Government considers replacing palm oil with coconut oil in PDS

India May 12, 2026

The government is thinking about swapping out palm oil for coconut oil in the Public Distribution System (PDS), with support from the Coconut Development Board.
The idea is to give people a healthier option and help coconut farmers earn more, especially in Tamil Nadu's Coimbatore and Tiruppur districts.
If this goes through, it could mean more coconut farms and better profits for local growers.

Coimbatore Tiruppur farmers optimistic, price ₹225/litre

Coimbatore has over 85,000 hectares of coconut farms, while Tiruppur adds another 58,000 hectares.
Farmers are optimistic that demand will grow if coconut oil enters PDS.
The Kangayam region's more than 100 mills could see a boost too, with stable prices predicted at ₹225 per liter until June, good news for both producers and farmers.