Govt okays coir sector package

KOCHI: The government has approved a Rs 243-crore coir sector development scheme to be implemented by the Coir Board. The scheme to be executed in the XIth Plan will cover the spinning and the tiny household segment in the coir sector.

Around 4,000 units of the spinning segment and 3,200 units of tiny and household segment will be covered under the scheme, according to Coir Board chairman AC Jose. The expected employment generation is 60,800 workers, of which 36,800 will be new employment. This is the biggest ever central scheme for coir sector, he said.

More than 50% of the scheme will encompass Kerala where 85% of the total coir export production and 70% of the coir manufacturing facility in India is concentrated. Tamil Nadu, Karnataka, Andhra Pradesh, Orissa, north-eastern region, Andamans, Lakshadweep are some of the other areas that will be covered under the scheme.

The sanctioned amount for the current fiscal is Rs 22.50 crore. Under the scheme the capacity will be augmented by replacing existing ones. The board plans to cover 350 spinners and 305 tiny household this fiscal, which coming to a close.

Mr Jose said there has been overwhelming response from the beneficiaries for the scheme with 500 applications coming from Kerala and another 450 from Tamil Nadu.

The board has adopted a coir village at Singampunari in Tamil Nadu, which was inaugurated by finance minister P Chidamabaram.