Connect with us

Features

Current Trends in the Coconut Industry

Published

on

by Dr. P. G. Punchihewa

“It’s an old and common saying: The coconut tree affords meat, drinks and cloth, true. I’ll also like to add – toddy, wine, vinegar, oil, milk and honey … all eatables, besides it affords other necessaries as mats, brooms, bottles, dishes and ropes” –so wrote Robert Knox the English sailor and trader in 1681 who spent 19 years in captivity in the island. .Long before Knox, coconut had played a vital role in the lives of the people of Sri Lanka. The first coconut plantation in the island, (cocopalm garden three yojanas in length according to Culavamsa )- may be even in the world-, was established during the reign of Aggabodhi I, He ruled from 571A.D to 604 A.D.

But Knox’s statement was the first which spelled out the many uses of the coconut tree in detail.

Coconut, a subsistence crop had to await the arrival of the colonial powers in the island, particularly the British, to change to a plantation crop. With the finding of new uses of coconut oil, in the manufacture of margarine, candles and soap in Europe, the demand for coconut oil increased by leaps and bounds. Accordingly all the major colonial powers started the cultivation of coconut in their colonies. The British in India and Sri Lanka, the Dutch in East Indies, French in Africa, and the Germans in the Pacific. The ‘Forward’ written by Sir W.H. Lever, the founder of Lever Brothers, to ‘Coconuts-the Consoles of the East’ published by Smith and Pape, speaks of the keen interest shown by the British in the cultivation of coconut as follows.

“I know of no field of tropical agriculture that is so promising and I do not think in the whole world there is a promise of so lucrative an investment of time and money as in this industry. The world is only just awakening to the value of coconut oil in the manufacturing of artificial butter of the highest quality and of the byproduct copra cake as a food for cattle.”

Accordingly, the colonial government encouraged the cultivation of coconut, particularly in the North -West of the island. “The rapid expansion of the coconut industry had begun in the late 1850s, but the pace had been accelerated in the 1860s .The acreage went up from about 250,000 in the 1860s to 850,000 in the first decade of the 20th century (K.M. De. Silva: A History Sri Lanka page 287).

Apart from encouraging the rapid expansion of the area under coconut, the English diverted the industry to processing of coconut products as well. The establishment of a crushing plant for milling copra into oil and copra meal commenced around 1830 and there had been regular shipments of oil from Ceylon to Europe. In 1853 Sri Lanka had exported, 33,900 gallons. (Samuel Baker: Eight Years in Ceylon: pg. 158.)

In 1855 soap making commenced and several kinds of soap were produced and exported. Sri Lanka was thus ahead of most of the coconut producing countries that were continuing to export only copra. The 19th century also saw Sri Lanka taking another important step in processing of coconut products.

Following the industrial revolution the need arose for a cheap ingredient for the ever increasing demand for candy among the working class in the UK. Coconut proved to be ideal. But the practice at the time to import the whole nut was cumbersome and expensive. Experiments had been carried out in the UK to find a solution. It was discovered that grated coconut meat heated on steam tables resulted in it not becoming rancid and the result was desiccated coconut. The first desiccated coconut factory was established at Dematagoda and by 1890 Sri Lanka had exported 6,000 tons of desiccated coconut. In 1900 it had gone up to 60,000 tons. At that time, Sri Lanka was the leading exporter of desiccated coconut.

Similarly, the first fiber mill was set up in the 19th century and in 1853, 2,380 tons of coir had been exported. Coconut thus came to be one of the three major exports of the island, the other two being tea and rubber.

Along with the plantation and industrial sectors coconut continued as a small holder crop serving mostly the needs of the local population. Coconut being an important food item of the people, with the increasing population, the consumption increased and by mid nineteen -fifties the export of kernel products, mainly desiccated coconut, coconut oil and copra decreased. A study done in 1969 for UN/ECAFE reported as follows “The fall in Ceylon’s exports of both copra and coconut oil in recent years particularly since 1964 is attributable to the progressive decline in exportable surpluses owing to a rising domestic consumption” (The Coconut Industry of Asia’ page 58) .

