With the recent increase in global oil prices, it seems copra has become the next more lucrative industry for our farmers.

Farmers are now being paid up to 20 per cent more for the copra they supply to Copra Millers (Fiji) Limited.

The increase in copra price is because of an increase in the world market price for coconut oil which is at USD $1,600 (F$3322.96) per tonne.

The global price of copra has increase from $864 to $1026 per tonne of copra.

The last increase in copra price was in 2012 reaching up to $1000 per tonne of copra. However, since then, the price continued to fall and last stood at $864 per tonne.

So what does this mean for copra farmers? Well you now will be getting 20 per cent more for copra supplied to Copra Millers (Fiji) Limited.

Copra Millers is already expecting an increase in supply of copra to their factory.

The best thing about selling copra to Copra Millers is that they pay immediately upon receiving copra  and do not wait for the oil to be shipped.

It is also a timely boost for those who got affected by the Tropical Cyclone Winston. If not entire recovery, but the increase in copra prices could in some ways benefit those farmers who were affected by the cyclone.

At the same time, it is important for the Copra Millers to start taking advantage of the world market price.

As Copra Millers (Fiji) chairman, Raj Sharma, correctly put it, they need to see maximum sale during this period to maximise profits.

He said good news was, they have requests for 1000 metric tonnes for the next three months.

He said it was obvious there was a shortage in the world market and thus the demand was high and therefore a chance to maximise sales.

Mr Sharma said they are reassessing their ability to meet this high demand and if need be, they are also look at importing Copra from a few Pacific Islands countries.

Thus this is the optimum time to get the most out of the copra business with the high prices.

The increase will also bring back the interest of farmers into the copra industry which has been struggling for some time despite the high demand in products derived from copra.

Feedback:  rachnal@fijisun.com.fj