Papua New Guinea’s (PNG) coconut industry is set for a major transformation through a new partnership between the Marape-Rosso Government and Sri Lanka’s Jaindi Exports Pvt Limited, one of the world’s leading manufacturers of coconut-based food and beverage products.
The partnership, announced during a two-day visit by Minister for International Trade and Investment Richard Maru and his delegation to Sri Lanka, will lead to the establishment of a large-scale coconut processing plant in Madang Province under a joint venture (JV) arrangement between the PNG Government and Jaindi Exports.
The project, to be built on 20 hectares of land owned by the Madang Provincial Government at Siar along the North Coast Road, aims to shift PNG’s traditional copra-based coconut industry toward a modern, value-added sector producing high-end coconut products for both domestic and export markets.
“This project will transform the entire coconut industry in PNG,” said Minister Maru. “Labouring to make copra and selling to copra mills to produce crude coconut oil will be a thing of the past. Our farmers will harvest and sell coconuts directly to the processing plant, where every part of the coconut—from the husk to the shell and the water—will be processed into finished products for export.”
Under the joint venture, the State will hold 51 percent of shares, while Jaindi Exports will hold 49 percent. The project is expected to cost K100 million, with the government committing K50 million in equity funding from the 2025 Public Investment Program (PIP) Budget.
“The State’s equity contribution is ready, and we are ready to start this project,” Minister Maru confirmed.
Once operational, the proposed processing plant is expected to create about 1,000 new jobs in Madang Province and stimulate increased coconut production across the region.
According to Managing Director of the Kokonas Indastri Koporesen (KIK), Mr Alan Aku, Madang was chosen based on KIK’s census data showing the province has three million coconut trees capable of producing 206 million nuts per year.
“That is the primary reason why we will be setting up the proposed processing plant in Madang. If this project is successful, we will look to build more processing plants in East New Britain and Bougainville,” Mr Aku said.
Building on this, Minister Maru revealed that the government will seek National Executive Council (NEC) approval for the joint venture, along with the creation of a new Special Economic Zone (SEZ) to be known as the Siar SEZ. The coconut processing plant will be located within this SEZ, which will serve as an industrial park distinct from the Madang Integrated SEZ that focuses on the fishing industry.
During their visit, the PNG delegation—which included Madang Governor Hon. Ramsey Pariwa, Secretary for International Trade and Investment Mrs Jacinta Warakai-Manua, and KIK Managing Director Mr Aku—toured Jaindi Exports’ world-class processing facilities and observed the company’s diverse product lines.
Minister Maru described Jaindi’s operations as impressive, noting their range of products such as coconut cream, milk, oil, sugar, butter, whipping cream, ice cream, vinegar, virgin oil, coconut water, flour, chips, and milk drinks. He said these products are in high demand globally as consumers increasingly seek healthy and natural alternatives.
He added that global demand for coconut products had risen sharply from US$15 billion in 2015 to US$40 billion in 2025 and is projected to reach US$60 billion by 2030.
“Jaindi Exports is struggling to meet increasing global demand and is expanding to PNG to take advantage of our proximity to key markets like Australia, Asia, and Oceania. With our EPA access to the European Union, we can also start exporting organic coconut by-products to Europe,” Minister Maru said.
To commemorate the partnership, Jaindi Exports hosted a customary event that featured a Sri Lankan cultural performance, the lighting of an oil lamp, and the planting of two coconut trees at Navik Mills to symbolise the new relationship.
Minister Maru extended an invitation to Jaindi Exports Founder and Managing Director Mr K.M. Sampath Anuruddha and his executives to visit PNG later this month to finalise partnership arrangements and inspect the project site in Madang.
Governor Ramsey Pariwa welcomed the development, saying he looked forward to hosting the Jaindi delegation and seeing the project get underway soon.
