10/09/2015 (Hindu Business Line) - Coconut oil market in Kerala remained steady this week, with the end of the festival season. Prices are quoting at ₹11,600 a quintal in the absence of local demand.

In Tamil Nadu, the rates are hovering at ₹10,800. The market, according to Thalath Mahmood, Director, Cochin Oil Merchants Association (COMA), is witnessing a selling spree with copra prices quoting at ₹7,800 in Kerala, while the figure stood at ₹7,600 in Tamil Nadu.

However, he said that the market is expected to revive next month with the starting of the Diwali season in North India.

There was a good upcountry demand for virgin coconut oil. Prices of raw coconuts in Kerala have also come down to ₹24/kg in Kerala.

According to Bharat Khona, former Board member, COMA, majority of traders are concerned over the decline in prices of other edible oils such as palm kernel, which may affect the prospects of coconut oil in the long run.

There is a consumer preference especially for palm oil, sunflower, rice bran, etc due to low price.

The high prices of coconut oil in the recent period had pushed back coconut oil from the leading position in the domestic market, he said.