THE current global economic crisis has taken a toll on Northern Mindanao’s coconut industry as demand for export products decreased in the first quarter of this year compared to the same period last year.

Data from the National Economic and Development Authority (Neda) in Region 10 showed that the volume of coconut products and by-products exported during the first quarter dropped by almost 73 percent from 115,821 metric tons (MT) during the same period in 2008 to only 31,594 MT in 2009.

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Correspondingly, gross sales also went down by 68 percent, from US$98.035 million in 2008 to only US$30.888 million in 2009.

Among coconut products and by-products, the demand for coconut oil plummeted extensively from 43,629 MT in 2008 to just 7,010 MT in 2009, or gross sales of only US$3.645 million in 2009 from the 2008 sales of US$45.256 million.

Aside from coconut oil, the demand for coconut chemicals, desiccated coconut, copra cake/meal, coco cream, coco nets and coco husk chips also went down as a result of the global economic crisis.

Among the coconut products and by-products, only shell charcoal, milk powder, reduced fat, and coconut water had a slight increase in volume and sales.

Data from Neda also showed that among the provinces in Northern Mindanao, only Misamis Oriental recorded negative for the production of mature nuts in the first quarter of 2009 compared to the same figure last year due to the flashflood that hit the province in early January.

The negative mature nuts production in Misamis Oriental is also attributed to the ongoing construction of the Laguindingan International Airport and other commercial and industrial developments as the province recorded the highest number of trees cut compared to the other areas in the region.

The Neda data showed that the full implementation of Republic Act 8048 or the Coconut Preservation Act of 1995 significantly reduced the total number of coconut trees cut legally in the region -- from 5,481 in 2008 to 2,426 in 2009.

However, the Laguindingan airport is exempted from the nationwide suspension of permit issuances because the trees affected within the airport are under land use conversion.

Though there is low demand for coconut products and by-products for the region, Neda is hoping that Northern Mindanao’s economy would stay afloat through improved domestic production.