The downward trend continues .The exportable surplus as a percentage of production has varied from a high of 38.2% in 1985 to a low of 14.0%in 2007. (Coconut Statistics 2017 C.D.A page 11.)Product wise a volume of 56,144 MT coconut oil exported in 1985 declined to 6,310 in 2017 and 52,157 MT of desiccated coconut to 29,418 MT for the same period.

However there are a few , new kernel products –virgin coconut oil, coconut cream (milk) and powder and coconut water which are just making an entry into the export market (page 12 CDA).In 2017 the kernel product exports have brought in $312,316, 000.

It has been able to reach these levels of exports only due to a new trend in imports. To augment the local supplies Sri Lanka has been importing vegetable oils and fats for some time .But from 2005, it had increased by leaps and bounds. Till then imports were mainly for industrial purposes. But from 2005 large volumes of crude palm oil have been increasingly imported for edible purposes as well, reaching 121,706 MT in 2015.This is in addition to the import of small volumes of soya oil, sunflower oil and coconut oil. The total value of vegetable oils and fats imports in 2017 had been Rs. 29,662,257,394 of which the largest volume was for crude palm oil and palm oil products. (Table 23, 24 CDA.)It also cushioned the local nut price increase in order to satisfy the domestic consumers.

However as against the declining value of kernel products a redeeming factor is the enhanced export earnings from non-kernel products which has amounted to $ 283,872,000), in 2017compared to $94,989,000 in 2005 and $ 188,722,000 in 2010 .Products like coir pith and molded coir products for use in horticulture and increased volume of activated carbon have accounted for this enhanced export earnings.

There is a number of factors responsible for this huge drop in exports in kernel products. While the Philippines and Indonesia have vast extents brought under coconut, running into several millions of hectares, in Sri Lanka coconut acreage is shrinking due to urbanization, opening up of new industrial ventures, fragmentation of holdings, crop diversification, pests, diseases, and drought. From a peak of 1.15 million acres in 1962 the area under coconut decreased to 1.09 million acres in 2015.The study done by the Department of Census and Statistics in 2005 revealed that the aggregate extent under coconut crop at national level has declined by about 5% during the period from 1982-2002( page 4 of the study)

 

In 2006 the ‘Weligama Wilt’ was reported and it was estimated that 300,000 palms at the initial stages and more in repeated cycles had to be removed. March 16,2019 ,Daily Mirror reported of 96,000 coconut trees on 1,200 acres to be felled to construct the Bingiriya Free Trade Zone. Felling of coconut trees is continuing. And the production of coconut has remained static. Since 1980 Sri Lankan coconut production had exceeded 3,000 million nuts only few times. The average yield is around 2,500 nuts per acre per annum.

However it is noticed that in 2017 the domestic consumption has come down to 1,700 million nuts from a high of 2437 million nuts in 2008.In earlier years (2005) the domestic consumption was calculated at 95.52 fresh nuts and 1, 02 kg of coconut oil per head per annum approximately. (Coconut Statistics CDA 2005). But the 2017 report dumps fresh coconut consumption, coconut oil consumption, milk powder consumption and adjustment stocks all under domestic consumption. (Coconut Statistics 2017).With a provisional population of 21.44 million in 2017, it is surprising how the consumption had come down so drastically particularly when in the previous year it was reported that the domestic consumption was 2119 million nuts and the provisional population 21.20 million. It is worth studying this situation in the next few years as to why it happened.

Efforts to increase production and productivity have not had much effect. Sri Lanka has introduced only four high yielding varieties since 1960 the bulk coming from the two earlier varieties. The total number of seedlings issued from 2008 to 2017 is 386,555 (in thousands) ( Sri Lanka Coconut Statistics 2017). On the basis of 64 trees to an acre this should cover an area of more than 600,000 acres! By now some of them should be bearing. Obviously there is something wrong with the quality of seedlings or statistics!

From the above facts and figures, it is obvious that the future of the coconut industry in the island is not that rosy. Unless the industry and the government take corrective measures, an industry with so much of potential is on the path of no return. A study covering all the aspects of the industry and involving all stake holders is a necessity.

