Indonesian producers of coconut products in Southern Sumatra are facing challenges as the price of fresh mature coconuts keeps increasing. The coconut prices have increased by 17-20% compared to earlier this 2023 due to transportation issues from the plantations to the collection points, which subsequently affect the truck shipping to the factories. The farmers in South Sumatra mostly transport the coconuts by boat through waterways. However, the ongoing El Nino phenomenon has led to a drying up of many canals, disrupting the transportation process through these waterways.
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