Centre clears bailout package for coir industry
The rejuvenation, modernisation and technology upgrading package involves a government grant of Rs 548 crore, institutional credit of Rs 886.5 crore and beneficiary investment of Rs 219 crore.
By PTI |
THIRUVANANTHAPURAM: To tap the increasing global demand for coir products, the Centre has approved a Rs 1,654-crore support package for coir industry, which has for long remained as a low-investment and rural-technology-driven enterprise.
The rejuvenation, modernisation and technology upgrading package involves a government grant of Rs 548 crore, institutional credit of Rs 886.5 crore and beneficiary investment of Rs 219 crore, Coir Board chairman AC Jose told reporters here on Wednesday.
The package is expected to push up exports from Rs 605 crore to Rs 1,600 crore and domestic sales from Rs 1,300 crore to Rs 2,625 crore a year. It would also generate 1.7 lakh new jobs and spin-offs with intermediary industries coming up in large numbers.
Mr Jose, who was recently elected the chairman of International Group of Hardfibres under FAO, said the Indian coir industry grew by 24% in volume terms and 19% in value terms touching 605.16 crore in exports in 2006-07.
Besides Kerala, Tamil Nadu and Karnataka had been the other southern states fast emerging as major centres of coir industry, he said.
Apart from improving productivity through upgraded technology and value-addition, the Coir Board was also making efforts to find new markets for by-products like coir pith which could be used as a medium for horticulture. An international buyer-seller meet had been planned in Kochi in December as part of marketing efforts, he added.
The rejuvenation, modernisation and technology upgrading package involves a government grant of Rs 548 crore, institutional credit of Rs 886.5 crore and beneficiary investment of Rs 219 crore, Coir Board chairman AC Jose told reporters here on Wednesday.
The package is expected to push up exports from Rs 605 crore to Rs 1,600 crore and domestic sales from Rs 1,300 crore to Rs 2,625 crore a year. It would also generate 1.7 lakh new jobs and spin-offs with intermediary industries coming up in large numbers.
Mr Jose, who was recently elected the chairman of International Group of Hardfibres under FAO, said the Indian coir industry grew by 24% in volume terms and 19% in value terms touching 605.16 crore in exports in 2006-07.
Besides Kerala, Tamil Nadu and Karnataka had been the other southern states fast emerging as major centres of coir industry, he said.
Apart from improving productivity through upgraded technology and value-addition, the Coir Board was also making efforts to find new markets for by-products like coir pith which could be used as a medium for horticulture. An international buyer-seller meet had been planned in Kochi in December as part of marketing efforts, he added.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