In the coconut industry there are many stake holders. Starting from coconut growers there are the processors of different products. Copra, desiccated coconut ,coconut oil, virgin coconut oil ,coconut water ,coconut cream, fiber products, coconut shell charcoal ,activated carbon and many others. They all operate in water tight compartments. There should be a forum chaired by the C.D.A where they could meet and discuss their sectoral and industry problems regularly.

Unlike in rubber or tea it is not possible to get actual and correct figures except for exports of coconut products. The total extent under coconut is taken from the agricultural census conducted once in ten years. By the time the figures are available nearly eleven to twelve years have lapsed and much change would have taken place on ground specially with felling of coconut trees for various activities. Therefore reliance on them for planning for the industry would naturally give a wrong picture.

In order to assess the current situation of the extent of land under coconut and production levels, the feasibility of conducting a regular random or sample survey under the direction of the Department of Census and Statistics should be considered. Field level officers of the Coconut Cultivation and Research Boards could be used for this survey.

Earlier domestic consumption was calculated on the basis of the household income and expenditure survey conducted by the Department of Census and Statistics. Now the basis of calculation is not provided with the overall figure.

Although recently exports of non-kernel products have increased in volume and value ultimately it too depends on the increased production of coconut. As such it should be the concern of processors and exporters of kernel as well as non-kernel products to get involved with projects to increase production .They have the capital and a drop in nut production may affect their outputs.

One last question is how long Sri Lanka is going to depend on import of vegetable oils to sustain the export of kernel products. Economically and health wise whether it is worth should draw the attention of the government and others concerned.

There is a more important aspect to it. In Sri Lanka coconut is important as a source to meet the daily requirement of nutrients particularly of the lower income groups. The study done in 2002 by the Department of Census and Statistics reveals that out of the daily requirement of the nutrients needed by the Sri Lankans 15%calories,5% of protein and 70% of fat are derived from the source of coconut.

“Dr. Mary G. Enig, a nutritionist/biochemist of international renown for her research on the nutritional aspects of fats and oil addressing the Asian and Pacific Coconut Community 36th annual session had the following to say.

“Recently published research has shown that natural coconut fat in the diet leads to a normalization of body lipids, protects against alcohol damage to the liver ,and improves the immune system’s anti-inflammatory response .Clearly there has been increasing recognition of health supporting functions of the fatty acids found in coconut. Now it can be recognized for another kind of functionality: the improvement of the health of mankind.” This was in 1999.

In 2006 ,Conrado S. Dayritt Professor Emeritus of Pharmacology ,College of Medicine ,University of the Philippines at the technical meeting of the Asian and Pacific Coconut Community stated that “the chemical properties and biologic actions that make coconut oil superior to other oils for cooking and health use ,viz chemical nature and stability ,absorbability, metabolism, physiologic, and pharmacologic actions, antimicrobial, immune-regulatory and anti-inflammatory.”

In this context, is it in the interest of the health of the people of Sri Lanka that we should continue to use imported vegetable oils in large quantities and barter a time tested precious, healthy oil for the sake of some additional dollars?

Our slogan should be increase the production and productivity of coconut, increase the domestic consumption of coconut and increase the coconut exports.

 

(From String of Archaeological sites in the East coast and other articles by Dr.P.G.Punchihewa Former Secretary Ministry of Coconut Industries and former Executive Director Asian and Pacific Coconut Community Jakarta.)



Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Features

‘Lord Edgware Dies’

Published

on

It has been some time since I read an Agatha Christie, the plot of which I cannot remember. So, I was delighted to find on the shelves of a friend Lord Edgware Dies, which I had a vague memory of, but no certainty about who had done it.

When I read it, I found that my memory of who was probably the killer was correct, but I could not be certain and the red herrings Christie threw in were so diverting that until almost the very end I wondered if I had been wrong.

The plot is very simple. Jane Wilkinson, who is married to Lord Edgware, tells him that she is desperate for a divorce since she is in love with a very proper Anglo-Catholic peer, Lord Melton, but Edgware refuses to divorce her. She asks Poirot to talk to him, which he does, and is surprised to find that Edgware has told Jane he is prepared to give her a divorce. This was, after he had categorically refused, through a letter, which Jane said she had not received.

That night Edgware is murdered, after Jane had been to see him, or so the butler said, and also Edgware’s secretary. But Jane had been that evening at a grand dinner many miles away, where a dozen fellow guests could swear to her presence.

