Tuesday, January 25, 2011

Fibre supply to help coir exporters

Fibre supply to help coir exporters

Increased supply of coir fibre and yarns is expected to make coir product exporters more competitive in the global market, sources in the Coir Board said. Supply of yarn and fibre from Tamil Nadu is expected to increase substantially because of speedy mechanisation of the sector. Raw material shortage in the Indian market due to huge exports to China and South Korea was eroding the competitiveness of Indian exporters.

Huge quantities of coconut husk available in the Malabar Region, which accounted for 60 % of the state's coconut production, was presently being procured by Tamil Nadu which exported substantial quantities of fibre and coir pith, particularly to China, resulting in cost escalation, sources said.

The industry is facing shortage of raw material and skilled labour due to which it is presently sourcing coir fibre for production of value added products from Tamil Nadu, especially Pollachi, Tenkasi, Cumbam, Theni and Nagercoil. The board has extended support to the Kerala government for reviving defunct defibring units in Malabar region of Kerala and for also identifying new sources of fibre supply from Karnataka and Andhra Pradesh as well. Coir industry in Kerala needs around two lakh tonne of coir fibre annually as against production of 50,000 tonne within the state.

Exports of coir fibre have increased by 273 % in volume and 299 % in value terms in 2009-10 as compared with the same period of last fiscal. Similarly, curled coir exports are up by 130 % in volume and 186 % in value for the same period.

Speedy mechanization of the Salem and Pollachi coir sectors, taking advantage of a Coir Board scheme that extended 40% government subsidy to coir spinning and tiny sectors has helped in reviving the sector, board sources said. The Board has also decided to set up a coir yarn procurement centre at Salem for the purpose.

source : http://www.financialexpress.com/news/fibre-supply-to-help-coir-exporters/736234/1