REPORT ON COIR VALUE

CHAIN
Secondary Reseach

Industry Overview
Coir Industry in India engages around 5lac workers, 5000 manufacturers and 140
exporters. Women constitute about 80% of the work force in coir industry. Total
world coir fibre production is 250,000 tonnes. The coir fibre industry is
particularly important in some areas of the developing world. India produces 60%
of the total world supply of white coir fibre. Sri Lanka produces 36% of the total
world brown fibre output. Over 50% of the coir fibre produced annually
throughout the world is consumed in the countries of origin, mainly India.
For historical reasons, cultivation of coconuts and extraction of Coir fibre and its
further processing have taken deep roots in the state of Kerala. The rapid
expansion of coconut cultivation in non-traditional areas increased the
production of coconut and the industry has also developed gradually in the
states of Tamil Nadu, Karnataka, Andhra Pradesh and Orissa. Coir industry in
India is one of the important rural industries.
Karnataka State Coir Development Corporation Limited
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Assets

Number of Units

De-fibering units

12

Curled coir units

Auto spinning units in rural areas

Production centres for the production of

yarn, rope, curled coir, coir matting and foot
mats

75

Sales Outlets

12

Sales Counters

Mobile Vans to sell products in local market

Coir Industry in Karnataka provides major employment to rural economically

weaker sections of the society and prevents migration to cities. The production
centres provides employment opportunities to about 1,500 beneficiaries. Apart
from selling their produce in Karnataka they also cater to the demand of Delhi
and Gujarat markets.
Production Centres
Fibre Manufacturing Units: There are about 174 units at the installed capacity
of 55,950 MT/ annum. Out of which 127 units are working with the installed
capacity of 42,000 MT/annum producing 23,523 MT of fibre per annum. i.e., an
overall capacity utilisation of 42% .

The reasons for low capacity utilization was found to be:

1. Frequent interruption of power supply in rural areas where majority of the
production units are located. These units get the power supply from the rural
feeder.
2. Another reason was found to be poor quality raw material. Due to mite
disease, the size of the coconut husk becomes small and thereby the fibre
content is affected. This also results in lower productivity.
Yarn Manufacturing Units: There are 164 units producing about 4,397 MT of
Coir yarn mainly operating on traditional ratts.
Rope Making Sector: There are 27 units producing about 850 Tons of rope for
domestic sales.
Mat and Matting Manufacturing Units: There are 97 Mat and matting
manufacturing units with the installed capacity of 13,055 MT/annum. These units
however produce only 2,001 MT of mat and mattings.
Curled Coir Units: There are 56 curling units with the installed capacity of
12,130 MT/annum but produces only 6,690MT of curled coir. Majority of these
units are located in Tumkur District.
Rubberized Coir Sector: The National level reputed firms like Kurlon, Restolex,
Bedsy and Duroflex are the main market players in the state. Presently There are
five manufacturers of mattresses operating in Karnataka, with a prospect for
more units to come up.

Future Prospect
The state has unutilized husk potential of about 81%. Coir in India is still used for
agricultural and domestic purposes. Return to nature" concept has now brought
intensive affinity for coir and coir products all over the world. Presently, coir has
also become an article of use in modern life as:

garden article
bags for the tea leaves
training hops
brush mats at the door steps
long-wearing carpets in the corridors of the bungalow veranda
tastefully planned floor coverings in the drawing room or as the runner on
the staircase
geo-fabric for controlling landslide or soil erosion
protection of embankments of roads, railway and canals

Some of the Innovative Iniatives of KSCDCL to be implemented includes:

Coir Composite Substitute for plywood

Coir Non oven products and gift articles
Coir pith industry Composting for Agriculture & Horticulture usage as
organic fertilizer

Opportunities for Karnataka

Karnataka has long coastal lines and good climate conditions for coconut
plantation for better yield
State is well connected by road, rail, air and Government incentives
supporting the activities and training facilities for skill development in
government sector
There is lot of scope for rubberized coir products which indirectly benefits
lot of curled coir units for maximum capacity utilization and also large
number of employment potential

About Coir
Coir is a versatile natural fibre extracted from the husk of coconut fruit. The husk
contains 20% to 30% fibre of varying length. After grinding the husk, the long
fibres are removed and used for various industrial purposes, such as rope and
mat making. The remaining material, composed of short and medium-length
fibres as well as pith tissue, is commonly referred to as waste-grade coir. The
waste grade coir may be screened to remove part or all of the fibre, and the
remaining product is referred to as coir pith.
Varieties

White Coir: India has the virtual monopoly for white fibre in the world. Now
Sri Lanka has also started producing white fibre. White fibre is more suited for
spinning yarn, mats, matting, carpets and rope. In fact, white fibre is ideally
suited for carpets and mats because it is soft in nature and hence conducive
for spinning. It also assimilates colour better. As such it facilitates the
manufacture of a wide range of products in various designs, shapes and sizes.
Brown Coir: Brown fibre comprising of bristle fibres, which are the coarser,
thicker and longer staples and mattress fibres, which are finer and shorter
staples, is extracted from husk that are not retted. Brown coir is used to make
coir ropes. It is better suited to make 'rubberised coir', which is being widely
used to make mattresses, and pillows and are also used as padding and
underlay for carpets.

