Relief for coconut exporters; US removes coconut from the allergen list; Kerala leads in the export of coconut-based food products.

After years of persistent efforts by key stakeholders in the coconut industry, the United States has officially removed coconut from its list of food allergens, as reported by Deccan Herald. This decision comes as a major relief for Indian coconut farmers, particularly those from South Indian states, and is expected to significantly boost exports.

Previously, US authorities classified coconut as a "tree nut" and included it in the list of food allergens under the Food Allergen Labelling and Consumer Protection Act (FALCPA). The presence of the word "nut" in coconut is believed to have contributed to this misclassification, leading to unnecessary trade barriers.

A Game-Changer for Indian Exporters

The classification of coconut as an allergen created substantial hurdles for exporters, despite strong demand for coconut and its derivatives in the US market. Indian exporters faced increased production costs due to stringent allergen labeling regulations. Additionally, consumer confusion led to a decline in the use of coconut-based products in university cafeterias, hospitals, and other institutions in the US.

After continuous advocacy from organizations like the Coconut Coalition of the Americas (CCA)—which includes Indian exporters—the US Food and Drug Administration (FDA) finally excluded coconut from the allergen list.

Deepthi Nair S, Director (Marketing) of the Coconut Development Board (CDB), welcomed the move, stating that it would remove unnecessary compliance burdens and enhance India's coconut export potential.

Coconut Exports Set to Rise

According to CDB data, India exported Rs. 924 crore worth of coconut-based food products in 2023-24, with Rs. 268 crore worth of exports directed to the US. The US is India's second-largest importer of coconut products, following the Gulf nations.

India’s leading coconut-producing states include Karnataka, Kerala, and Tamil Nadu, with Kerala emerging as the top exporter. In 2023-24, Kerala accounted for Rs. 459 crore worth of coconut product exports.

Years of Effort Finally Pay Off

One of India's prominent coconut exporters, Shrinivasan Ramaswamy, who also serves as a technical member of the Coconut Coalition of the Americas, emphasized the long and persistent efforts required to correct the misclassification. Continuous submission of research and test reports was essential in persuading US authorities that coconut is a fruit, not a tree nut.

“The decision eliminates the cumbersome export procedures we previously faced and will undoubtedly have a positive impact on India's coconut trade,” said Ramaswamy, Managing Director of Apex Coco and Solar Energy Ltd, based in Tiruppur, Tamil Nadu.

With this regulatory change, Indian coconut exporters can now anticipate increased trade opportunities, fewer regulatory hurdles, and a stronger foothold in the US market.