Coconut, palm kernel or babassu oil and fractions market in Mexico

Earlier Report Observations

Production of coconut, palm kernel or babassu oil and fractions in Mexico increased steadily from 156.6 thousand tons in 2018 to 173.0 thousand tons in 2023. This growth was supported by government programs to strengthen the coconut value chain and rising consumer awareness of the health benefits of coconut oil, which expanded domestic supply and demand.

The market volume surged to 211.0 thousand tons in 2020, largely due to the COVID-19 pandemic, which boosted demand for healthy and long-lasting food products. However, in 2021 and 2022, market size contracted to 203.5 and 177.3 thousand tons respectively, as global supply chain disruptions affected import availability. Recovery followed in 2023, with market volume reaching 223.5 thousand tons, driven by increased production and marketing of certified organic and sustainable coconut oils.

Regulatory changes, such as the introduction of front-of-package warning labels under NOM-051, influenced product presentation and marketing, while innovations in packaging and new product launches, like snacks cooked with coconut oil, diversified the market. Environmental regulations for used oil management also promoted circular economy practices.

Production coconut, palm kernel or babassu oil and fractions in Mexico

In kind, 2018-2021, K t

Globally, Mexico ranked as the 7th largest producer of coconut, palm kernel, or babassu oil and fractions from 2018 to 2021.

Top producers of coconut, palm kernel or babassu oil and fractions, 2018-2021

World map of production of coconut, palm kernel or babassu oil and fractions, 2018-2021

In Mexico, production of coconut, palm kernel, or babassu oil and fractions grew for the third year in a row. In 2021, output reached 169.7 thousand tonnes, showing minimal change from the previous year. Over the 2018-2021 period, production rose by 8.4%, with an average annual growth rate of 2.7%.

Annual dynamics of production in Mexico in kind, 2018-2021, K t

Exports coconut, palm kernel or babassu oil and fractions from Mexico

Exports in kind, t

The market displayed volatility during the observed period. Exports hit their lowest point in 2021 at 45 tonnes, marking a sharp 94.2% year-over-year decline. In contrast, they peaked in 2020 at 773 tonnes, with the largest increase of 206.2% recorded that year. The difference between the peak and trough was 17-fold.

Annual dynamics of product's exports from Mexico in kind, 2018-2021, t

From 2018 to 2021, the United States and Colombia were the main buyers of coconut, palm kernel, or babassu oil and fractions from Mexico, together accounting for 98.7% of total exports in volume, while other countries made up the remainder.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Mexico in kind, 2018-2021

Exports in value, K $ US

The market trend was unstable throughout the timeframe. Exports in value terms bottomed in 2021 at 174 thousand US dollars, representing a 90.6% loss compared to 2020. They peaked in 2020 at 1 847 thousand US dollars, with the largest increase of 58.8% that year. The peak-to-trough ratio was 10.6 times.

Annual dynamics of product's exports from Mexico in value, 2018-2021, K $ US

Between 2018 and 2021, the United States was the primary destination for exports in value terms, making up 81.3% of total flows, with other markets forming a long tail of smaller partners.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Mexico in value, 2018-2021

Imports coconut, palm kernel or babassu oil and fractions to Mexico

Imports in kind, t

The market showed signs of volatility over the observed period. Imports reached their lowest point in 2018 and peaked in 2020 at 42 994 tonnes, with the largest increase of 130.4% recorded that year. In 2021, imports stood at approximately 33 804 tonnes, reflecting a robust 21.4% year-over-year drop. The peak-to-trough ratio was 2.5 times.

Annual dynamics of product's imports to Mexico in kind, 2018-2021, t

Throughout 2018-2021, Colombia (34.7% of imports in volume), Honduras (19.9%), and Costa Rica (17.2%) were the key sources for imports in kind, together accounting for 71.9% of total flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Mexico in kind, 2018-2021

Imports in value, K $ US

The data reveals irregular changes, indicating a volatile market environment. Imports in value terms hit their lowest point in 2019 at 17 994 thousand US dollars, with the largest decline of 29.6% that year. They peaked in 2021 at 47 628 thousand US dollars, up 16.5% from the prior year, following the largest increase of 127.2% in 2020. The peak-to-trough ratio was 2.6 times.

Annual dynamics of product's imports to Mexico in value, 2018-2021, K $ US

Over 2018-2021, Colombia (27.7% of imports in value terms), Costa Rica (19.3%), and the Philippines (17.2%) remained the leading sources in the country structure of imports in value terms, with a combined share of 64.1% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Mexico in value, 2018-2021