and China.
The globe's fifth biggest exporter of coconuts possesses 200,000 hectares of plantations that produce approximately two million tons each year.
In the previous year, the export value of coconuts and their derivatives reached almost $1.1 billion, with coconuts alone contributing approximately $390 million. Vietnamese coconuts are currently distributed across more than 40 countries and regions worldwide, with the United States and China leading as the primary markets.
Starting from August 2023, when the U.S. made its market accessible, Vietnamese coconuts , exports increased more than tenfold within a year.
During the initial two months of 2025, exports to this particular market saw an increase of 46% compared to the same period last year.
China has emerged as a significant market after the official export protocol was signed in August 2024, leading to a sharp increase in deliveries.
China consumes approximately four billion coconuts each year, out of which 2.6 billion are fresh. Vietnam ranks as the third-largest supplier, providing about 20% of China’s total consumption from this category.
Dang Phuc Nguyen, who serves as the general secretary of the Vietnam Fruit and Vegetable Association, noted that Vietnamese coconuts are highly valued for their unique taste and gain popularity in both the United States and China particularly during summertime.
He predicted that fresh coconut exports would reach a record $500 million this year.
