Nafed's copra buying yet to take off

Nafed's copra procurement plans have stalled in Kerala, as the state government has not initiated any steps in this regard, allege G Sugunan, chairman, Primary Cooperative Marketing Societies Association of Kerala.

Nafed had decided to start procurement of copra two months back since the prices had dropped to Rs 3,130-3,250 a quintal, which is below the support price of Rs 3,600. Kerafed is the nodal agency for procurement.

A committee under the chairmanship of the district collector should be constituted in each district to identify primary societies eligible for collecting copra from farmers.

Sugunan said so far these committees have not been constituted in most of the districts. Kerafed itself is procuring copra and coconut, but only a nominal quantity. This would not influence the open market prices, he said.

During the last four weeks price of coconut oil had plummeted to Rs 4,750, a decline of Rs 200 per quintal. Copra prices too had dipped considerably.

Sources said price of coconut oil may fall further to Rs 4,000 levels as the market is flooded with copra and coconut oil, especially from Tamil Nadu.

In Kerala, the new producing season will commence by the next month and there would be a price drop unless Nafed starts intervening soon.

Sugunan said if the price fall continues even after Nafed starts procurement, the blame will squarely fall on the state government.