Pollachi's coir units in distress amid industry's continuous downward spiral

COIMBATORE: A drastic drop in demand for coir products in both international and domestic markets has left coir units in Pollachi, the hub for coir production in the doldrums.

“The century-old coir industry’s downfall which began after the COVID-19 pandemic has failed to revive, so far. From Rs 27 per kg, the price of coco pith fell to a meagre Rs 9, while coconut fibre which was sold for Rs 12 per kg has dropped to Rs 7 per kg,” said SK Gowthaman, president, the National Coir Federation and ex-coir consultant, United Nations Development Programme.

After a steady boom, the coir industry’s downfall began following the COVID-19 outbreak. However, the ongoing war among world nations, global economic slow-down, raw material price hikes, increase in electricity tariff and high rate of bank interest were among other reasons attributed to the negative growth of the sector.

Besides these factors, over 50 per cent of coir industries have become defunct, unable to compete in the international market. Production dipped by 60 per cent resulting in job loss to a large number of workers. Major global competitors for India include Sri Lanka, Philippines, Indonesia, Vietnam, Malaysia, Thailand, Columbia and Venezuela.

Around 23,000 coir industries are functional in 14 states across India providing direct and indirect employment to over 40 lakh people. India exports coir products to the tune of Rs 4,500 crore to 125 countries, while the domestic market is around Rs 12,000 crore.

In a significant achievement, almost 60 per cent of the nation’s coir production is from Tamil Nadu and its export value is pegged at Rs 3,000 crore.

As far as Tamil Nadu is concerned, the coir industry exists in 27 districts and over 80 per cent of workers constitute women from villages. More than 8,000 industries, falling under the category of micro, small and medium sectors, are functional in the state.

The country’s annual coir fibre production is 14 lakh metric tonne and coco pith is 21 lakh metric tonne. Of the total 4.5 lakh hectares spread across Tamil Nadu, Coimbatore, Tirupur and Erode districts alone have 1.20 lakh hectares producing husk for the coir industry.

Farmers also lamented that the yield of coconut fibre has come down because of the impact of white fly menace, root wilt disease and drought-like conditions.

“The groundwater level in Pollachi region, which used to be around 200 to 300 feet has gone drastically low to over 1,000 feet and above resulting in a lack of water for coconut groves and as well as for the water-intensive coir industry. There is a 40 per cent drop in yield of coconut fibre, which is essential for making coir products,” said S Vinod Kumar, a farmer in Pollachi region.