Government increases price of dried coconut by up to Rs 422, sets price at Rs 12,100 per quintal for 2025 season

The government has raised the minimum support price (MSP) for dried coconut by up to Rs 422, setting the new price at Rs 12,100 per quintal for the 2025 season. The increase comes with a fiscal outlay of Rs 855 crore.

The decision, approved by the Cabinet Committee on Economic Affairs (CCEA) led by Prime Minister Narendra Modi, includes an increase of Rs 422 for ‘ground coconut’, taking the price to Rs 11,582 per quintal, while the minimum price for ‘ball’ ‘cobra’ has been increased. “By Rs 100 to Rs 12,100 per quintal for the 2025 season, as confirmed by the Information and Broadcasting Minister. Ashwini Vaishnao.

The MSP, based on the recommendations of the Commission on Agricultural Costs and Prices (CACP), applies to fair and medium quality of both milling and ball copra varieties. The total financial impact of the decision is estimated at Rs 855 crore.

The MSP is set at 50 percent above the cost of production, and procurement will be handled by the National Agricultural Cooperative Marketing Federation of India Limited (NAFED) and the National Consumers Cooperative Federation (NCCF) under the Price Support Scheme (PSS).

Karnataka is the largest producer of dried coconut, accounting for 32.7 percent of the country’s total production, followed by Tamil Nadu (25.7 percent), Kerala (25.4 percent) and Andhra Pradesh (7.7 percent).

The government stated that increasing the maximum support price will provide better returns to coconut farmers and encourage them to increase production to meet the growing domestic and international demand for coconut-based products. The dried coconut season in India usually runs from January to April.

The maximum support price will not only ensure better remunerative returns to coconut farmers but will also motivate farmers to expand copra production to meet the growing demand for coconut products both domestically and internationally.

The National Agricultural Cooperative Marketing Federation of India Limited (NAFED) and the National Cooperative Consumers Federation (NCCF) will continue to act as Central Nodal Agencies (CNAs) for procurement of copra and dehusked coconuts under the Price Support Scheme (PSS).