Overseas markets found for coconut products

Business

By LEMACH LAVARI
Kokonas Indastri Koporesen (KIK) has helped 15 local businesses sell their products overseas, says industry services general manager Alan Aku.
Aku told The National that the three main high-value coconut products (HVCP) being sold overseas were virgin coconut oil, coconut body oils and coconut soap bars.
He said those three products were mainly sold in Australia and New Zealand.
Aku said virgin coconut oil had more market attraction compared to the other two.
“Market research shows that sales or export volumes for the three products have been increasing since 2011,” he said.
He said that remained proportionally small because most of the businesses had yet to develop the capacity to progress from the local market into international.
Aku said one standout was Niugini Organics from East New Britain.
It supplied seven states of Australia and has recently gone into the European market.
“KIK, in partnership with Investment Promotion Authority will be sponsoring Niugini Organics into Japan Food Show in March 2019, for possible entry into that market,” Aku said.
He said the main challenges faced by these businesses were access to market, cost of operation and food safety compliance.
KIK is ensuring that the products from the businesses it works with comply to Hazard Analysis Critical Control Points (HACCP) Australia.
HACCP is a management system in which food safety is addressed through analysis from a product’s raw material production through to its final stage. Getting HACCP certification will ensure that local products are considered in international markets.
Aku said KIK had three main objectives in working with small to medium-sized enterprises:

  • To guide and train businesses in downstream processing of coconut products to comply with licensing requirements;
  • to help businesses comply with local and international food laws with regards to food safety; and,
  • to provide and facilitate opportunities for promoting products and market access where possible.