BANGKOK, Thailand – Minister of Commerce Suphajee Suthumpun has proposed a strategic overhaul of the aromatic coconut purchasing system to address persistent price declines. The Ministry recommends moving from the traditional bulk-bunch buying method to a quality-based selection process. This approach, along with promoting value-added processing for sub-grade produce, aims to stabilize farmers’ incomes and address market imbalances.
The Minister noted that Thailand produces about 2 million aromatic coconuts daily. Middlemen typically buy coconuts by the bunch, with each bunch containing around 10 fruits. Quality checks show that only 2 to 3 fruits per bunch meet export standards, leaving 70 to 80 percent of the bunch as sub-grade produce. As a result, average prices can fall to 2-3 Baht per fruit during certain periods. To address this, the Ministry is promoting the processing of non-standard coconuts into products such as shredded coconut to expand export opportunities and increase value.
Following the recent temporary suspension of purchases by 239 local middlemen protesting new market regulations, the Ministry of Commerce plans to intervene by establishing a central middleman agency in partnership with Thai entrepreneurs. These centers will buy produce directly from farmers and offer technical support to improve crop quality.
The Ministry will conduct field surveys in five major aromatic coconut-producing provinces: Ratchaburi, Samut Sakhon, Nakhon Pathom, Samut Songkhram, and Prachuap Khiri Khan. These visits will support discussions with farmers and stakeholders to establish systematic purchasing points and ensure a sustainable, fair pricing structure for the industry. (NNT)