There was a solution however to the mystery of two Jane Wilkinsons, namely a skilful impersonator called Carlotta Adams who, in the opening chapter had impersonated Jane Wilkinson, who had also been at the performance. But when Poirot goes to see her, he finds that she had been found dead on the morning after Edgware had been killed, of an overdose. And in her bag was a gold case, with a strange inscription, that contained the drug, along with a pair of pince-nez.

Her maid said she had written a letter to her sister in America and posted it the previous night. Poirot asks Inspector Japp to get the letter, and a transcript is received from America, and in it the name of Edgware’s nephew Ronald Marsh is mentioned; he had taken Carlotta to dinner after her performance, with which the book opens, and had then set her a challenge. Japp arrests Marsh, but Poirot is not happy and asks for the original of the letter, which the sister sends him. That shows that a page is missing, and the tear is obvious, though that raises the question as to why it had not simply been cut.

Matters are further complicated by the fact that Marsh had gone in a taxi to the Edgware house, along with Edgware’s daughter Geraldine, in the interval of an opera which had previously seemed to provide them with cast iron alibis. Geraldine had gone in to fetch her pearls so that Marsh could raise money he needed, and thus had an opportunity to kill Edgware, as did Marsh, for the driver said he had got out of the taxi while waiting and gone into the house.

Agatha Christie

Marsh explained why he had gone to the house on the night of the murder as having followed Bryan Martin, an American actor, who had been in love with Jane, whom he saw go into the house with a key. But there was no one visible when he entered, and Geraldine almost immediately came down and they left together. And Martin too has become an object of suspicion to Poirot, for he had been to see him before the murders were discovered with a story of being followed by a man with a gold tooth – a story Poirot immediately realized was false when he was asked how old the man was, and was told he was young, for young people did not have gold teeth.

A heap of French money Edgware had got for a trip to Paris was missing, but since Marsh had no need for it after his cousin’s offer of help, Poirot deduces that it must have been taken by the butler, who has disappeared. Christie has stressed that he is astonishingly handsome, unusual in a butler, and Poirot notes a resemblance to Martin, so he thinks the mysterious man going into the house must have been him.

Incidentally, later Poirot assumes that Edgware’s change of mind was because he was involved in some scandal, and I believe Christie intends us to see the cause of this in his handsome butler, though this is not specified.

Meanwhile, Poirot has asked Japp to find out the provenance of the case found in Carlotta’s handbag, and it turns out to have been made in Paris, specially commissioned, and collected by a woman with pince-nez.

But then another murder occurs—that of another guest at the grand dinner, which provided Jane with her alibi. The victim is an actor who had been bemused when Jane, at a lunch, thought the Judgment of Paris referred to the city. He told Hastings he wanted to see Poirot, but was killed before he could get to the appointment. Poirot had rushed there when told about his request, but it was too late.

Meanwhile, Poirot has tried out the pince-nez on Edgware’s secretary, but she could not see through these. It was only a chance remark heard outside the theatre that led him to try them out on Wilkinson’s maid Ellis, a spare pair that had been appropriated for the night of the murders.

Poirot then lays things out, having summoned Martin and told him that he probably suppressed Edgware’s letter, as he had been dropped by then and he did not want Jane to marry another. But after teasing Martin, Poirot says that Jane was in fact the murderer, and she got Carlotta to impersonate her at the dinner while she went to the house and killed her husband. After meeting Carlotta later and checking with her through a call that she had not been rumbled, Jane had gone ahead with the murder – she put veronal into her drink and the case with veronal into the handbag. She forgot to take out the pince-nez she had used earlier to imitate an American. Carlotta had registered as the American in a hotel and Jane had gone to see her, and there they exchanged identities. After seen the letter, she made use of it by tearing off the page that referred to her, and the S of She, so that the person who had challenged Carlotta to impersonate her seemed to be a man.

There is a coda in which Jane, condemned to death, writes to Hastings, still full of pride at her ingenuity hoping she will be remembered.

