Coconut Oil To Ease As Supply Fears Ebb

Coconut oil prices are expected to ease this week as fears of a delay in shipments allayed with the loading of fresh supplies from Philippines onto a European-bound ship, vegetable oil traders said on Monday.

The MV Luctor was expected to leave Philippines this week after loading 35,000 tonnes of coconut oil, alleviating supply concerns fuelled by the delayed arrival of another ship, MV Blue Sapphire, into the Philippines, they said.

The MV Blue Sapphire has been stuck in China but is now expected to arrive in the Philippines on June 6, traders said.

"We are in a lull waiting for news on Sapphire and the effects of the rains in the southern Philippines," one trader said. "Prices will likely move in a narrow band of $5 up or down."

 

Coconut oil sellers quoted $642.50 per tonne C&F on Saturday against $630 for buyers, trade group United Coconut Association of the Philippines said.

Coconut oil stocks in Rotterdam dropped to 15,972 tonnes as of May 23 from 19,475 tonnes in the previous week.