:
ABSTRACT:
The coconut industry, thriving with a
diverse array of coconut and coconut-derived products, holds promising export
prospects, particularly in tropical regions like India. This research embarks
on an ambitious journey that seeks to seamlessly integrate cutting-edge
processing techniques, artificial intelligence (AI), and data analytics into
the coconut sector. The primary objectives of this endeavour are to elevate the
quality, efficiency, and consistency of coconut-derived products while
harnessing real-time AI-driven optimization of production processes. Within
this research paper, we delve into the deployment of advanced processing
techniques tailored specifically for coconut-based products. Furthermore, we
provide a comprehensive overview of production and productivity trends from
1950 to 2022, bolstered by meticulous trend analysis. The paper also includes
an insightful forecast, shedding light on expected developments in this sector.
In addition to production insights, we meticulously examine the dynamics of
export and import values, accentuating their fluctuations and trends. Our analysis
extends its gaze to the horizon of 2030, offering a glimpse into the
anticipated trajectory of this trade. To offer a holistic perspective, we
address the challenges confronted by exporters from India in the coconut-based
product market. These challenges are elucidated, providing valuable insights
for stakeholders aiming to navigate this landscape successfully. Lastly, we
present a set of pragmatic suggestions poised to fuel the expansion of
coconut-based product exports. These recommendations serve as a roadmap for
industry players, policymakers, and entrepreneurs seeking to harness the full
potential of this burgeoning sector.
Key words -
Fostering Export Excellence, Integrating Advanced Processing Techniques,
Artificial Intelligence, Data Analytics for Coconut, Coconut-Based Products
SECTION 1
INTRODUCTION
For
centuries, the coconut, the fruit of the coconut palm (Cocos nucifera L.), has
been an exceptionally versatile resource. It has served as a reliable source of
sustenance, hydration, clothing, shelter, and income generation from its
various products. The coconut's unique characteristic of being available
year-round has contributed to its enduring significance. Presently, Indonesia,
the Philippines, and India stand as the world's foremost coconut producers.
Each cluster of coconuts can yield between five and twelve nuts, each of which
plays a multifaceted role in providing nourishment, oil, coconut water, coconut
milk, and even medicinal applications. Its historical utilization dates back
centuries, making it a symbol of serenity and, increasingly, a representation
of well-being. In India alone, the livelihoods of approximately ten million
people are intricately linked to coconuts, either directly or indirectly. India
ranks third worldwide in terms of coconut cultivation area and first in coconut
production. The coconut industry has historically been a linchpin of the
economy in tropical regions. Its array of products finds diverse applications
in the food, cosmetics, and industrial sectors. The recent surge in global
demand for coconut and coconut-based products can be attributed to a burgeoning
community of health-conscious consumers seeking natural and sustainable
choices. To harness the industry's vast potential and ensure its long-term
viability, it is imperative to embrace innovation and operational efficiency
across the entire value chain. The coconut's global dissemination can be
attributed to the migration and trade activities of seafaring communities,
while its buoyant nature enables it to traverse significant distances through
ocean currents. Remarkably, coconuts have even been discovered on the shores of
Norway, far from their tropical origins. India exports coconut to more than 140 countries around the world. The
major importers of coconut from India are Vietnam, the UAE, Bangladesh,
Malaysia and USA.
Since
the late 1980s, advancements in technology have enabled the conversion of
coconut water and flesh into ready-to-drink (RTD) coconut beverages and
ready-to-use coconut milk and cream products. Beyond culinary applications,
coconut oil offers an extensive range of uses, spanning from health and
skincare to weight management. Coconut, as a highly nutritious fruit, serves as
a versatile ingredient in both culinary and beauty products. From coconuts, we
can derive eight distinct food products: coconut oil, coconut milk, coconut
cream, coconut flakes (desiccated coconut), coconut water, coconut flour, and
coconut sugar (extracted from the coconut palm's flower sap). Coconut Butter. These
are commonly packaged in cans, cartons, and various other forms of packaging . Coconut Milk is to make various preparations such as fish & meat
dishes, curries, sweets, deserts, puddings, cocktails, cakes, cookies, coconut
jam, ice creams etc. Coconut oil has gained importance as a dietary fat because
of its high content of lauric acid, the source of monolaurin in the body and
16W content of Omega 6. It can be used for manufacturing margarine and
shortenings.
Coconut's
applications extend beyond the culinary domain, finding use in soaps and
cosmetics. Even pure coconut oil serves as a natural skin moisturizer, free
from added chemicals or fragrances.
Traditionally,
coconut processing relied heavily on labour-intensive techniques, resulting in
inconsistent product quality and operational inefficiencies. However, the
adoption of modern processing methods, including cold-pressing for coconut oil
extraction and advanced dehydration techniques for desiccated coconut, has
revolutionized the industry. These techniques enhance product quality, extend
shelf life, and bolster the overall competitiveness of coconut-based exports.
