Coir Rolls Out To Change


The word ‘Coir’, which represents the livelihood of 3.75 lakh of Keralites - is having a history of centuries. The Sangha Era writings have the references of coir in its greater writings like ‘Puranannoor’ ‘Pathittupathe’ etc. The writings of Marco Polo who visited Kerala during 13th Century contain the references of coir from Kerala. Two British-Irish investors established first organised manufacturing factory in coir sector in 1860 at Alappuzha. Hence coir is the lone traditional industry which can claim the glory of “National Industry of Kerala”.
The coir industry is also having the privilege of highest gender representation - about 3.75 lakh workers of which 80 per cent are women. It supports the rural economy of Kerala. The industry is going through a crisis due to several factors including those arising out of globalisation and free market economy. The absence of result-oriented product diversification efforts, lack of direction and focus in R&D, absence of a healthy private -public partnership in growth strategy etc., have added to the statement in the industry. The industry like any other traditional one such as handlooms, jute etc. need government support for the growth and development of the industry in such a way as to generate better result.
The major task of the state government was to draw comprehensive roadmap for the integrated and sustained development of this sector. It began from the scheme for establishing new defibering mills to alleviate the raw material scarcity to the development of new market fronts and research and development activities both market oriented and product oriented.
The government conducted a census in coir sector to identify the status of the industry and on the basis of that a coir commission was set up to study and render appropriate suggestions to modernise and recognise the industry in a phased manner.
The major activities include establishment of new defibering mills to produce maximum raw material within the state; the existing defunct defibering mills are also reviving by extending financial and technical support.
The removal of minimum purchase price of semi-finished coir products introduced as per purchased price enforcement Scheme and the minimum export price have led to unhealthy trends in t he industry resulting in over exploitation of workers. The middle-man turned as depot agents, broken the ties between the real small manufacturers and exporters and in this process poor manufacturers could not gain any benefits out of his hard labour and investment and the workers were denied of fair wages. This led to anarchism in the industry and frequent industry-wide strikes made the foreign importers feel unsafe in procuring finished products and gradually compelled them to look for alternatives. This was the situation three years back. Now the entire scenario is changed harmoniously due to the intervention by the present government. The Government of Kerala evolved a purchased price stabilisation scheme ensuring fair price to small-scale producers and timely delivery to exporters with a subsidised price. The system works well with the financial support of the state government.
To address non-tariff barriers in international trade, like certification for environment friendliness and social friendliness to improve the perceived price and quality, to enable market segmentation and facilitate market immunity to market volatile, the products are positioned through USP preferably geographical and socio - economic indicators. The eco-friendly value of coir needs to be persecuted in a convincing manner to create market segments and to sustain the growth. An umbrella coir brand, like 'Kerala Coir' have been created and promoted in a standalone version. The Government of Kerala decided for a brand building campaign and a brand logo was conceived as ‘Kerala Coir Golden Yarn of God’s own country’ .
The coir yarn and products that are manufactured by the primary coir societies and small -scale producers are marketed through out the country. As these products are to be transported to the far-flung markets, one of the main components of cost is the transportation. In order to compete with the products from other natural fibres like jute, the price of coir yarn and coir products is to be competitive. Synthetic products, especially in North India, where coir yarn had a good market previously, replace most of the coir yarn usages. The overwhelming cost of transportation made it costlier. The other natural products like jute, etc. already enjoy the privilege of this facility through Mill Gate system. This traditional industry can be made vibrant by penetrating the market for which cost should be competitive by way of providing transportation subsidy. The Government have evolved a scheme for this and Rs. 10 crore is provided towards price fluctuation fund.
The major recommendation of the commission is time- bound modernisation of the industry to recapture its lost hegemony. It needs establishment of a full-fledged engineering factory for the development and manufacturing of all machinery required in coir sector. It also recommends replacing the outdated machines with modern ones. In addition to this, the fibre extraction capacity of workers etc. No private investment is forthcoming in the case of value added products such as coir composites and products made with jute-coir blends, due to the factors such as heavy investment, uncertain market response etc. This requires intervention of the state and realizing the situation the government provided funds for creating manufacturing facilities for the above with central assistance. The jute-coir blend in the appropriate ratio provides characteristics that can find unlimited applications in quality handlooms, power looms etc. and spinning sector need immediate modernisation and sustained improvements in the areas of productivity, quality, wages, earning.

The State Government Have Set Up National Coir Research And Management Institute (NCRMI) To Carry Out Commercially Significant R & D Projects Like Better Technology For Spinning, Fibre Extraction, Geo-textiles Applications, Development Of Value
Added And Innovative Products Etc.

The coir composites are excellent building materials and compete well with bamboo ply etc. and if it is promoted well large-scale consumption of Coir Matting can be ensured. It is also wood substitute and helps reduce deforestation. It is proposed to create manufacturing facilities at Alappuzha for the production of jute-coir blended yarn and the coir composites. The Government have taken steps for establishing a coir machine manufacturing factory at Alappuzha.
The state Government have set up National Coir Research and Management Institute (NCRMI) to carry out commercially significant Research and Development projects like better technology for spinning, fibre extraction, geo-textiles applications, development of value added and innovative products etc. The Research and Development facilities elsewhere like CCRI and public sector undertaking etc will not be duplicated. This will be a centre of excellence in the R & D activities related to natural fibre across the world.
The major intervention of the government is in establishing a strong base for domestic market while protecting and encouraging the existing export segment. More than 600 new outlets are opened in the rural areas of the state with the help of Service Co-operative Banks. The Government organised a campaign in the state with a slogan ‘Oru Veettil’ ‘Oru Coirulpannam’ (one coir products in each home).The result is encouraging. The Co-operative outlets, Kudumbasree movement, public sector undertakings etc. were involved with the campaign. The Coir PSUs made a remarkable achievement and it exceeded 300 per cent high to previous years' corresponding period. Inspiring from this boom, now the coir department is planning to establish 10000 outlets all over India.
The traditional coir industry is passing through a metamorphosis of modernisation and pro-labour innovations during the tenure of this state government.

G. Sudhakaran
Kerala Minister for Co-operation & Coir