Coconut Industry In India

8/12/2019 Coconut Industry In India

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In our country coconut is now grown under varying soil and climatic

conditions in 17 states and 3 union territories. It is versatile in its

adaptability to a wide range of soil conditions. The all India coconut

estimate clearly indicate that 91 percent of the total area and production of

coconut in the country is concentrated in the Southern States viz. Kerala,

Tamilnadu, Karnataka and Andhra Pradesh. Among the four Southern

States Kerala accounts for largest area and production followed by

Tamilnadu, Andhra Pradesh and Karnataka.

Coconut is one of the most important plantation crops of Orissa.

The area under and production of coconut in the state is 47.3 thousand ha

and 246.8 million nuts respectively. Orissa ranks first amongst the coconut

producing states in India after the traditional South Indian states. About 85

percent of the area under and production of coconut is located in the four

undivided coastal districts of Puri, Cuttack, Balasore and Ganjam. Puri

ranks the highest in production of coconut nuts in the state.

SIGNIFICANCE

The significance of coconut palm can be gauged from the fact that it

is grown in more than 80 countries of the world and in 17 states and 3

union territories in India. The fruit of the coconut is considered auspicious

and finds place in most of the religious ceremonies in all the states.

Coconut occupies a unique position in the Socio-economic structure

of the country and it is intimately related to the prosperity of a vast

multitude of small and marginal growers especially along the coastal states.



About 10 million people in the country are engaged in coconut cultivation,

processing, marketing and trade related activities.

SCOPE

The study highlights the profile of co conut industries and it’s

economic significance. Additionally it discusses the coconut production

and by-products and its impact on Indian economy.

OBJECTIVES

This project report is prepared with the following objectives:

To assess the economics importance of coconut industry

To study the production and utilization aspect of coconut world over.

To study the comparison of the coconut production between the

states in India during 2002-03.

METHODOLOGY

The study is conducted in two stages. In the first stage, the available

secondary data are analyzed. In the second stage the data have been

processed, analyzed, compared and interpreted. The findings are presented

in tables.

The secondary data relate to coconut production in India. They are

collected from reports, journals and number of articles. he analysis includes

coding, editing and analyzing the data with the help of a statistical tool i.e.

percentage. Ratio analysis has been conducted to study the coconut

production in India.



LIMITATION

The study might have certain limitations. There are some data gaps

as secondary data was not available for some period. Because of time and

cost constraints the scope of the study has been made specification.

However the present study can be of immense help for further research.

CHAPTERISATION

This project report is divided into five chapters.

Chapter 1 discusses briefly the problems, studied, their scope,

objectives and research methodology adopted.

Chapter 2 deals with the coconut Industry, its economic importance,

the development and working of the coconut Development Board.

Chapter 3 presents different types of industries based on different

parts of coconut tree. And the steps taken to make coconut

cultivation profitable.

Chapter 4 analysis the world, National and state level production at

coconut, and a comparison between the productions of states is made

to give a proper idea of the problem.

Chapter 5 is the concluding chapter, which summarizes briefly the

findings.



COCONUT INDUSTRY

The coconut considered being the most important and useful of the

tropical palms has been in cultivation in India from time immemorial. It

perhaps yields more products of use to mankind than any other tree. Each

and every part of the coconut is used in India in one way or other and the

classics of India have rightly eulogized it as Kalpavriksha (the all giving

tree) owing to the multifarious used of various palm parts and products in

our daily life. Even though the coconut is known both as food and oil seed

crop, it has also assumed significance as a beverage and fiber crop in our

country and the days are not far away when the coconut will be the main

source of timber for various constructions in coconut growing areas in our

country.

Antiquity of coconut in India is well established from its mention in

Kishkindha Kanda and Aranya Kanda in Valmiki Ramayana (3rd century

BC). There are three different views regarding the origin of coconut.

According to the first view, the palm evolved from a stock which gave rise

to the American members of the genus cocoas and originated in the

northern end of the Andes in Tropical America from where it was taken

into the Pacific. The second view is that from a place of origin on the

coasts of Central America, the equatorial currents of the sea took it to the

Pacific Island. According to the third view, which is more generally

accepted it is assumed to have originated in the South Asia or in the Pacific

from where it reaches America. References have been made on coconut in



Reghuvamsa of Kalidasa and Sangam literature, which testify the antiquity

of coconut in India. But its origin in India remains disputed. Marco polo,

the famous European traveler who visited India 13th century called coconut

the ‘Indian nut’ and the logic for such a reference needs investigations by

historians.