Continue Reading

Features

Desilt reservoirs, learn from our ancient irrigation systems

Published

on

Polgolla

by Prof. O. A. Ileperuma

Silting of reservoirs is a major problem today affecting our hydropower production and irrigation systems. The main Mahaweli reservoirs are silted to a considerable extent reducing the water holding capacity of them. Due to poor soil management practices, floodwaters deposit large amounts of silt in these reservoirs. When the Polgolla reservoir was fully drained about two years back, one could see mountains of silt in the lower reaches of the reservoir. A rough estimate is that 50% of the total capacity of these reservoirs has been lost to siltation. This is a serious issue which affects not only power and agriculture but also flood control.

Our ancient irrigation systems ensured that desilting of reservoirs took place under royal decree where all users of the reservoirs were ordered to carry out desilting of reservoirs during the dry season. The clay thus collected was used in making bricks for the construction of great stupas which dot the landscape of our ancient kingdoms. This ensured that the reservoirs had their full capacity filled with water for the next cultivating season. Our ancient kings were clever enough not to construct reservoirs by blocking main rivers such as the Mahaweli. A classic example is the Minipe left canal where they tapped only the surface water of Mahaweli. Even the bigger tanks such as Nuwara Wewa and Parakrama Samudraya were fed with minor rivulets. There were also other ingenious features in the cascade irrigation systems built by the ancient kings, such as mud sluice canals and forest reservations between the reservoirs in the cascade system. These reservations helped trap silt and remove excess nutrients, which could otherwise contribute to increasing salinity as water flowed from one reservoir to another.

Victoria

Moragahakanda

A classic engineering marvel is the former Yoda Ela, which carries water from Kalawewa to Nuwara Wewa and Tissa Wewa. It is 87 km long although the straight distance between these points is only about 40 km. The gradient of this canal is about 10 cm per km or 6 inches per mile. Yodha Ela functions as a moving reservoir and feeds about 4,600 hectares of paddy lands. It is a winding canal with about 120 smaller reservoirs on its way. It was constructed during the reign of King Dhatusena around 459 AD and later expanded by King Parakramabahu by connecting more reservoirs to the network. Unfortunately, during the Mahaweli project our modern-day engineers constructed a concrete canal replacing the winding path of this Yoda Ela also called Jaya Ganga. This effectively removed the ability of the old Yoda Ela to remove silt and nutrients. The bank of this Ela has wet zone trees such as jak and areca nut growing well. They take up the nutrients from the flowing stream making the water suitable for irrigation later.

Ancient Mesopotamian civilisations depended on dams constructed along the two main rivers, Euphrates and Tigris. After continuous irrigation of their fields over several thousand years, salinity of the irrigated lands increased making them unsuitable for agriculture. People died due to famine and this clearly illustrates the danger of blocking main rivers for agriculture. There is scientific evidence that the salinity of paddy soils in the Mahaweli C area is increasing.

We saw the devastation caused by Cyclone Ditwah. The sluice gates of the Kotmale Reservoir were opened, and Kandy and Peradeniya were flooded. If the reservoir had had greater storage capacity, couldn’t the opening of the gates have been delayed? This may not be an argument that modern-day engineers would readily accept, and I am not an irrigation expert. These ideas may well be naïve. But most of us tend to think of reservoirs mainly in terms of hydropower generation and irrigation, while their role in flood control receives much less attention. The question therefore deserves serious consideration. Could restoring lost reservoir capacity through desilting help improve our ability to manage extreme rainfall and reduce flood risks?

Desilting our reservoirs should be considered a national priority.

Continue Reading

Features

Losing out to Ethiopia

Published

on

From Trailblazer to Tailender

Export diversification – Missing the wood for the trees – Part III

by Gomi Senadhira

In Sri Lanka, the word “Ethiopia” is often used as disparaging slang to describe individuals or areas experiencing extreme poverty, starvation, or severe economic hardship. This linguistic habit originated in the 1980s with the Western media coverage of the devastating Ethiopian famine of 1983-85. That media coverage shocked the world but also left an outdated and offensive global stereotype that the country is permanently starving. Much has changed since then. By now, with an annual growth rate of around 9%, it is the fastest-growing economy in sub-Saharan Africa. Ethiopia has also emerged as a highly competitive exporter and is challenging not only its competitors in the region but also countries like Sri Lanka. This article is on how Sri Lanka has lost ground to Ethiopia (and a few other countries) in the GCC markets for agricultural and floricultural products.

