• Coconut production is oversupplied. As a result, it caused low coconut prices for the past 5-6 consecutive years.
• Coconut consumption markets are saturated, also Oil coconut markets are narrower because they are replaced by palm oil.
• Lacking of plant development, improved technology in production, post-harvest handling, processing and product development and distributions.
• On account of the oversupply, many coconuts are left rotten and thus entails great monetary risks
• Many importing countries set a relatively high quality standard to discourage importing (trade barrier).
• Inadequate quality standards to guide producers in domestic and international trading.
• Labor force problems. There is a higher wages rate and insufficient number of workers.