ECONOMIC IMPORTANCE

The importance of the coconut palm can be gauged from the fact that

it is grown in more than 80 countries of the world and in 17 states and three

union territories in India. The fruit of the coconut is considered auspicious

and finds place in most of the religious ceremonies in all the states

irrespective of whether the palm is grown locally or not. This it self is

testimony to the importance of the coconut palm in India culture. Though

coconut cultivation was originally confined to the coastal and deltaic tracts,

it is now grown even in the interior area in many states. Coconut occupies a

unique position in the socio-economic structure of the country and it is

intimately related to the prosperity of a vast multitude of small and

marginal growers especially along the coastal states. With an area of 1.795

million ha and a production of 13.968 million nuts, coconut contributes

over Rs.7000 crores annually to the GDP of the country. Copra the dried

Kernel of coconut is the richest source of edible oil and the contribution of

the crop to the total edible oil pool in India is around 6 percent. The raw

material for coir industry is derived from coconut husk and the country



earns foreign exchange to the tune of Rs.239 crores by way of export of

coir and products.

About million people in the country are engaged in coconut

cultivation, processing, marketing and trade related activities. In the coastal

tracts most of the people depend on coconut for their sustenance and to

many people depend on the sole income, since the coconut garden

accommodates most of the fruits and vegetable crops besides animal

husbandry, the coconut based farming system satisfies the day to day need

of a family in a state like Kerala, besides providing a large quantify of

biomass to satisfy the fuel requirement of a small family. Coconut palm

therefore assumes importance as a renewable energy source.

As a result of diversification in the utilization of coconut through the

development of new products such as coconut cream, spray dried coconut

milk powder, preserved and packed tender coconut water based vinegar,

coconut has become important as an agro-based raw material for many

industries. Besides, coconut shell, a by-product of coconut processing

industry, is a raw material of commercial importance, which is used for the

manufacture of shell charcoal, activated carbon, ice cream cups, shell

powder and handicraft. Coconut shell is also widely used as fuel in rural

households and for copra kilns, it is also as fuel in limekilns, brick kilns

bakeries and of late used as a boiler fuel. Charcoal made from coconut shell

is used in smothery and laundry. Well-powdered coconut shell charcoal was

used as a dentifrice in olden times.



Toddy trapping is one of the important industries connected with

coconut farm in Kerala and Goa. Fermented toddy is an intoxicant drink,

which is popular in the West coast of India. Coco-fenny, a commercial

barrack is manufactured from coconut toddy in many co conuts growing

areas in the country especially in Lakshadweep. Coconut wood is used for

various purposes in the construction of houses and for mankind furniture. It

is also used to manufacture various handicrafts of aesthetic value.

FORMATION OF THE COCONUT DEVELOPMENT

BOARD

An autonomous body with statutory powers was however felt

imperative and the farmers from the major growing states especially from

Kerala consistently represented before the Government of India for setting

of such an organisation. The systematic functioning of other Commodity

Boards and the popularity gained by them induced the coconut farmers to

clamor for the formation of a Coconut Board with statutory powers. As a

result of this demand, the Government of India under an act of the

Parliament (CDB Act 1979) constituted the Coconut Development Board

ceased to exist there after. The staff and infrastructure of the Directorate

were transferred to the Coconut Development Board.

The Coconut Development Board started implementation of the

development programs from 1982-1983, which was the third year of the

Sixth Five Year plan period. The major source of funds for the Coconut

Development Board was the cases on milling copra, which was



subsequently abolished in 1986. Since then the Board has been depending

on the budgetary grant received from the Government of India for all its

activities.



CONTRIBUTION OF THE COCONUT DEVELOPMENT

BOARD THE COCONUT INDUSTRY

The development programmes of coconut received more attention

after the formation of the Board. The major functions of the Board interalia

include adopting measures for the development of coconut industry,

recommending measures for improving marketing of coconut and its

products, regulating import and export of coconut and its products,

adopting measures for assisting coconut growers to get incentive prices for

coconut and its products, providing financial, processing and marketing of

coconut fixing grade specifications and standards of coconut and its

products etc.

