Why coir exporters shift operations to Tamil Nadu despite being registered in Kerala?

Representative Image | Photo: Sajan V Nambiar, Mathrubhumi

Kochi: Many coir exporters are shifting their operations to Tamil Nadu despite being registered in Kerala.

According to latest figures, there are around 700 coir units registered in Kerala. But, almost 70 per cent of their operations are concentrated in Tamil Nadu’s Trichy, Madurai, Selam and Pollachi.

One of the major factors that trigger the units to shift their operations is the crisis in the Kerala coir sector. While availability of raw material at cheaper rates, better socio-political and industrial friendly environment are the reasons attributed to migration to Tamil Nadu.

The bulk production of export quality coir and rope make the state more favourable for the players. Similarly, the presence of multiple seaports across the state reduces transportation cost to be incurred for the exports.

More than 55 per cent of coir units in India are functioning in Tamil Nadu. The coir production in Tamil Nadu is 2.998 lakh ton, highest in the country. While the production in Kerala is 2.298 lakh ton, the second highest in the country.

Kerala has been witnessing crisis in the sector as many discontinued coconut farming. According to the players involved in exports, the central and state governments should support them by providing allowances and subsidies.

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