Market Trends of Copra Meal Industry
Rising Copra and Coconut Oil Production
- Coconut oil is extracted from copra, the dried flesh of coconuts. The extraction process yields two main byproducts: copra cake from mechanical extraction and copra meal from subsequent solvent extraction. In the Philippines, a major coconut producer, approximately 80% of coconuts are processed into copra for oil production. The country's copra production increased from 2.6 million metric tons in the previous year to 2.7 million metric tons in MY 2023-2024. This increase in production is supported by the country's infrastructure, which includes 62 copra mills with a total annual capacity of 3 million metric tons of crude and refined oil and 35,000 metric tons of virgin coconut oil for domestic and export markets, according to the USDA Oilseeds and Products Annual Report 2024.
- The availability of copra meal is directly correlated with coconut oil production. As the demand for coconut oil in cooking, cosmetics, and industrial applications increases, so does the supply of copra meal. This relationship is evident in recent global production figures. The Oil World and International Coconut Community reported that global coconut oil production in 2022 reached 3.2 million metric tons, a 16% increase from the previous year's 2.8 million metric tons. This significant growth in coconut oil production indicates a corresponding increase in copra meal availability, highlighting the interconnected nature of these products in the coconut processing industry.
Understand The Key Trends Shaping This Market
Download PDF
Asia-Pacific Region Dominates the Market
- The feed industry in Asia-Pacific is experiencing rapid growth, driven by increasing meat consumption and export opportunities. In 2022, China's domestic chicken consumption reached 15 million metric tons, a 4.2% increase from the previous year's 14.4 million metric tons. This growth, coupled with the positive outlook for the coconut crop industry, presents significant opportunities for copra meal producers in the region.
- Southeast Asia, South Asia, and Pacific Island countries, major producers and consumers of coconuts, are driving market growth. Copra meal's high-quality protein content, which aids in animal meat production, has increased its usage in Asian countries with significant meat production. In 2022, Indonesia led coconut production with 17.19 million metric tons, according to FAOSTAT. The Philippines was the largest producer of coconut oil, with 1.3 million metric tons in 2022, a 31.8% increase from the previous year's 0.9 million metric tons.
- Governments in the region are promoting coconut products through various projects. The Philippine Coconut Authority (PCA) has implemented the Coconut Planting and Replanting Project 2023-2028, aiming to replant 100 million coconut trees by 2028. These initiatives are expected to contribute to the growth of the copra meal market in the forecast period.
Get Analysis on Important Geographic Markets
Download PDF