With the formation of the Board the development programmes for

coconut were given new dimensions, by identifying thrust areas where

efforts were to be concentrated. The decade prior to the formation of the

Coconut Development Board witnessed a declining trend in production and

productivity, with the area under the crop remaining almost stagnant. Fast

spread of the root-with disease in the major coconut growing state of

Kerala further aggravated the coconut situation. The first and the foremost

objective identified by the Board were therefore to create a sizeable

production potential for stepping for product diversification and by product

utilization and streamlining the marketing system of coconut and its

products.



Expansion of area under suitable regions of the states was given top

priority as a major development programme of the Board. Apart from

traditional belts, the crop was introduced successfully in the non-traditional

belts of the country, like Bastar in Madhya Pradesh, Purnea and Saharsa in

Bihar, and in the states of Tripura, Arunachal Pradesh and Nagaland. With

the implementation of the subsidy programme for the past 16-year, an

additional area of more than 82500 ha has been brought under coconut.

This programme received encouraging response from the earning

community especially from the non-traditional belt. The programme

implemented at various stages contributed much to the production grant as

well. The present highest production of 13968 million nuts was attend from

a base level production of 5807 million nuts recorded at the time of

formation of the coconut development board.

The productivity improvement programmes implemented by the

board could make favorable impact in stepping of the productivity too at

the all India level, by reversing the negative trend productivi ty. As on today

India stands in the forefront in coconut productivity in the world with a

record of 7777 nuts per ha. This was as low as 4980 nuts during 1983.

Death of quality planting material was the measure lacuna in the

production and productivity improvement programme. The lacuna was

solved great extent by the production and distribution of good quality

seeding through the establishment of demonstration seed production farm

and coconut nurseries in different region in the country. The board also



assisted the non-traditional trades in the procurement of quality seed nuts

for their nursery programmes.

TECHNOLOGY DEVELOPMENT ON POST HARVEST

PROCESSING

When the coconut development board came into existence most

harvest processing was in infancy and was confined to traditional copra

processing and oil milling in the country. Development of technology for

product utilization within the country itself was therefore identified as the

measure thrust area and the board has been successful to a great extent.

Coconut development board could develop technology with the help of

institutions like CFTRI, BFRL and though its own laboratory for products

like coconut cream, coconut milk powder, vinegar from mature coconut

water and noted-coco.

To promote marketing of coconut and its products sale outlets were

opened in different traditional and non-traditional areas in order to create

awareness of coconut products among the people.

COCONUT PRODUCTS AND INDUSTRIES

Coconut farm forms an important component in the socio-economic

and cultural life of every Indian household. Coconut palm provide a large

sustainable resource for food fuel, feed, energy, timber, fiber and numerous

other products in addition to the wholesome and refreshing drink of the

tender nut. The dried kernel of the mature nut yield oil which is used for

edible and industrial purposes nearly 60% of the coconut production in the



country is devoted for domestic edible use, drinking purposes tender nut

and religious use. This itself is an ample testimony for its importance as a

food crop. Coconut is also consumed for culinary purposes in India and

Srilanka and as processed food in several Asia-pacific countries. The husk

of the mature nut provides fiber use for making coir and coir products. The

shell is an important source of fuel in rural household. The trunk of the

coconut palm provides timber for the furniture and handicraft items. The

least provides material for the construction thatched sheds and for use as

fuel among the measure coconut growing country India rank first in the

production of coconuts, with a total production of 13968 million nuts

covering area of 1.795 million hectares coconut sector contributes to the

economic development of the country in various ways. It provides valuable

foreign exchange to the turn of Rs. 250 crores through the export of coir

and coir products, a wide tax base for collection of government revenue and

abundant source of raw material for down stream industrial development.