Artificial
intelligence (AI) now plays a pivotal role in ensuring product quality and
optimizing production yields within the coconut industry. AI-powered algorithms analyse data from a
range of sensors and production phases, facilitating immediate adjustments to
uphold a consistent level of quality. Additionally, predictive analytics can anticipate potential issues and
optimize resource utilization, resulting in cost savings and improved yields.
In
response to consumers' increasing demand for sustainable and ethically sourced
products, the coconut industry is adopting technologies such as block chain and
AI to trace the origins of coconuts. These technologies ensure transparency and
ethical practices throughout the supply chain, aligning with the growing
emphasis on sustainability, which is not only a market differentiator but also
a necessity for long-term industry viability.
However,
the integration of advanced processing techniques, AI, and data analytics
presents both opportunities and challenges. This paper will discuss issues
related to technology adoption, data privacy, and bridging the digital divide
in coconut-producing regions. Addressing these challenges is crucial for
fostering inclusive growth and enhancing global competitiveness.
In
inference, this research paper aims to provide a comprehensive understanding of
how advanced processing techniques, artificial intelligence, and data analytics
are reshaping the coconut industry. These innovations enhance product quality,
increase market competitiveness, and promote sustainability. Embracing these
innovations allows the coconut industry to realize its full potential, ensuring
export excellence while meeting the evolving demands of consumers and global
markets. In doing so, it can secure its position as a vital contributor to the
economic well-being of tropical regions. The limitation of this study is
research is limited to India further research can be done to top producing
countries of coconuts and coconuts by products.
SECTION
2: LITERATURE REVIEW
Jagadeesh K. Mannekote and Satish V. Kailas
(2016) conducted a study that focused on the opportunities and challenges
associated with value addition to coconut products in India. Historically,
India's coconut economy has been closely linked to fresh coconut consumption.
Approximately 50 per cent of the coconut production is converted into copra,
while over 40 per cent is consumed as fresh or tender nuts, used for coconut
meal and coconut oil. Only a small fraction finds its way into other
coconut-based products. The study's primary finding was that despite the
significant potential for diversification, India's coconut industry remains
heavily reliant on coconut oil production. The study highlighted the need to
reduce this dependence and explore innovative value addition methods. In a
separate study by Jacob George (2014), the marketing structure of the neera
supply chain was examined. The study recommended the establishment of an
umbrella organization, known as the Neera Marketing Consortium (NMC), to unify
coconut producer companies within a common marketing system. The systematic
functioning of this consortium was envisioned to enhance the competitiveness of
coconut neera and neera-based products, allowing them to compete effectively in
the soft drink industry .Rupak G. Madassery (2014) conducted research on agro-food
processing and marketing, suggesting the application of the Just-In-Time
technique in the food processing sector. Efficient supply chain management was
identified as essential for achieving cost-effectiveness in the coconut
industry. Effective intermediary processes, facilitated by proper supply chain
management, would benefit coconut-producing companies and federations in
Kerala, particularly in activities like coconut procurement and transportation
for processing and value addition.
Sreelakshmi N. (2014) examined supply chain
issues in the coconut industry in Kerala. The study emphasized the need for an
efficient supply chain to explore market opportunities for innovative coconut
products. Currently, the coconut value addition sector lacks an efficient
integrated system for collecting, processing, and distributing coconut
products. The researcher proposed adopting the Amul model system, which has
been successful in other industries. By participating in the supply chain,
coconut producer societies and federations could strengthen their position. The
coconut palm, often referred to as the "tree of life," yields a
remarkable array of products, including fresh coconuts, copra, coconut oil,
copra cake, desiccated coconut, coconut shell, shell charcoal, shell flour,
coconut husk, mattress coir fiber, coir bristle, coir dust, coconut shots,
whole nuts, husked coconuts, and coconut water. While coconut exports accounted
for 75% of production over the 1990s and 2000s, 25% of the production was
consumed domestically. The data align with previous studies that indicated
substantial coconut exports and some domestic consumption. In 2016, the
Netherlands and the USA were significant importers of coconut products from the
Philippines. Despite the versatility of coconuts, coconut productivity in
Indonesia remains low. To address this, measures such as replanting
unproductive palms, promoting good agricultural practices, and introducing
high-value coconut products are necessary. India, Indonesia, and the
Philippines export various coconut products, including copra and coconut
shells. Indonesia's export of coconut shell derivative products primarily
includes non-activated shell charcoal. Activated charcoal, biogas, bio pellets,
and bio-briquettes can be produced from charcoal, but the environmental impact
of charcoal production must be managed.
Climate change poses a challenge to coconut
plantations, affecting availability and utility. Therefore, environmentally
friendly coconut development and derivatives are essential. Eco labels can play
a role in identifying the environmental performance of coconut products. In a
study by F. Thasnimol and A. Prema (2021), the authors analysed the performance
and competitiveness of coconut trade in India. Despite India being a leading
coconut producer globally, its contribution to world exports has been
relatively modest, around 10 per cent. The study highlighted the need for
integrated efforts to improve production, productivity, product
diversification, and foreign trade to harness India's trade advantage in the
coconut sector.
