Coconut oil and fractions market in Mozambique

Earlier Report Observations

In 2018-2019, coconut oil production in Mozambique peaked at around 30 900 t, with market volume growing to 30 005 t. However, the sector was already facing threats from lethal yellowing disease and drought, which reduced the raw material base in Zambezia province, responsible for over 70% of national coconut production.

By 2020-2021, the raw material crisis worsened, leading to a sharp drop in production to 27 700 t and the closure of six industrial units. Market volume fell to 23 913 t in 2021 as the shortage of copra limited local supply, while export shipments increased. Issues with coconut quality and the lack of replacement for aging palms continued to pressure the industry.

In 2022-2023, production stabilized at around 27 100 t, and market volume recovered to approximately 25 700 t. The government stepped up efforts to develop agribusiness through the PRONAI program, but dependence on imported edible oil remained high, as shown by imports of 1.3 million t between 2015-2023. In 2024, the reintroduction of VAT on edible oil after a 17-year exemption created additional pressure on prices and consumption.

Production coconut oil and fractions in Mozambique

In kind, 2017-2020, t

Globally, Mozambique ranked as the 8th largest producer of coconut oil and fractions during the period from 2017 to 2020.

Top producers of coconut oil and fractions, 2017-2020

World map of production of coconut oil and fractions, 2017-2020

In 2020, Mozambique produced 27 700 tonnes of coconut oil and fractions, marking a significant year-over-year decline of 10.4%. Over the 2017-2020 period, production fell by 8.3%, with a compound annual growth rate of -2.8%. The highest production level was recorded in 2019 at 30 900 tonnes, which also saw the largest annual increase of 2.3%.

Annual dynamics of production in Mozambique in kind, 2017-2020, t

Exports coconut oil and fractions from Mozambique

Exports in kind, t

In 2020, Mozambique's export volume of coconut oil and fractions stood at 611 tonnes, representing a sharp year-over-year decrease of 33.6%. Between 2017 and 2020, exports dropped by 62.4%, translating to an annualized decline rate of 27.8%. The most substantial decline occurred in 2018 at 43.6%, while the largest increase was a modest 0.6% in 2019.

Annual dynamics of product's exports from Mozambique in kind, 2017-2020, t

From 2017 to 2020, South Africa and Switzerland were the dominant destinations for Mozambique's coconut oil and fractions exports in volume terms, together accounting for 88.4% of total flows. Other markets contributed smaller individual shares.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Mozambique in kind, 2017-2020

Exports in value, K $ US

Coconut oil and fractions exports from Mozambique declined for the third consecutive year. In 2020, export value reached 519 thousand US dollars, down 20.5% compared to 2019. Over the 2017-2020 period, exports decreased by 77%, with an annualized decline rate of 38.8%.

Annual dynamics of product's exports from Mozambique in value, 2017-2020, K $ US

During 2017-2020, South Africa and Switzerland were the primary destinations for Mozambique's coconut oil and fractions exports in value terms, jointly capturing 84.8% of total flows. The remaining share was distributed among other markets.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Mozambique in value, 2017-2020

Imports coconut oil and fractions to Mozambique

Imports in kind, t

The data shows irregular changes, indicating a volatile market environment. Import levels fluctuated significantly, with a 65-fold difference between the low in 2017 and the high in 2019. In 2020, Mozambique imported 6 tonnes of coconut oil and fractions, a 75.2% drop from the previous year. The peak was recorded in 2019 at 26 tonnes, which also saw the largest annual increase of 2,433.8%.

Annual dynamics of product's imports to Mozambique in kind, 2017-2020, t

From 2017 to 2020, India was the main source for Mozambique's coconut oil and fractions imports in volume terms, holding a 74.5% share of total flows. The remainder was spread across numerous other destinations.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Mozambique in kind, 2017-2020

Imports in value, K $ US

The market exhibited volatility over the observed period. Import values varied 17-fold from the low in 2017 to the high in 2019. In 2020, coconut oil and fractions deliveries to Mozambique amounted to 22 thousand US dollars, decreasing by 22.1% year-over-year. The maximum value was recorded in 2019 at 29 thousand US dollars, which also experienced the largest annual increase of 386.8%.

Annual dynamics of product's imports to Mozambique in value, 2017-2020, K $ US

Throughout 2017-2020, South Africa and India accounted for 83.0% of Mozambique's total coconut oil and fractions imports in value terms. The remaining share was distributed among other destinations, each with smaller contributions.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Mozambique in value, 2017-2020