Coconut cultivation and industry in India provides an income to more that

10 million families for their livelihood besides contributing towards the

edible oil output in the country. Although India has made substantial

contribution towards coconut production, the pace of development in the

post harvest processing sector has been rather slow compare to other

coconut country such as Philippines, Indonesia, Sri Lanka, Thailand and

Malaysia. The coconut processing in India is currently confined to copra

making, oil milling and manufacturing of coir and coir products. The



coconut industry survives mainly on coconut oil which experiences wide

and erratic price fluctuation from time to time. Manufacture of desiccated

coconut and coconut shell based handicrafts are the only other industries

outside the traditional lines, which could show their presence felt to some

extent. While a few units mainly in Tamilnadu and Karnataka are engaged

in the manufacture of shell power, shell charcoal and shell based activated

carbon, these products are yet to get a strong footing in the by-product

utilization have been very much limited. Lack of modern technologies

within the country for large-scale manufacture of value added coconut

products are one of major handicaps for the retarded growth of coconut

industry. Whatever little efforts have been made in the existing product

development area, it was due to the initiatives of the Technology

Development Center (TDC) under the Coconut Development Board. This

center conducts techno-economic feasibility studies and support

technological research to develop various technologies for the manufacture

of value added products from coconut. The board has been able to develop

various technologies for the manufacture of value added products from

coconut. The board has been able to develop technologies for the

presentation and packaging of coconut cream, preservation of tender

coconut water in manufacture of spray dried coconut mild powder and

coconut vinegar production from natured coconut water. The board has also

set up a pilot Testing cum Demonstration center under the T.D.C. in order



to carry out pilot testing of the technologies developed in the coconut-

processing sector so as to ascertain their commercial feasibility.

COPRA MAKING

Copra making skill continues to be a traditional labour oriented

small-scale industry. The industry is mainly confined to the Southern

region comprising the states of Kerala and Tamilnadu and the Union

territories of Lakshadweep and Andaman and Nicobar Islands. Copra is

available in two different forms - edible and milling copra. Edible copra is

of high quality and is made both in the form of cups and balls. Milling

copra is mostly in the form of cups and to a very small extent in the form of

chips. The milling copra production in India varies annually between 600-

650 thousand tonnes. There are about 12,000 copra-making units spread

over the southern states, of which about two third are concentrated in the

state of Kerala alone. Most of these units are resorting to the traditional sun

drying method for making copra. Only a few of them are adopting method

like indirect hot air drying and waste heat recovery system. The edible

copra productions is mainly concentrated in Karnataka, Kerala and to a

small extent in Andhra Pradesh production of edible copra is mainly in the

unorganized sector and is estimated to be about 1.35 lakh tonnes annually.

Edible cup copra is produced mainly in Lakshadweep and two centers in

Kerala. It is used as dry fruit and also in the preparation of sweets and

bakeries. Edible copra in Karnataka is mainly produced in the form of balls

and markets through the regulated markets. It is mainly traded in distant



markets such as Bombay, Pune, Delhi, Ahmedabad, Himachal Pradesh,

Assam and Rajasthan. Ball copra in Andhra Pradesh is traded in partially

dehusked form and such as, keeping quality at this copra is more than one

year. In Kerala edible ball copra production and assembling markets are in

Vadakara and Korhikode. Alappuzha in Kerala is the main center for edible

cup copra, where the best quality white colored copra is sorted from the

bulk milking copra and marketed as edible cop copra. Edible copra always

commands a premium price over milling copra, the premium being 35 to 40

percent in the case of ball copra and 15 to 25 percent in the case of cup

copra.

COCONUT OIL EXTRACTION

Coconut oil extraction has remained a traditional industry in the

processing sector. The price of coconut continues to be dependent on the

price of the coconut oil. Coconut oil is produced in India mainly by three

methods, namely rotaries, the oil expellers and ‘chekkus’, the expellers

dominating the scene. There are about 4,50,000 tonnes of oil annually of

which 40 percent goes for edible purpose and the remaining for industrial

applications like soap making and paints etc. Most of the large scale

industries market their products in attractive pouches and bottles, which

have ready acceptance amongst the urban consumers. The small-scale units

mainly sell their products in loose form. Oil cake, the by-products obtained

during crushing of copra forms a major ingredient for cattle and poultry

feeds. Also a sizable quantity is diverted to solvent extraction units for oil



extraction for industrial purpose. Oil milling and allied industries provide

regular employment to more than 1000 persons. Coconut oil in small packs

are becoming more and more popular among the consumers, especially in

the urban areas. Taking in to account the increasing demand for small

packs, there is a stiff competition in the market. Oil marketed in small

packs is of superior quality owing to its low content of free fatty acids and

being micro-filtered. Also the airtight sealing ensures elimination of

contamination and adulterant to the minimum possible extent. Today there

is about 50 brands available in the market. These small packs are priced at

50 percent more than bulk packs.