SECTION
3: DISCUSSTION AND ANLYSIS
Advanced
processing techniques have played a transformative role in the coconut product
manufacturing industry, revolutionizing various stages of production to enhance
efficiency, quality, and product diversity. These advancements have left an
indelible mark on coconut-based products, impacting everything from harvesting
and husking to processing and packaging. At the heart of these innovations lies
the quest for improved extraction methods, exemplified by virgin coconut oil
(VCO) production. Here, ingenious techniques such as cold-pressing and
centrifugation have been employed to draw out VCO from coconut meat. These
methods have been meticulously designed to safeguard the oil's innate flavours
and nutritional properties, ensuring that the end product is both wholesome and
aromatic.
Drying
processes, a critical facet of coconut product manufacturing, have also
witnessed significant evolution. Spray drying, a pivotal technique in the
production of coconut milk powder and coconut water powder, is employed to efficiently
remove moisture, yielding fine, shelf-stable powders. Solar drying, on the
other hand, has emerged as a sustainable alternative, facilitating the drying
of coconut flakes or copra while simultaneously reducing energy consumption and
preserving product quality. Refining procedures have undergone remarkable
advancements, with a spotlight on desiccated coconut production. Here, advanced
refining methods encompass grating, drying, and sieving coconut meat to ensure
uniformity in texture, color, and laver. This uniformity is vital, given that
desiccated coconut serves as a fundamental ingredient in a wide array of
desserts and baked goods. Additionally, modern techniques such as vacuum
evaporation have been employed in coconut sugar production, upholding the
natural sweetness and nutritional value of this sought-after product.
The
transformation extends to DE husking and husk processing, with mechanical DE
husking emerging as an efficient solution. Automated dehiscing machines have
streamlined the removal of husks, reducing labour costs and enhancing
productivity. Complementing this is husk fiber extraction, made possible
through state-of-the-art machinery that extracts coconut husk fibers. These
fibers find versatile applications in mattress production, erosion control, and
handicrafts, adding value to an otherwise underutilized resource. Quality
control in the coconut industry has seen a paradigm shift, incorporating
advanced analytical techniques such as spectroscopy and spectrometry. These
technologies are deployed to meticulously monitor and regulate the chemical
composition of coconut products, ensuring strict compliance with quality
standards. Additionally, real-time monitoring of production processes
facilitated by sensors and automation has become the norm, contributing to the
maintenance of consistent product quality.
Energy
efficiency and environmental sustainability have become core principles in
modern coconut processing. Biomass energy utilizations is one example, with
some facilities harnessing the energy potential of coconut shells and husks,
effectively reducing their environmental footprint and energy costs. Moreover,
advanced processing plants now incorporate heat recovery systems, optimizing
energy usage during drying and refining processes. In the spirit of
sustainability, waste utilizations techniques have also emerged, effectively
minimizing waste in the coconut industry. Innovative approaches capitalize on
coconut by-products such as shells, husks, and coir, redirecting them towards eco-friendly
applications. This not only reduces waste but also aligns with broader
sustainability goals.
The
push for innovation extends further into product diversification, allowing the
coconut industry to expand its horizons. Advanced processing techniques have
facilitated the production of an extensive range of coconut-based beverages,
including coconut water, coconut milk, and coconut cream. These products, often
boasting extended shelf lives, cater to diverse consumer preferences.
Additionally, the industry has ventured into coconut-based snacks, spreads, and
dairy alternatives, adapting to the evolving tastes of consumers worldwide.
In
supposition, advanced processing techniques have ushered in a new era for the
coconut product manufacturing industry. They have elevated product quality,
reduced production costs, promoted sustainability, and paved the way for
diversification into innovative coconut-based products. These techniques are
instrumental in meeting the demands of both domestic and international markets,
ensuring the coconut industry remains competitive and sustainable on the global
stage.
