Key Drivers for Desiccated Coconut Market to Ensure Healthy Growth

Desiccated coconut is a dried (a maximum of 3% moisture content), grated and unsweetened fresh kernel or meat of a coconut’s mature fruit. Desiccated coconut is used as an ingredient in food industries. Desiccated coconut is derived from coconut which is predominantly grown in Southeast Asian countries, and is traded worldwide. Since the ingredient is used in food industries such as bakery, confectionery, culinary, beverages etc., the growth and demand for desiccated coconut is has high correlation with the performance of overall mentioned food industries. Attributed to its low cholesterol or trans-fats content while rich in a variety of essential nutrient contents which includes dietary fiber, copper, manganese and selenium, the product has witnessed increased traction in global market.

On the backdrop of continuous increase in demand for the ingredients from food industry, existing ingredient producers included desiccated coconut in their product portfolio and stimulated the global desiccated coconut market. Global desiccated is characterized by fragmented number of players, largely operating in regional markets. However, a few multinational players are strengthening their distribution network to increase market foothold in markets that has high potential and are unorganized.

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Desiccated Coconut Market Segmentation:

Desiccated coconut market can be segmented on the basis of cut as:
Regular cut
Fine cut
Medium cut
Super fine cut
Fancy cut
Chips
Flakes
Threads
Shreds

Desiccated coconut market can be segmented on the basis of fat content as:
High fat content
Low fat content

Desiccated coconut market can be segmented on the basis of distribution channel as:
Supermarket
Specialty stores
Online sales
Retail stores

Desiccated coconut market can be segmented on the application as:
Food Industry
Culinary food products
Bakery products
Confectionery
Beverages

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Desiccated Coconut Market Regional Overview:

Desiccated coconut has traditionally been used in a lot Asian dishes as toppings and ingredients in curries, cooked cereal and baked food. Europe is the largest importer for desiccated coconut. In Western Europe, Belgium is the major consumer for desiccated coconut followed by Germany, Netherlands and U.K. In North American region U.S. accounts for most of desiccated coconut. European market for desiccated coconut is expected to show considerably high growth. In Asia-Pacific region India, Singapore are the major consumers for desiccated coconuts.

In terms of production Philippines, Indonesia, Sri Lanka and India are the major producers of desiccated coconut. Philippines, Indonesia and Sri Lanka are the major exporters for desiccated coconut in the global market.

Desiccated Coconut Market Drivers:

There has been an increase in the sales and demand for organic desiccated coconut and fair trade products which has a direct impact in driving the market growth of desiccated coconut. Desiccated coconut is a key ingredient in traditional bakery of many European countries such as kokosmakronen of the Netherlands and coconut macaroons of the U.K. Apart from this it is also used in many products like breakfast cereals. Most recently there has been as increase in interest of consumers in desiccated coconut based products such as kokosmakronen, breakfast cereals and also many Asian dishes, which has benefited the progress for desiccated coconut market.

Desiccated Coconut Market Restraints:

Despite the consideration of coconut as a healthy food, there has been some controversies associated with coconut and related products such as high saturated fatty acids content, which has various adverse effect on human health. This is causing a shift from the desiccated coconuts to other alternatives or products. In European market consumers prefers value added forms of products, like coconut water and roasted coconut chips rather than desiccated coconut, as the former products are more suitable to busy life styles.

Desiccated Coconut Market Key Player:

Some of the key players in the market for desiccated coconut market includes manufactures and suppliers including, Celebes Coconut Corporation, Ken taste Products Limited, VV Industries, Super Coco Company, Goldman International Put Ltd., Coloma Bio Organic, Holland & Barrett and Bake King, and others.

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