COIR

The coir industry in India is an important cottage industry of great

economic significance especially for the rural sector providing employment

to half of million people. About two decades ago the activities of the coir

industry was confined to the white coir fibre sector. However, the brown

coir fibre has entered in to the market in a big way. The annual production

of coir fibre in the country is estimated at 2,50,300 tonnes out of which

1,22,000 tonnes in white fibre and the rest 1,23,300 tonnes in brown fibre.



DESICCATED COCONUT INDUSTRY

DC Industry has been in existence in India for the past forty years. In

spite of the availability materials in plenty the industry could not register

appreciable growth. There are about 60 units in the country manufacturing

DC, which are mainly concentrated in Karnataka, Tamilnadu and Andhra

Pradesh. It is a labour intensive Industry and the processing technology

followed in most of these units are outdated and needs to be retained. The

total production of the DC in the country is esteemed to be about 2000

tonnes annually. Bulk of the DC produced is consumed by biscuit

manufacturing and consumption of DC for household purpose is quite in-

significance. This is mainly attributed to the low quality of DC and lack of

consumer awareness campaigns.

COCONUT SHELL BASES INDUSTRY

Coconut shell, a natural product made up of harden cellulose with

high lightning content renders it to be very durable, enabling it to resist

quick degradation and easy decomposition even under wet conditions.

Bulks of coconut shell in India are used as fuel in households, bakeries,

brickyards, lime kilns, iron foundries and other small-scale industries. In

recent times, coconut shell has captured the attention of the elite in the

Western and European countries who are slowly doing away with the

context, coconut shell which is the only material container with varying

sizes, toughness and durability has assumed unopposed importance world



wide. With the efforts of the Coconut Development Board four copra

processing units is Kerala have been able to export about 12 lakhs coconut

shells in the form of cups forks, spoons and hookahs to Spain, Italy, France

and other European countries. More export enquiries are being received

from other countries like USA, Netherlands and Austria. There is also an

increasing demand for coconut shell from Western countries. The shell is

certain to in new used as a packing media throughout the world, if well

planned market promotional initiatives are undertaken and proper

awareness of the feature and the characteristics of this valuable by-products

is created through media advertising. This would not only help country but

also generate employment opportunities for the rural unemployed besides

bringing in increased returns to the coconut growers. Coconuts shell being

very hard and can be carved into all kinds of intricate objects. It would be

inlaid with silver or other metals and generally used with great ornamental

effect. Articles of very attractive appearance are being produced by expert

craftsmen in various parts of the country. Coconut shell is today being

commercially exploited for the manufacture of coconut shell powder,

coconut shell charcoal and an activated carbon.

Coconut shell powder is extensively used as compound filler in the

plastic industry, synthetic resin glues and as filter cum extender for

phenolic molding powders. This unique product is also being used for

specialised surface finishes, mastic adhesives mild abrasive products and

polyester type laminates. The demand is for the grade ra nging from 12



meshes and above. Coconut shell flour is preferred to many other similar

materials like wood bark powder, peanut shell powder etc. in use as

extender because of its uniformity in quality and chemical composition.

Presently there are about 25 shell powder producing units located in

Tamilnadu, Karnataka & Northern Kerala manufacturing about 1500 tones

of the product on an annual basis. Coconut shell charcoal finds wide use as

fuel and as a base material for the manufacture of activated carbon.

Presently crude methods are being employed for the manufacture of

activated carbon. Presently crude methods are being employed for the

manufacture of shell charcoal resulting in inferior quality and poor

recovery of the product. However, there are few units adopting modem

methods like the drum kiln methods and waste heat recovery technology for

the manufacture of good quality shell charcoal production, which not only

reduces the smoke emission but also maximizes the utilization of shell feed

stock for charcoal production. However, the WHU technology is yet to be

commercially exploited by copra making and DC units as most of these

units are of small-scale units.