Table 1: AREA, PRODUCTION & PRODUCTIVITY
OF COCONUT IN INDIA
Year |
Area('000 ha) |
Production(Million
nuts) |
Productivity(Nuts
per ha) |
|
|||||
1950 |
627 |
3282 |
5238 |
|
|||||
1951 |
630 |
3306 |
5247 |
|
|||||
1952 |
627 |
4177 |
6660 |
|
|||||
1953 |
639 |
3911 |
6123 |
|
|||||
1954 |
640 |
4265 |
6663 |
|
|||||
1955 |
648 |
4224 |
6523 |
|
|||||
1956 |
657 |
4458 |
6785 |
|
|||||
1957 |
664 |
4501 |
6778 |
|
|||||
1958 |
691 |
4652 |
6729 |
|
|||||
1959 |
707 |
4765 |
6738 |
|
|||||
1960 |
717 |
4639 |
6466 |
|
|||||
1961 |
723 |
4478 |
6194 |
|
|||||
1962 |
791 |
4963 |
6274 |
|
|||||
1963 |
799 |
4736 |
5928 |
|
|||||
1964 |
848 |
5043 |
5950 |
|
|||||
1965 |
884 |
5035 |
5698 |
|
|||||
1966 |
893 |
5192 |
5814 |
|
|||||
1967 |
924 |
5321 |
5760 |
|
|||||
1968 |
988 |
5546 |
5613 |
|
|||||
1969 |
1033 |
5859 |
5670 |
|
|||||
1970 |
1046 |
6075 |
5811 |
|
|||||
1971 |
1088 |
6124 |
5626 |
|
|||||
1972 |
1099 |
5997 |
5456 |
|
|||||
1973 |
1102 |
5851 |
5309 |
|
|||||
1974 |
1116 |
6030 |
5401 |
|
|||||
1975 |
1070 |
5829 |
5449 |
|
|||||
1976 |
1075 |
5765 |
5366 |
|
|||||
1977 |
1057 |
5413 |
5123 |
|
|||||
1978 |
1055 |
5730 |
5431 |
|
|||||
1979 |
1076 |
5662 |
5263 |
|
|||||
1980 |
1083 |
5942 |
5485 |
|
|||||
1981 |
1091 |
5940 |
5445 |
|
|||||
1982 |
1149 |
6356 |
5531 |
|
|||||
1983 |
1166 |
5808 |
4983 |
|
|||||
1984 |
1183 |
6913 |
5842 |
|
|||||
1985 |
1226 |
6770 |
5524 |
|
|||||
1986 |
1231 |
6377 |
5179 |
|
|||||
1987 |
1346 |
7270 |
5401 |
|
|||||
1988 |
1426 |
8541 |
5992 |
|
|||||
1989 |
1472 |
9359 |
6357 |
|
|||||
1990 |
1514 |
9700 |
6407 |
|
|||||
1991 |
1529 |
10080 |
6593 |
|
|||||
1992 |
1538 |
11241 |
7310 |
|
|||||
1993 |
1635 |
11975 |
7324 |
|
|||||
1994 |
1714 |
13300 |
7760 |
|
|||||
1995 |
1831 |
12952 |
7074 |
|
|||||
1996 |
1891 |
13061 |
6908 |
|
|||||
1997 |
1861 |
12717 |
6834 |
|
|||||
1998 |
1755 |
12536 |
7145 |
|
|||||
1999 |
1768 |
12129 |
6860 |
|
|||||
2000 |
1824 |
12678 |
6951 |
|
|||||
2001 |
1932 |
12963 |
6709 |
|
|||||
2002 |
1922 |
12535 |
6523 |
|
|||||
2003 |
1934 |
12178 |
6298 |
|
|||||
2004 |
1935 |
12833 |
6632 |
|
|||||
2005 |
1947 |
14811 |
7608 |
|
|||||
2006 |
1937 |
15840 |
8179 |
|
|||||
2007 |
1903 |
14744 |
7747 |
|
|||||
2008 |
1895 |
15730 |
8303 |
|
|||||
2009 |
1895 |
16918 |
8927 |
|
|||||
2010 |
1896 |
16943 |
8937 |
|
|||||
2011 |
2071 |
23351 |
11277 |
|
|||||
2012 |
2137 |
22680 |
10615 |
|
|||||
2013 |
2141 |
21665 |
10122 |
|
|||||
2014 |
1976 |
20440 |
10345 |
|
|||||
2015 |
2088 |
22167 |
10,614 |
|
|||||
2016 |
2082 |
23904 |
11,481 |
|
|||||
2017 |
2097 |
23798 |
11,350 |
|
|||||
2018 |
2151 |
21288 |
9,897 |
|
|||||
2019 |
2173 |
20309 |
9,345 |
|
|||||
2020 |
2199 |
20736 |
9,430 |
|
|||||
2021 |
2154 |
19310 |
8,966 |
|
|||||
2022 |
2287.4 |
20222.1 |
9116.7 |
|
|||||
2023 |
2315.7 |
20574.9 |
9188.8 |
|
|||||
2024 |
2343.7 |
20928.0 |
9260.6 |
|
|||||
2025 |
2371.2 |
21305.7 |
9372.7 |
|
|||||
2026 |
2398.6 |
21677.0 |
9472.4 |
|
|||||
2027 |
2425.5 |
22058.8 |
9589.5 |
|
|||||
2028 |
2452.0 |
22440.1 |
9705.7 |
|
|||||
2029 |
2478.3 |
22828.5 |
9832.4 |
|
|||||
2030 |
2504.0 |
23218.7 |
9962.5 |
|
|||||
|
Source: Official data from the
Ministry of Agriculture and Farmers Welfare, Government of India. |
|
|
|
|
|
|||
GRAPH 1: Showing AREA, PRODUCTION &
PRODUCTIVITY OF COCONUT IN INDIA
The data provided appears to represent statistics related to the production of coconuts over several years, along with information about the area of land used for production and the productivity in terms of nuts per hectare. The data spans from 1950 to 2022, and the trend analysis is from 2023 to 2030. "Area ('000 ha)" represents the area of land used for nut production in thousands of hectares. “Production (million nuts)" represents the total nut production in millions. “Productivity (nuts per ha)" represents the number of nuts produced per hectare of land.