Sri Lanka – A Pioneer in the Agriculture and Floricultural Market in the GCC

As discussed in Part II of this article, by the mid-1980s Sri Lanka had established a strong foothold in the GCC’s fruit, vegetable, and floricultural market. Geographical proximity and well-established shipping and air links gave Sri Lanka a strong comparative advantage over Southeast Asian and African nations. Thailand, Vietnam, and Kenya were not even in the market. At that time, Ethiopia was experiencing (as BBC news reports described) “a biblical famine”.

The market was not very large, but it was lucrative and growing. Trade Minister Lalith Athulathmudali as well as the Chairman of the Export Development Board, Victor Santiapillai, who visited Kuwait (and the GCC countries), recognised the market potential for these products and encouraged us to continue with our work. The minister was particularly keen to further develop links between the market for these products, exporters, and his Export Production Villages (EPVs). So, it was becoming a successful case not only for export diversification but also for transferring gains from exports directly to rural households.

From Trailblazer to Tailender

As a result, even by the beginning of this century Sri Lanka had a larger market share than most of its competitors from Asia or Africa. But since then, our competitiveness has weakened significantly. The tables below provide a comparative snapshot of Sri Lanka’s performance vis-à-vis Thailand, Vietnam, Kenya and Ethiopia in the GCC market for vegetables, fruits and floricultural products. As illustrated therein, in 2001 Sri Lanka was ahead of Thailand, Kenya and Ethiopia in this small but rapidly growing market. Since then, we have fallen behind Thailand, Kenya and many other countries in that lucrative market. If this trend continues, Sri Lanka will fall behind Ethiopia within the next few years. (See Table 1)

In the GCC market for vegetables (covered in HS chapter 07), Sri Lanka was ahead of most other competitors in 2001. As illustrated in Table 1 , Sri Lanka had failed to develop this market, while Thailand, Kenya, and even Ethiopia had very efficiently increased their market shares. The GCC is a market to which Sri Lanka can supply some vegetables, like cabbages, by sea. It appears Sri Lanka had also failed to exploit this mode of supply.

We can see a similar trend in the market for fruits. Vietnam, Kenya, and Thailand have emerged as major players, while exports from Sri Lanka have staggered on slowly. In this segment, Vietnam has emerged as a leading player during the last twenty years and the GCC imports from Viet Nam have shot up from US$44 thousand in 2001 to US$346 million by 2024. In part one of these articles, I discussed the remarkable increase of jackfruit exports from Vietnam “…just $3 million in 2015 to an impressive $236.8 million in 2023” while most of our jackfruit production rots under the trees. This explains how countries develop their markets, geographically and product-wise. (See Table 2)

Sri Lanka’s performance has been weakest in the market for floricultural products (HS Chapter 06), which groups live trees, cut flowers, and ornamental foliage. When we first entered the market in the 1980s, the market was dominated by the Netherlands, and Kenya and Ethiopia were not even in the market. At that time, we identified the Gulf states as a market where Sri Lanka could have a dominant presence due to geographical proximity. Even in 2001, Sri Lanka was ahead of Kenya, Ethiopia, and Thailand. But by now, Kenya has emerged as the dominant supplier. Ethiopia is also expanding its market share and is the third-largest exporter. (See Table 3)

Missing the Wood for the Trees

In the mid-1980s, Sri Lanka first established its foothold in the GCC market. Since then, Thailand, Vietnam, Kenya, and even Ethiopia have moved well ahead of us and have become leading players. Why did we lag behind in our export diversification efforts in general and, more particularly, in the GCC market?

The reasons are very clear. After the initial attempts in the 1980s and early 1990s, Sri Lanka has not been proactively involved in identifying, developing, and promoting new products and markets, or protecting and further developing new markets already established. The focus has simply been on traditional exports: tea, coconut, cinnamon, and garments, while other products were almost ignored. In essence, we have been and continue to focus intensely on a narrow group of products and markets, and we have lost sight of the bigger picture.

(The writer can be reached at senadhiragomi@gmail.com)

Continue Reading

Trending