Coconut farmers in Coimbatore-Tiruppur region are buoyed by the Central Government’s consideration of coconut oil as a healthier option to palm oil for distribution through public distribution outlets.

Coconut crop is a major source of livelihood for farmers in Pollachi, Anamalai, Kinathukadavu and Sultanpet blocks in Coimbatore district that accounts for over 85,000 hectares of cultivation area.

Likewise, in Tiruppur district, coconut crop is cultivated in more than 58,000 hectares spread over Gudimangalam, Udumalpet, Kundadam and Pongalur blocks.

According to officials, the Coconut Development Board favours substitution of palm oil with coconut oil for providing better prices for farmers, alongside offering healthier option for consumers.

The Central Government will shortly hold consultations with the States, it is learnt. “Supply of coconut oil through public distribution system will, for sure, further increase the spread of cultivation area in the region,” Ravishankar, a farmer of Sultanpet, said.

Fructification of the proposal will also benefit the coconut oil industry in Kangayam in large measure where more than 100 mills operate with a combined capacity to process up to 1,400 tonnes. At present, the minimum support price for copra is in the range of ₹140 per kilogram.

Last year, the wholesale price had touched the ₹400 per kg mark due to the pricing of copra in the range of ₹250 per kg. The current MSP for copra has turned favourable for the industry.

“It is now possible to fix the wholesale price for coconut oil at ₹225 per litre,” S.N. Dhanapal, president of Kangayam Coconut oil Manufacturers Association, said.

The favourable conditions will continue till June when the peak harvest season gets to a close, Mr. Dhanapal said.