Notable
Years: Some notable years with remarkable changes include: 1952: A significant
increase in production and productivity
1972:
A dip in production
2011:
A substantial increase in both production and productivity
2015–2020:
A period of relatively stable production and productivity
2022-2030:
A consistent increase in production and productivity (trend analysis)
Expansion
of Cultivated Area, Improved Farming Practices: Pest Control and Climate
Conditions: Government Support: And technological advancements: Market demand
is one of the roots of the increase in the productivity of coconuts. Natural
disasters: pest and disease outbreaks, poor agricultural practices, climate
change: land degradation, low coconut prices, and policy and regulatory issues
are the few reasons for the decrease in the production of coconuts.
Table 2 : EXPORT IMPORT VALUE OF COCONUT AND
ITS PRODUCTS EXCL. COIR |
||||||||||||||
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|||||||||||||
Year |
Export Value - Coconut Products |
% variation over |
Import Value - Coconut Products |
% variation over |
|
|||||||||
excluding Coir (Rs in Crore) |
previous year |
excluding Coir (Rs in Crore) |
previous year |
|
||||||||||
2009 |
432.4 |
|
107.2 |
|
|
|||||||||
2010 |
525.7 |
21.57 |
120.8 |
13 |
|
|||||||||
2011 |
838.7 |
59.55 |
209.9 |
74 |
|
|||||||||
2012 |
1022.5 |
21.9 |
191.9 |
-9 |
|
|||||||||
2013 |
1156.1 |
13.1 |
231.1 |
20 |
|
|||||||||
2014 |
1312.4 |
13.5 |
264.5 |
14 |
|
|||||||||
2015 |
1450.2 |
10.5 |
380.0 |
44 |
|
|||||||||
2016 |
2061.7 |
42.2 |
270.6 |
-29 |
|
|||||||||
2017 |
1764.3 |
-14.4 |
369.4 |
37 |
|
|||||||||
2018 |
2045.4 |
15.9 |
597.6 |
62 |
|
|||||||||
2019 |
1762.2 |
-13.9 |
802.6 |
34 |
|
|||||||||
2020 |
2294.8 |
30.2 |
744.3 |
-7 |
|
|||||||||
2021 |
3236.8 |
41.1 |
728.1 |
-2 |
|
|||||||||
2022 |
3554.2 |
9.8 |
457.8 |
-37 |
|
|||||||||
2023 |
3243.2 |
16.9 |
759.7 |
-4 |
|
|||||||||
2024 |
3472.5 |
17.1 |
815.1 |
-7 |
|
|||||||||
2025 |
3691.1 |
17.4 |
867.2 |
-10 |
|
|||||||||
2026 |
3930.0 |
17.6 |
926.9 |
-13 |
|
|||||||||
2027 |
4175.4 |
17.9 |
978.9 |
-16 |
|
|||||||||
2028 |
4418.7 |
18.1 |
1028.4 |
-19 |
|
|||||||||
2029 |
4659.4 |
18.3 |
1073.3 |
-22 |
|
|||||||||
2030 |
4890.6 |
18.6 |
1126.1 |
-25 |
|
|||||||||
Source: DGCIS
The
F-ratio value is 38.41945. The p-value is 000032. The result is significant at
p <.05.
Export
Growth: The data shows a generally increasing trend in the export value of
coconut products from 2009–10 to 2022–23. This growth is evident, with
fluctuations from year to year. The significant F-ratio suggests that this
growth is not due to random chance but is likely influenced by various factors.
Import Patterns: On the other hand, the import value of coconut products also
exhibits variations over the years, with both increases and decreases. The
significant F-ratio indicates that these changes are not random either, and
they may be influenced by different factors compared to exports. Consider
factors such as changes in trade policies, global market conditions, consumer
preferences, and economic stability in the countries involved in coconut product
trade. It might be beneficial to compare the export and import trends of
coconut products with other related industries or commodities to gain a broader
perspective on trade dynamics.
Export
Value of Coconut Products:
The
export value of coconut products has generally shown an upward trend over the
years. The highest percentage increase in exports occurred from 2010 to 2011,
with a substantial increase of 59.55%. There was a significant increase in
export value in 2016 as well, with a 42.2% increase. The expected export value
may reach its highest point in 2030, with a value of 4890.6 core rupees.
Import
Value of Coconut Products:
The
import value of coconut products also increased over the years, with some
fluctuations. Notable increases in import value include 2015 (44% increase) and
2018 (62% increase). The import value decreased in 2022, with a substantial
drop of 37%. Despite fluctuations, the import value, according to trend
analysis, may increase, reaching 1126.1 core rupees in 2030.
Positive
percentages represent growth, while negative percentages indicate a decline.
The export value experienced significant fluctuations, with both positive and
negative variations. The import value also saw fluctuations, with some years
showing substantial growth and others showing a decline.
