Stronger rupee unlikely to hit coir exports

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Kochi | Updated: April 2, 2015 1:25:47 AM

Coir exports during the first nine months of the current fiscal are seen higher despite stronger rupee and loss of traditional markets.

Coir exports during the first nine months of the current fiscal are seen higher despite stronger rupee and loss of traditional markets.

Export of coir and coir products during the April-December period stand at 427,486 tonne valued at R1,149.66 crore as against 377,676 tonne valued at R1,052.61 crore in the corresponding period of 2013.

Value of exports is seen higher by 9% and volume by 13%. Coir exports from the nation during the last fiscal touched a record high of R1,116.02 crore. India is the largest exporter of coir products such as mats, matting and rugs in the world.

Procurement of the main raw material, coconut husk, had been huge challenge for the industry, which has also seen traditional items of exports facing sluggish demand. Demand for coir mats, matting and geotextiles are seen declining, while exports of raw materials like yarn, fibre and curled coir are increasing.

China had last year replaced the US as the biggest coir buyer from India. In FY14, exports to China constituted 36% of India’s coir export in volume. While the US had bought coir and coir products to the tune of 55,091 tonne, China purchased as much as 192,110 tonne.

Coir is witnessing stiff competition from other mechanized products like PVC tufted mats. These substitute products are getting cheaper due to the mechanised production while handloom products are getting relatively costly due to the labor involved. Traditional items of exports like handloom mats and rugs are seen declining in both volume and value during the last few years.

About 76 % of the total exports were contributed by non-traditional products, whereas handloom products like mats, matting, coir geotextile put together contributed only 24 % of the total exports. Coir exporters are reporting growth in orders from the UAE and some African countries.

 

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