Coconut shell base activated carbon is the most widely sought after

product for pollution control and removal of colour/odour of compounds

due its small-structure which renders it more effective for these specific

applications. Activated carbon is also extensively used for purifying,

refining & bleaching of vegetable oils and chemical solutions and

purification of drinking water. Presently there are a few shell bases



activated carbon units adopting indigenous technology for the manufacture

of the product on a small scale. However, these technologies need to be

refined for specific commercial application for improving better absorptive

properties. However, there are about 4 units set up in the country with

foreign collaboration producing excellent quality of activated carbon. There

is a need to develop cost-effective technologies for small-scale manufacture

of activated carbon due to problems in bulk collection of raw material and

huge transportation costs.

TENDER AND MATURED COCONUT WATER BASES

INDUSTRY

Tender coconut water is a delicious nutritious and refreshing drink,

consumed as a beverage in all the metropolitan cities and smaller towns in

the country. Being rich in materials and sterile in its natural form, it is also

used in hospital for feeding infants. Today with the efforts of the Coconut

Development Board and Defense Food Research Laboratory, Mysore.

Technology for the preservation and packing of tender coconut water in

cans/pouches have been commercialized. Two units in Karnataka are in the

stage of commissioning their unit.

Microbiological, chemical and organoleptic analysis has shown that

the product could be preserved up to a period of 6 months. The matured

coconut water on the other hand could not be commercially launched in the

market in spite of the research work conducted by the RRL, Trivandrum.

Due to problems like collection, short time between collection and



processing, retention of the delicate flavor and low keeping quality.

However, the matured coconut water has been commercially exploited for

production of coconut vinegar based on the technology-developed by the

Board in collaboration with CFTRI, Mysore. Presently there are about five

units in Kerala and two units in Tamilnadu producing coconut vinegar on a

small scale.

Coconut today is a sugar containing juice obtained by tapping the

unopened rapidity of the coconut palm. Apart from its traditional use as a

alcoholic drink it is used for the manufacture of unrefined sugar and palm

syrup. In India, the manufacture of unrefined sugar is concentrated in

Tamilnadu and the product is commonly known as jiggery. The production

of palm syrup is located in the islands. The palm jiggery produced from

coconut today, however faces competition in the local markets in India

from a similar product derived from the sap of Palmyra palm.

COCONUT MILK AND MILK BASES PRODUCTS

Today technology for the preservation and packing of canned

coconut milk, coconut and spray dried coconut mild powder is available in

the country. M/s Fresh Coconut Products (p) Ltd. was the first unit to

venture in to the production of coconut milk with the technology developed

by the Coconut Board and RRL (Regional Research Laboratory -

Trivandrum). The unit also produces coconut protein and skin milk bases

beverage. M/s Shree Ram Coconut Products (p) Ltd. is another unit which

had established a spray dried coconut mild powder unit is Karnataka. M/s



Dinesh Food has also recently ventured into the coconut milk production

scenario in Cannonore, which packs coconut milk in pouch bases on the

home scale process developed by RRLM Trivandrum.



CHAPTER - 4

MAKING COCONUT CULTIVATION PROFITABLE

The cost of production of coconut has been increasing considerably

due to steep rise in labour, fertilizers and transportation. The research has

indicated that cultivation of coconut by adding both organic and inorganic

fertilizers could boost up annual income to the tune of Rs.7475 per ha

compared to inorganic fertilizers alone. Management practices such as

organic maturing, raising or cover crops in coconut basins and

incorporation in situ, growing high yielding varieties/hybrids, rationalizing

fertilizer application by practices such as skipping. P when soil P is high,

use of rock phosphate in acid soils and irrigation are some of approaches

suggested for reducing the unit cost of production. Increased return from

coconut holdings by adopting inter cropping, mixing cropping and mixed

farming can also make coconut gardens with adult bearing palms under

intensive cropping system can sustain a medium sized finally on average

standards while under high intensity cropping system with irrigation

facilities half a ha coconut requires about 150 man days per year while

under the different inter/mixed cropping it may go upto 350 mandays. In

the mixed farming system the labour utilization was observed to 900

mandays per ha a year. In mixed farming system, cultivation of fodder

grasses and fodder legumes enriches the soil by adding more organic matter

and nitrogen. It also checks soil erosion. Vermicular utilizing the farm

waste has also proved effective for increased productivity with reduced



production cost. Integration of all the technologies would definitely bring

about improved profitability.