Exporting
coconut products from India presents several challenges for coconut companies.
Quality
Assurance: Maintaining consistent product quality is a paramount challenge for
coconut companies exporting from India. Ensuring that quality standards are
upheld across production batches is essential to meeting international market
expectations.
Supply
Chain Complexity: Coconuts are often grown in remote regions of India, making
it a daunting task to establish an efficient supply chain from farms to export
hubs. Challenges such as transportation, storage, and handling can impact
overall product quality and timely deliveries.
Adherence
to Regulatory Standards: Exporting coconut products involves navigating complex
international regulations and standards related to food safety, labelling, and
phytosanitary requirements. Compliance with these regulations can be
resource-intensive and time-consuming.
Market
Entry Barriers: Coconut companies face hurdles when entering new international
markets, including administrative processes, trade barriers, and import
restrictions. Establishing a presence and gaining market access can be
challenging.
Tariffs
and Trade Restrictions: Tariffs and trade restrictions imposed by various
countries can affect the competitiveness of Indian coconut products in
international markets. Negotiating trade agreements and dealing with tariff
barriers is a continuous challenge.
Price
Competitiveness: The global coconut market is highly competitive, and Indian
companies must balance competitive pricing with covering production and export
costs. Price fluctuations in the coconut market can impact profit margins.
Packaging
and Shelf Life: Proper packaging is crucial for coconut products, particularly
those with limited shelf lives. Identifying suitable packaging materials that
meet international standards and preserve product freshness can be a challenge.
Consumer
Preferences: Understanding and adapting to the preferences of consumers in
different target markets is complex. Preferences can vary widely from one
region to another, and catering to diverse tastes and preferences is essential
for success.
Sustainable
Practices: Coconut farming and processing practices must align with
sustainability standards and eco-friendly principles. Meeting evolving
sustainability expectations from consumers and importers can require
significant adjustments.
Disease
and Pest Management: Coconut palms in India are susceptible to diseases and
pests that can adversely affect crop yields. Implementing effective disease and
pest control measures is essential for maintaining a consistent coconut supply.
Market
Volatility: Coconut prices can be subject to fluctuations due to factors like
weather conditions and global demand variations. Managing these price
fluctuations and devising strategies for market uncertainties is crucial.
Currency
Fluctuations: Fluctuations in exchange rates can impact export profitability.
Managing currency risks effectively becomes vital for Indian coconut companies.
Logistical
Complexities: Exporting coconut products often involves long-distance
international shipments, which can lead to logistical challenges. Ensuring
on-time deliveries and minimising logistical complications is pivotal.
Cross-Cultural
and Linguistic Barriers: Engaging with customers and partners from diverse
cultural backgrounds and languages can be demanding. Effective communication
and cultural sensitivity are essential for successful export ventures.
Political
and Economic Stability: Exporting to countries with political or economic
instability can pose risks to business operations. Gaining insights into the
political and economic landscapes of target markets is essential for risk
mitigation.
SECTION
4: SUGGESTION
Under the auspices of India's Ministry of
Agriculture and Farmers Welfare, the Coconut Board of India has implemented
numerous initiatives aimed at fostering the growth of the coconut industry
within the country. These programs encompass a range of activities such as the
production and distribution of high-quality planting materials, expanding the
cultivation area, showcasing technology advancements, rejuvenating and
replanting coconut trees, supporting exporters in international events,
providing training for market promotion of export-specific products, and
creating global market opportunities. However, it is worth noting that these
schemes may not be effectively reaching their intended producers and
manufacturers. To address this, there is a need for government officials to
launch awareness programs.
Special emphasis should be placed on
research and development, post-harvest processing, diversification of
coconut-based products, value addition, and the management of pests and
diseases for coconut producers.
Most of India's coconut production is
concentrated in Kerala, Karnataka, Tamil Nadu, and Andhra Pradesh, collectively
contributing to 89% of the coconut-growing area and 91% of coconut production
in the country. Other states, including West Bengal, Orissa, Maharashtra,
Gujarat, Assam, and Bihar, also produce coconuts. Special research centres
should be established in these states to bolster production for both domestic
consumption and the international market.
Globally, several prominent companies
specialize in coconut-based products. In the United States, companies like Vita
Coco, Zico (owned by Coca-Cola), COCO & CO, Coconut Dream, Radha,
Dangfoods, Maverick Brands, Molivera Organics, So Delicious, Coconut Organics,
Premium Nature, and Creative Snacks are key players. In India, Yeshu and KKP
Industry are significant contributors to the coconut-based product industry,
along with Eco Biscuits. Dutch Plantin, renowned for its coconut coir products,
is headquartered in the Netherlands, while Thailand's Theppadungporn Coconut is
known for its coconut-based offerings. Indonesia's PT. Global Coconut also
makes unique contributions. These companies span continents, reflecting the
global popularity and demand for coconut-based products. Indian companies
should strive to increase their market share with support from the government.
