Sri Lanka earns nearly US $ 20 billion as foreign exchange through coconut exports annually and in the country’s population around 700,000 small and marginal farmers live on coconut cultivation. The conference on Asia Pacific Coconut Community (APCC) will focus its attention on coconut related issues and resolve them for the benefit of all coconut- growing countries, Plantation Industries D.M.Jayaratne said at the APCC Conference held at Galle Face hotel recently.

Referring to the many uses of coconut, Minister Jayaratne elaborated that coconut cultivation had played a crucial role in the socio-economy in Sri Lanka and the Government had already taken appropriate measures to introduce high yielding coconut varieties, product diversification, quality improvement, protection plantations from pest and diseases with the assistance of Coconut Research Institute. The Government was keen on providing assistance to promote coconut-based industries, market development and quality control. Quality control of export products was handled by the Coconut Development Authority. Sri Lanka was able to earn US $ 24 million through coconut exports in 2007.

Minister Jayartane outlined that some developed countries were faced with severe economic setbacks and as a result coconut producing countries in the Asia- Pacific regions earned foreign exchange by selling coconut-based products to several countries, including the USA, European Union, Japan and Australia. Import restrictions imposed and poor market demand in the importing countries would severely affect the economy of major coconut producing countries.

He said that world market price for desiccated coconut had come down and the palm oil price had dropped drastically and as a result the coconut oil market had become stagnant. It was evident that some valuable products like virgin oil was sold at very high prices in the European and USA markets, but these countries were able to purchase the oil at cheaper rates. The APCC countries were required to form producer groups to formulate a plan to get better prices for their produces and eliminate exploitation by advanced countries.

Minister Jayaratne emphasized that the APCC meeting was an excellent opportunity for member countries to devise a common strategy and action plan to safeguard coconut-based industries and provide relief to millions of farmers depended on the crop globally.