Rainfall has the maximum influence on the yield of coconut as well

as copra out turn Good yield, big size and high content of copra of nuts

harvested during February, May are due to their development stages falling

in the months of June- September when the palm receives plentiful rainfall.

The ill effects of summer on coconut and copra yield can be mitigated by

irrigation the crop during the dry months. Copra and oil content are at

maximum in 12 months old nut. By harvesting 11 months old nuts, 10

months old nut and 9 month old nut copra is lost to the extent of 6 percent,

16 percent and 33 percent respectively. The reduction in percent for oil is 5

and 33 percent for 11 and 9 month old respectively.

WORLD SCENARIO OF COCONUT PRODUCTION AND

UTILIZATION

Although coconut is grown more then 80 countries in the world, the

main four countries, i.e. Philippines, India, Indonesia and Srilanka,

accounts for 78 percent of the area and production. Recently India has

become the largest producer of coconut with the production of 1.79 million

ha, which account for 15.51 percent share in production while its share in

area is only 15.51 percent. In area, Indonesia is the leading country with

3.75 million ha under coconut while its share in production is 25.36 percent

with estimated production of 13595 million nuts. Philippines ranks second

position in are under 11935 million nuts respectively. Productivity is



highest in India having 7779 nuts per ha as against 3630 nuts per ha in

Indonesia and 3859 nuts per ha in Philippines productivity in copra

equivalent is also highest in India although average copra weight is highest

in Thailand i.e. 300g per nut.

Globally, nearly 50 percent of total coconut production is converted

to copra and this percentage varies from country to country based upon

consumption pattern in each country. In Philippines about 93 percent of

coconut is converted to copra while in Indonesia it is 50 percent, and in

India only about 30 percent of the total production is converted to copra.

Coconut oil account for 5 percent of total vegetable oils, 40 percent of

which come for Philippines and 22 percent from Indonesia while India’s

Sahara is only 10 percent. Philippines also accounts for more than 50

percent of desiccated coconut production followed by Srilanka with its

contribution to the tune of one third of total desiccated coconut production.

In the normal years of production, 50 percent of total copra

production in the world enter the exert market, either in form of copra or

coconut oil. However, there has been downward trend in the trade of copra

or oil and priorities have been shifted towards export of diversified

products. Major procedure of coconut oil for export are Philippines (63

percent) followed by Indonesia. Malaysia and Srilanka, in recent years,

export of oil cake (Copra meal) has shown a rising trend. Germany and

consumer of oil cake in the world. India is exporting negligible quantity of



deoiled cake and coconut cake based cattle feed. India has also imported

coconut oil cake for its solvent extraction units in recent years.

Normally 62.5 percent of coconut oil price added with 35 percent of

the coconut oil cake price is the market price of milling copra. Coconut oil

had premium position is the market price of milling copra. Coconut oil has

premium position but it is loosing its competitiveness owing to high

competition from other vegetable oils, coconut oil for consumption as

edible oil has major threat from imported palm oil due to its lower prices.

However, coconut oil is the most preferred oil in toiletry sector in spite of

its high price.

NATIONAL PRODUCTION AND UTILIZATION

In India coconut is now grown under varying soil and climatic

conditions in 17 states and 3 union territories. It is versatile in its

adaptability to a wide range of soil conditions. From the West Coast of

India it has now spread to interior areas in Tamilnadu and even to Bastar in

Madhya Pradesh, Kosi region in Bihar and North Eastern states viz.

