Financial Times

Coconut producers to monitor barriers
By Quintus Perera
Asia and Pacific coconut producers have decided to monitor the compliance of developed countries with Word Trade Organisation agreements to reduce tariff and non-tariff barriers in the oils and fats market. This was one of the recommendations agreed on by the Asian and Pacific Coconut Community (APCC) at the recent 40th COCOTECH Meeting and Coconut Festival held in Colombo.

It recommended that the APCC Secretariat monitor developments in developed countries on their compliance or non-compliance with the commitments made at WTO talks to reduce tariffs and non-tariff barriers with respect to reduction in production and export subsidies in the oils and fats sector.

APCC also decided members should be watchful so that timely action could be taken against claims for patent licences in favour of coconut-based products by purchasing and non-producing countries. The five-day meeting, held earlier this month, drew officials from coconut producers in South East Asia, South Asia and the Pacific.

It also decided to make co-ordinated efforts to promote coconut products in domestic markets in Asia to exploit the potential demand for fats and oils in the region owing to increasing population and per capita income.

It also agreed to evolve a regional strategy in production and trade and to position the coconut industry on a more competitive footing in the regional and global oils and fats markets.

APCC is to take steps to promote "free trade zones for coconut", remove technical barriers and harmonise standards in the region. It aims to capitalize on recent research findings and promote coconut products as ingredients in special foods and supplements to prevent various diseases and health disorders.

One of the major issues discussed was the empowerment of women in all the disciplines of the coconut industry covering income, safety measures, hygiene and health, education and training. Among other recommendations were the need to set up a micro-credit component to satisfy the minimum financial needs of the targeted groups of farmers as coconut farmers in general are small and marginal.

A training and visit programme is to be organized for the micro level processing of coconut into value added products under the aegis of women's self-help groups.
Increases in the cost of production were eroding the profitability at the farm level.
The only solution is to make intensive efforts to enhance productivity, APCC recommended.

There should be a regional approach to promoting intensive integrated farming under coconut, especially with small farmers. A major hindrance to success of village level processing was inefficient marketing, especially in the case of units operated by women's self-help groups. APCC proposed to extend support to successful units for creating marketing infrastructure at local level to surmount the problem.

Virgin oil with its medicinal and cosmetic applications fetch higher prices than traditional coconut oil. APCC suggested promoting small processing units at village level by farmers' co-operatives. It also recommended developing guidelines and regional arrangement for labelling and certification of organic coconut products.

APCC said it should take the lead in encouraging investment in member countries in the processing and manufacturing of downstream high value products for the emerging cosmetics, oleo chemicals, bio diesel, bio lubricants and environmental applications markets. It should also evolve appropriate promotional measures for servicing the expanding niche markets especially the health and environment conscious sectors.

NSB tops Rs 150 bln in deposits
National Savings Bank (NSB) said last week it has reached the Rs. 150 billion mark in deposits mobilization. Bank chairman D.M. Swaminathan noted that the bank mobilized Rs. 14,950 million in deposits during the 1st half of 2003, up sharply from Rs. 4,914 million in the corresponding period for 2002.

The target mobilization for this period was Rs. 6,840 million. The total deposits base which stood at Rs.124 billion as at end June 2002 has increased by 20 percent year on year to reach Rs.150 billion. The bank made a pre-tax profit of Rs. 1.9 billion in the 1st half of 2003, up from Rs. 0.6 billion in the same 2002 period.

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