Lok Sabha Question No. 3206 (UNSTARRED), answered on 2018-08-06
Subject: Coir Production and Export
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: P. KARUNAKARAN, SANJAY JAISWAL, P. KUMAR

## GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 3206 TO BE ANSWERED ON 06.08.2018

## COIR PRODUCTION AND EXPORT

3206.   SHRI P. KARUNAKARAN: DR. SANJAY JAISWAL: SHRI P. KUMAR:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

(a)  whether the Government has introduced any market development scheme in the Micro, Small and Medium Enterprises (MSME) sector especially for coir products;

- (b)    if  so,  the  details  thereof  along  with  the  Union  Government's  share  paid  to  the  State Governments under the scheme during each of the last three years, State-wise;
- (c)   the details of the total quantity of coir fibre produced and total value of coir products exported during the said period;
- (d)  whether the Coir Board proposes to double its exports in the next couple of years, if so, the details thereof along with the steps taken/being taken in this regard;

(e)  whether the Government proposes to extend these benefits to the coir producing farmers and its labourers and if so, the details thereof; and

(f)  the steps taken/being taken by the Government for upgradation / modernisation and for solving the marketing problems being faced by the coir industry in the country?

## ANSWER

## MINISTER OF STATE (INDEPENDENT CHARGE) FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI GIRIRAJ SINGH)

(a)&(b):  The Government through Coir Board is implementing a Scheme namely Coir Vikas Yojana (CVY). One of the components under this scheme is Market Development Assistance (MDA)  which  provides  assistance  to  Coir  Units  through  State  Governments  for  the development of coir industry and improve the marketing of coir products. An assistance of 10% of average sales during the preceding 3 years is provided to the Coir Units. The MDA is equally  shared  by  the  State  Governments  concerned  and  by  Coir  Board,  on  behalf  of Government  of  India.  Central  Government  Share  of  MDA  released  to  various  State Governments during 2015-16, 2016-17 and 2017-18, is as follows:

| MDA- Year wise amount sanctioned   | MDA- Year wise amount sanctioned   | MDA- Year wise amount sanctioned   | MDA- Year wise amount sanctioned   | (Rs. in lakhs)   | (Rs. in lakhs)                          | (Rs. in lakhs)   |
|------------------------------------|------------------------------------|------------------------------------|------------------------------------|------------------|-----------------------------------------|------------------|
| Year                               | Kerala                             | Tamil Nadu                         | Karnataka                          | Orissa           | Hindustan Coir &Showrooms of Coir Board | Total            |
| 2015-16                            | 800.00                             | 89.74                              | 95.89                              | 0.89             | 197.17                                  | 1183.69          |
| 2016-17                            | 400.00                             | 106.12                             | 100.00                             | 1.24             | 184.98                                  | 792.34           |
| 2017-18                            | NIL                                | NIL                                | NIL                                | NIL              | NIL                                     | NIL              |
| Total                              | 1200.00                            | 195.86                             | 195.89                             | 2.13             | 382.15                                  | 1976.03          |

(c): The details of the total quantity of coir fibre produced and total value of coir products exported during the last three years are as follows:

| Year                                |   2015-16 |   2016-17 |   2017-18 |
|-------------------------------------|-----------|-----------|-----------|
| Fibre Production (MT)               | 549300    | 556900    | 559400    |
| Total Value of Exports (Rs. Crores) |   1901.42 |   2281.65 |   2532.28 |

(d): Coir  Board  has  targeted  to  double  the  export  of  coir  and  coir  products  from  India within the next two years. There has been an increasing trend in the exports of coir and coir products year to year. It is expected that the trend will continue during the coming year. The Board plans to implement vigorous and target oriented export market promotion programmes for achieving the target. Some of the steps taken in this regard are as follows:

-  Providing  financial  assistance  under  the  International  Co-operation  Scheme  to exporters/entrepreneurs  as  reimbursement  of  expenditure  subject  to  item-wise ceilings for taking part in delegation/BSMs, participation in fairs and exhibitions abroad.
-  Organization of specialized exhibitions in India in order to showcase  the capabilities of Indian coir sector before the global buying community.
-  Organizing participation in international fairs held in India.
-  Organizing workshops and  management  development programmes  for skill development  in  the  areas  of  international  marketing,  regulatory  &  commercial documentation in export, INCOTERMS, export finance; currency risk management etc.
-  Undertake publicity propaganda.

(e): Coir Board and KVIC provided financial assistance, technical support for setting up of  Coir  micro  enterprises  with  project  cost  upto  Rs.25  lakhs  under  Prime  Minister's Employment Generation Programme (PMEGP). In addition, Coir Board has been implementing  an  Insurance  Scheme  for  the  coir  workers  of  the  country  against  death  and disablement  caused  by  accident.  Under  the  scheme,  the  entire  premium  amount  of  coir workers of the country was borne by Coir Board. The scheme has been merged with Pradhan Mantri Suraksha Bima Yojana (PMSBY).

(f): Coir Board launched the Coir Industry Technology Upgradation Scheme (CITUS) with the objective of extending financial assistance to set up modern infrastructure facilities to the production units and to modernize the existing coir units by establishing 'State of the Art' plant  and machinery. Under the scheme, Coir Board shall extend financial subsidy of 25% of  the  cost  of  admissible  items  of  plant  and  machinery  procured  by  coir  units.    The upper ceiling of the financial assistance will be Rs.2.50 Crores per coir unit/project.

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