The global coconut market has a wide
geographic presence and substantial demand across various regions. In North
America, which includes the United States, Canada, and Mexico, consumer interest
in coconut-based products is growing due to their perceived health benefits and
versatility in cooking. In Europe, countries like the UK, France, Germany,
Italy, Spain, Sweden, Austria, and others have embraced coconut products in
traditional and innovative dishes, as well as dairy alternatives. The Asia
Pacific region, covering China, South Korea, Japan, India, Australia,
Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan, and others, is a
significant hub for coconut production and consumption, driven by
health-conscious consumers. In the Middle East and Africa, spanning South
Africa, GCC (Gulf Cooperation Council) countries, Egypt, Nigeria, and others,
coconut products are valued for their natural properties and are integrated
into various culinary traditions. In South America, including Brazil,
Argentina, and the rest of the region, coconut-based products are gaining
popularity due to their nutritional value and culinary versatility. To expand
India's share in the global market, the government should consider more liberal
policies to create export opportunities.
Coconut-based products such as coconut
water, coconut milk, coconut oil, coconut snacks, desiccated coconut, and
coconut fiber are in high demand. Businesses involved in coconut charcoal for
cosmetics should explore expanding their operations. Additionally, products
like spray-dried coconut milk powder and coconut jaggery hold significant
potential in the global market and should be targeted for export.
SECTION
5: CONCLUSION
In conclusion, the journey towards
fostering export excellence in the coconut and coconut-based products industry
through the integration of advanced processing techniques, artificial
intelligence (AI), and data analytics is one filled with promise and potential.
Through comprehensive market analysis and diversification efforts, the coconut
industry is now better positioned to explore new avenues for growth. The
introduction of innovative coconut-based beverages, snacks, and foods has
aligned the industry with evolving consumer preferences and demands not only in
the national market but also internationally. The future of coconut and
coconut-based products as export champions is bright, and this journey is far
from over. Looking ahead, the integration of technology and advanced techniques
in the coconut industry is not just a milestone but a continuous journey.
Embracing AI and data analytics will enable predictive maintenance, demand
forecasting, and further process optimisation, ensuring the industry's
sustained growth.
SECTION
5: REFERENCES
Adkins, S., M. Foale, and H. Harries. 2011.
Growth and production of coconut. Soils, plant growth and crop production. In:
Encyclopedia of life support systems (EOLSS), developed under the auspices of
UNESCO. Eolss Publishers, Oxford, UK.
Agustin, Y. 2005. Global competitiveness,
benchmarking and best practices for the coconut industry. Lecture materials for
the Food Systems Management (FMS) on Major Crops and Processed Products,
University of Asia and the Pacific.
Aquino, A.P., and P.B. Ani. 2016. The long
climb towards achieving the promises of the tree of life: A review of the
Philippine coconut levy fund policies. Food and Fertilizer Technology Center
Agricultural Policy Article. 4 Mar. 2018. http://ap.fftc.agnet.org/ap_db.php?id=577&print=1.
Aragon, C. 2000. Coconut program area
research planning and prioritization. Philippine Institute for Development
Studies (PIDS) and Bureau of Agricultural Research (DA-BAR) discussion paper,
series no. 2000-31. PIDS and DA-BAR, Manila.
Arancon, R.N. 1997.
Asia-Pacific forestry sector outlook study: Focus on coconut wood. Food and
Agriculture Organization Working Paper no. APFSOS/WP/23. 5 Mar. 2018. http://www.fao.org/docrep/w7731e/w7731e00.htm#Contents.
Asian and Pacific Coconut Community. 2018.
Coconut statistics. 3 Mar. 2018. https://www.apccsec.org/apccsec/statistic.html.
Australian Centre for International
Agricultural Research. 2017. The world market for coconut production: An
economic analysis from the perspective of the Philippines. 8 Jan. 2018, http://aciar.gov.au.
Bojnec, Š., and I. Fertő. 2016. Export
competitiveness of the European Union in fruit and vegetable products in the
global markets. Agric. Econ.- Czech 62(7):299–310. doi:
10.17221/156/2015-AGRICECON.
Bojnec, Š., I. Fertő, and J. Fogarasi.
2014. Quality of institutions and the BRIC countries agro-food exports. China
Agric. Econ.Rev. 6(3):379–394. doi: 10.1108/CAER-02-2013-0034.
Chopra, S., and P. Meindl. 2007. Supply
chain management: Strategy, planning, and operation. 3rd ed. Pearson Prentice
Hall, Upper Saddle River.
Clarete, R., and J. Roumasset. 1983. An
analysis of the economic policies affecting the Philippine coconut industry.
Philippine Institute for Development Studies (PIDS) working paper, 83–88. PIDS,
Manila.
Dy, R., and S. Reyes. 2006. The Philippine
coconut industry: Performance, issues and recommendations. USAID and Economic
Policy Reform and Advocacy. 13 Jan. 2018. http://pdf.usaid.gov/pdf_docs/Pnadh939.pdf.
