The supply of Thai coconuts shipping to the U.S. is quite slim right now. “Usually we are shorter in supply at this time of year but this year is much shorter,” said Elena Kong of Love April.
While the shorter supply is partly weather-related due to less rain, it’s also because of Lunar New Year shipments. “At this time of year, the Thai coconut prices are decided by China and Thailand and China are very close and they’re drinking it for Lunar New Year. So for a few weeks now, all the coconut is going to China and not to the U.S.,” says Kong. “From Thailand to the U.S., it also takes 45 days and there’s also not enough Lunar New Year demand.”
Easy open addition
Thai coconut ships largely year round and comes in four types: regular Thai coconut in conventional and organic and an “easy open” version which comes with an inserted spout, also in conventional and organic. Demand is growing in the U.S. because coconut water is increasingly gaining attention for being a healthy drink to consume. “People drink it from the pouch but they prefer the fresh one--that’s why the “easy open” coconut was developed,” says Kong.
Part of that softer demand could also be related to pricing for Thai coconut right now which is high due to Lunar New Year demand. Generally, pricing is between $11-$15 for Thai coconut though at this time of year, pricing is between $18-$20. “We won’t have enough fruit in the U.S. until May and I don’t think the price will come down to $10 but it may go to $13-$15, though even a $1 difference in pricing is very sensitive because Thai coconut margins are minimal,” says Kong.
For more information:
Elena Kong
Love April
Tel: +1 (626) 344-7090
[email protected]
https://www.loveapril.net/