Coconut fertiliser subsidy - Rs. 228m

The government has allocated Rs. 228 m to grant the fertiliser subsidy to coconut farmers. This would encourage farmers to grow more coconut trees thereby increasing the production of coconuts. The annual coconut consumption in the country is over one million nuts while production was only 1,002,016 nuts resulting in a shortage.

The country produces over 30,000 tons of coconut oil annually to meet the national requirement. To manufacture one ton of coconut oil 90,000 coconuts are needed. In addition coconuts are used as raw material for many edible products of which some are even exported.

Coconut production decreased last year creating a sudden increase in prices. In addition, coconut trees are also felled to make rafters and beams.