Tender coconut exports from Pollachi in Tamil Nadu's Coimbatore district have been severely disrupted over the past two months, with shipments to key international markets coming to a halt due to escalating freight charges and prolonged transit delays linked to the Iran–Israel conflict.
The sharp increase in shipping costs, coupled with uncertainty over delivery timelines, has rendered exports commercially unviable for traders.
As a result, several consignments have been cancelled despite continued demand from overseas buyers, who remain cautious amid volatile logistics conditions. Global shipping disruptions have further compounded the crisis, with congestion and rerouting affecting major maritime corridors.
Transit through the Suez Canal has slowed considerably, while alternative routes have extended delivery timelines to nearly a month for European destinations.
Shipments to Gulf countries have also been hit, with vessels being diverted around the Strait of Hormuz, doubling transit times and making exports of perishable goods like tender coconuts increasingly difficult to sustain.
As a result, exports to Gulf countries such as Saudi Arabia and Kuwait have been halted, while shipments to major markets including Europe, East Asia and North America have also been suspended.
The prolonged transit time has made it difficult to maintain product quality, given the highly perishable nature of tender coconuts, which have a shelf life of about a week.
On the domestic front, the sector is facing additional pressure from labour shortages, with a section of the workforce engaged in election-related activities. This has disrupted harvesting, de-husking, processing and packaging operations across farms and export units. Rising input costs have added to the burden, with fertiliser prices increasing in the aftermath of the conflict.
At the same time, production has been impacted by a combination of pest attacks, including whitefly and root wilt disease, along with a prolonged dry spell, leading to a drop in yield by up to 25 per cent.
Pollachi accounts for around 86,800 hectares of coconut cultivation in Coimbatore district and is known for its high-quality tender coconuts with high water content.
While exports have stalled, strong domestic demand has provided some support to growers, with farm-gate prices hovering around Rs 49 per coconut and retail prices remaining above Rs 60 in several markets.
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