Structure of Coir Fibre

The individual fibre cells are narrow and hollow, with thick walls made of
cellulose. They are pale when immature but later become hardened and
yellowed as a layer of lignin, is deposited on their walls. Mature brown coir fibres
contain more lignin and less cellulose than fibres such as flax and cotton and so
are stronger but less flexible. They are made up of small threads, each less than
0.05 inch (1.3 mm) long and 10 to 20 micrometres in diameter. White fibre is
smoother and finer, but also weaker. The coir fibre is relatively waterproof and is
the only natural fibre resistant to damage by salt water.
Green coconuts, harvested after about six to twelve months on the plant, contain
pliable white fibres. Brown fibre is obtained by harvesting fully mature coconuts

when the nutritious layer surrounding the seed is ready to be processed into
copra and desiccated coconut. The fibrous layer of the fruit is then separated
from the hard shell (manually) by driving the fruit down onto a spike to split it
(De-husking). Machines are now available which crush the whole fruit to give the
loose fibres.
Manufacturing Process
White Coir: The immature husks are suspended in a river or water-filled pit for
up to ten months. During this time, micro-organisms break down the plant
tissues surrounding the fibres to loosen them a process known as retting.
Segments of the husk are then beaten by hand to separate out the long fibres,
which are subsequently dried and cleaned. Cleaned fibre is ready for spinning
into yarn using a simple one-handed system or a spinning wheel.
Brown Coir: The fibrous husks are soaked in pits or in nets in a slow moving
body of water to swell and soften the fibres. The long bristle fibres are separated
from the shorter mattress fibres underneath the skin of the nut, a process known
as wet-milling. The mattress fibres are sifted to remove dirt and other rubbish,
dried and packed into bales. Some mattress fibre is allowed to retain more
moisture so that it retains its elasticity for twisted fibre production. The coir
fibre is elastic enough to twist without breaking and it holds a curl as though
permanently waved. Twisting is done by simply making a rope of the hank of
fibre and twisting it using a machine or by hand. The longer bristle fibre is
washed in clean water and then dried before being tied into bundles or hunks. It
may then be cleaned and hackled by steel combs to straighten the fibres and
remove any shorter fibre pieces. Coir bristle fibre can also be bleached and dyed
to obtain hanks of different colours.
Properties of coir

Moth-proof; resistant to fungi and rot

Provides excellent insulation against temperature and sound
Not easily combustible
Flame-retardant
Unaffected by moisture and dampness
Tough and durable
Resilient; springs back to shape even after constant use
Totally static free
Easy to clean

Financial Assistance Schemes

Mahila Coir Yojana

This scheme is intended to provide self-employment to rural women artisans

in regions producing coir fibre. Over the last two decades, production of coir
fibre has substantially increased in India. Conversion of coir fibre into yarn on
motorized ratts in rural households provides scope for large scale
employment, improvement in productivity and quality of coir fibre, better
working conditions and higher income, which ultimately leads to the
improvement of standard of living of rural woman artisans.
The scheme envisages distribution of motorized ratts/ motorized traditional
ratts/electronic ratts for spinning coir yarn to trained women artisans.
Not more than one artisan per household would be eligible to receive
assistance under the scheme.
Coir Board will provide 75% of the cost of the motorized ratt or motorized
traditional ratt or electronic ratts as one-time subsidy subject to a maximum
of Rs. 7500/- for motorized ratt and Rs. 3200/- for motorized traditional ratt or
electronic ratts provided the other 25% is raised by the beneficiary through
voluntary organizations, financial institutions or own sources.

Coir Udyami Yojana

It is a credit linked subsidy scheme for setting up of coir. Maximum admissible

cost of the project is Rs.10 lakhs plus one cycle of working capital, which shall
not exceed 25% of the project cost.
The pattern of assistance is 40% of the project cost as grant by subsidy by
Govt. of India, 55% as term loan and 5% as beneficiary contribution. The
banks shall consider composite loan instead of term loan to cater to the
working capital requirements also. This should be exclusive of Rs.10 lakhs
limit proposed. However, subsidy will be computed excluding working capital
component.
Under the CUY Scheme, Marketing Support Assistance to the beneficiaries for
the following interventions will also be considered.
a) For providing financial assistance for establishing Marketing Consortium of
CUY beneficiaries.
b) For reimbursement of expenditure incurred for participation in
fairs/exhibitions
c) For hiring showroom spaces
d) For reimbursement of salary of personnel employed in the Consortium