Global coconut trade: Top exporters and key markets shaping the industry

The global trade of coconut oil and coconut milk is dominated by a handful of countries that lead in production, export value, and distribution to key international markets.

These products play an essential role in the global economy, serving industries from food and cosmetics to pharmaceuticals. Here’s a closer look at the top exporters and their major markets.

Coconut Oil

Indonesia: As the largest exporter, Indonesia shipped approximately $3.41 billion worth of coconut oil in 2022. Its primary destinations include the United States, Netherlands, and China, driven by demand in food production, biofuels, and skin care industries. According to the Observatory of Economic Complexity (OEC), Indonesia holds a significant market share due to its extensive coconut plantations and processing facilities.

Philippines: The Philippines exported about $2.12 billion, focusing on markets like the United States, Netherlands, and Italy. Its coconut oil is prized for its high quality, supported by a strong agricultural sector that prioritises exports.

Malaysia: Ranking third, Malaysia exported $1.64 billion worth of coconut oil, with its products highly sought after in China, the United States, and the Netherlands for both edible and industrial applications.

Netherlands: Uniquely, the Netherlands serves as both an importer and re-exporter of coconut oil, with exports valued at $551 million in 2022. Its key markets include Germany, Sweden, and Belgium, underlining its role as a hub for the European coconut oil trade.

Thailand: Thailand exported $188 million, catering to the United States, China, and Japan, particularly in the premium food and health product sectors.

Coconut Milk

Poland: Surprisingly, Poland emerged as the top exporter of coconut milk in 2023, with exports worth $1.98 billion, representing 92.86 per cent of the global share. This dominance is attributed to its strategic position in the European market and advanced processing capabilities.

Philippines: With exports totalling $72.22 million, the Philippines continues to play a critical role in the coconut milk trade, leveraging its position as a leading coconut producer.

Argentina: A lesser-known player, Argentina exported $71.59 million, meeting demand from the Americas and beyond.

Georgia: Contributing $5.35 million, Georgia’s role, though small, highlights the diversification of the coconut milk trade.

Barbados: This Caribbean nation exported $1.56 million, catering primarily to niche markets.

Key Insights

The global demand for coconut products is fueled by their versatility and increasing popularity in health-conscious markets. The United States remains a top destination for both coconut oil and milk, while European countries like the Netherlands and Poland play critical roles in refining and redistributing these products.

The industry also faces challenges, such as climate change affecting coconut yields and price volatility linked to fluctuating demand. However, continued innovation and sustainable farming practices in major exporting countries are likely to drive growth.

For further details and statistical insights, sources like the Observatory of Economic Complexity (OEC) and global trade reports provide comprehensive data.