Faustino, J. 2006. Facing the challenges of
the Philippine coconut industry: The lifeblood of 3.4 million coconut farmers
and farm workers. EPRA International Journal of Research and Development. Paper
Under Review.
Food and Agriculture Organization. 2016.
Coconut country data: World. 8 Jan. 2018. http://www.fao.org/faostat/en/#data/QC.
Food and Agriculture Organization. 2018.
Official website. 4 Mar. http://www.fao.org/on.
Guzman, S. 2013. A clear and present danger
in the Philippine coconut industry. The Philippine Star. 8 Jan. 2018. http://www.philstar.com/opinion/2013/06/17/954
845/clear-and-present-danger-philippine-coconut-industry.
Hassouneh, I., T. Serra, and Å . Bojnec.
2015. Nonlinearities in the Slovenian apple price transmission. Br. Food J.
117(1):461–478. doi: 10.1108/BFJ-03-2014-0109.
Intal, P., and L. Ranit. 2001. Literature
review of the agricultural distribution services sector: Performance,
efficiency and research issues. Philippine Institute for Development Studies Discussion
Paper, 001–14. PIDS, Manila.
Israel, D., and R. Briones. 2014. Enhancing
supply chain connectivity and competitiveness of ASEAN agricultural products:
Identifying choke points and opportunities for improvement. Philippine
Institute for Development Studies (PIDS) working paper, 2014–2017. PIDS,
Philippines.
Japan International Cooperation Agency
(JICA). 2013. Agricultural Transformation & Food Security 2040: ASEAN
region with focus on Vietnam, Indonesia, and Philippines. JICA: Philippines
Country Report Paper. 5 Mar. 2018.
Kerala Agricultural University. 2011.
Package of practices recommendations: Crops. 14th edition. Kerala Agricultural
University, India. Thrissur – 360 p.
Lambert, D., and M. Cooper. 2000. Issues in
supply chain management. Ind. Market. Manage. 65(1):65–83. doi:
10.1016/S0019-8501(99)00113-3.
Magat, S. 2000. Salt: An effective and
cheap fertilizer for high coconut productivity. PCA: Technology Guide Sheet No.
5. 14 Jan. 2018. http://www.pca.da.gov.ph/pdf/techno/salt.pdf.
Manicad, G. 1995. Technological changes and
the perils of commodity production: Biotechnology and the Philippine coconut
farmers. Biotechnol. Dev. Monit. 23:6–10.
Nayar, N.M. 2017a. Taxonomy and
intraspecific classification, p. 25–50. In: Chapter 3 – The coconut phylogeny,
origins, and spread. London, UK: Elsevier. Academic Press.
Pabuayon, I., R. Cabahug, S.V. Castillo,
and M. Mendoza. 2009. Key actors, prices, and value shares in the Philippine
coconut market chains: Implications for poverty reduction. J. Int. Soci.
Southeast Asian Agric. Sci. 15(1):52–62.
Peace and Equity Foundation (PEF). 2016. A
primer on PEF’s priority commodities: Industry study on coconut.10 Jan. 2018. http://pef.ph/wp-content/uploads/2016/03/Industry-Study_Coconut.pdf.
Philippine Coconut Authority. 2011. Coconut
country data. 8 Jan. 2018http://www.pca.da.gov.ph/index.php.
Philippine Coconut Authority. 2018.
Official government website. Jan. 10. Manila, Philippines.
Prades, A., U. Salum, and D. Pioch. 2016.
New era for the coconut sector. What prospects for research? Oil Crops Supply
Chain Asia 23(6):1–4.
Ranada, P. 2014. Will Aquino face the
marching coconut farmers? Rappler Philippines. 13 Jan. 2018. https://www.rappler.com/nation/74725-benigno-aquino-coconut-farmers-march-coco-levy.
Senate Economic Planning Office 2009.
Financing agriculture modernization: Risks and opportunities. Philippines: The
SEBO Policy Brief PB-09-11. 9 Jan. 2018.
United Coconut Associations of the
Philippines, Inc. (UCAP). 2016. Coconut Statistics. United Coconut Associations
of the Philippines, Philippines. 19 Aug. 2018. http://pca.da.gov.ph/index.php/2015-10-26-03-15-57/2015-10-26-03-22-41#.
Villarino BJ, Dy LM, Lizada MCC (2007)
Descriptive sensory evaluation of virgin coconut oil and refined, bleached and
deodorized coconut oil. LWT-Food Science and Technology 40:193-199
Yaakob H, Ahmed NR, Daud SK, Malek RA,
Rahman RA (2012) Optimization of ingredient and processing levels for the
production of coconut yogurt using response surface methodology. Food Science
and Biotechnology 21:933-940
Yusof N, Ramli RAA, Ali F (2007) Chemical,
sensory and microbiological changes of gamma irradiated coconut cream powder.
Radiation Physics and Chemistry 76:1882-1884
Data
for this study were collected from multiple sources, including internet
databases, economic surveys, and reputable government websites, to ensure the
reliability and accuracy of the information.
No comments:
Post a Comment