Dominican coconut industry attracts US$7 million investment

Nagua, DR.- The Dominican Republic’s coconut industry is entering a new growth phase, with a US$7 million foreign investment in the sector that could exceed US$20 million, according to Hecmilio Galván, executive director of the Fund for Agricultural Development (FEDA).

Galván made the announcement during a visit to La Mundial del Coco, a coconut substrate company in Cabrera, María Trinidad Sánchez, recently acquired by Danish multinational Pindstrup, a global producer of agricultural substrates.

The company plans to increase its coconut fiber processing capacity from 12,000 to 60,000 tons in the coming years, driven by rising international demand, particularly in North America and Europe. The expansion could create opportunities throughout the coconut value chain, benefiting producers, husk collectors, transporters and other businesses while generating direct and indirect employment.

Galván called for stronger cooperation among the government, producers and Pindstrup-La Mundial del Coco to ensure that the company’s industrial expansion is matched by increased coconut planting and production. He also highlighted the growing commercial value of coconut husks, fiber and other by-products that previously had limited use, allowing producers to generate additional income through industrialization.

During a meeting with producers and company representatives at the National Coconut Festival in Nagua, participants discussed the rising demand and price of coconut husks, as well as the growing number of collectors supplying the processing plant.

Galván said the sector’s expansion must be supported by new plantings, financing, technical training and access to markets so that increased industrial capacity translates into greater opportunities for Dominican coconut producers.