Tripura, Manipur and Nagaland. The coconut production in India, A decade

back was 5807.9 million nuts from an area of 1.16 million ha. The all India

coconut estimate clearly indicates that 91 percent of the total area and

production of coconut in the country is concentrated in the four southern

states viz. Kerala, Tamilnadu, Karnataka and Andhra Pradesh. Among the

four southern states Kerala accounts for largest area and production sharing

54.7 percent of total production followed by Tamilnadu having 16.6 percent



area and 31.1 percent production, where as Orissa share only 42.9 percent

of he total production area and 2.4 percent of the total production which is

a negligible one. In the case of productivity among the four southern states

and Orissa, Tamilnadu tops with 14553 per nuts per ha followed by Andhra

Pradesh with 13682 nuts per ha. The productivity in Kerala is only 6013 nut

per ha while Karnataka and Orissa have the productivity of 5220 nuts per

ha and 234.5 per ha respectively. High productivity in Tamilnadu is

attributed to the adoption of improved cultivators and production

technology.

When we look back we fine that there has been unpresented increases

in the area, production and productivity, in the last 45 years. Area under

coconut has increased from 0.626 million ha in 1950-51 to 0.647 million ha

in 1955-56 and subsequent the area has increased to 0.717, 0.883, 1.046,

1.069, 1.083, 1.225, 1.513, 1.795 million ha in 1960-61, 1965-66, 1970-

71,1980-81, 1985-86, 1990-91, 1995-96.

The production of million nuts increased from 3281 million nuts in

1950-51 to 4224, 4693,5053,6075, 5829, 5942, 6770, 9770 to 13962 million

nuts during 1993-94, 1994-95, 1995-96, 1996-97, 1997-98, 1998-99 1999-

00 2001-02, accounting for 186.6 percent increase in area and 325.6 percent

increase in production. Growth rate in production has been 3.27 percent

from the base year 1950-51 where as during the growth rate achieved in the

production was 7.56 percent.



High rate of growth in the last decade could be attributed to the

intensive developmental programmes implemented by the Board and state

departments. The increase in productivity in the country during the last

one-decade was about 54 percent. In 1983-84 the productivity was only

4983 nuts per ha which has subsequently increased to 7779 nuts in 1995 -96,

while the productivity increased in Kerala from 3841 nuts in 1983-84 to

6013 per has in 1995-96, in Tamilnadu the increase was from 9979 nuts per

ha to 14553 nuts per has during the same period. The productivity increase

in Andhra Pradesh was most significant. It increased from 4138 nuts per ha

in 1995-96. In Karnataka the increase in productivity was, however,

marginal from 5204 to 5220 nuts. The other states which recorded

substantial increase in the productivity are Maharashtra, Pondichery and

West Bengal.

TREND IN AREA, PRODUCTION & PRODUCTIVITY OF

COCONUT IN INDIA Year Area % Increase Production % Increase Productivity

(000 ha.) Decrease (Million Nuts) Decrease (Nuts per ha)

1991-92 1225.6 6770.3 5524

1992-93 1234.2 0.46 6376.8 5.81 5179

1993-94 1346 9.32 7269.9 14.01 54011994-95 1425.5 5.91 8541.4 17.49 5992

1995-96 1472.2 3.28 9358.5 9.57 6357

1996-97 1513.9 2.83 9700.2 3.65 6407

1997-98 1528.9 0.99 10079.6 3.91 6593

1998-99 1537.7 0.58 112409 11.52 7310

1999-00 1635.1 6.33 11974.7 6.53 7324

2000-2002 1713.8 4.81 13299.6 11.06 7760

2002-2003 1795.5 4.77 13967.6 5.02 7779

% Increase



Over the

Period 569.9 7197.6 2255.3

Growth Rate 3.89 7.51 3.48

Coconut is utilized both as tender nut and mature nut. Tender nut is

consumed as a thirst quenching mineral drink. In West Bengal more than 80

percent of the total coconut production is consumed as tender nuts while in

Karnataka, Andhra Pradesh and Tamilnadu it accounts for 25-40 percent of

total production. In Kerala since copra making, oil extraction and coir

making are wide spread, the consumption of tender coconut has increased

significantly in the state. However, its consumption has to be increased

further to at least 15 percent level on all India season could be avoided. In

Kerala, the main coconut growing state, 46 percent of the production is

obtained during the March-June. Under Kerala climate the demand for soft

drinks generally increases from November and slowly picks up reaching

highest level during April-May. If substantial quantity of tender nuts is

harvested during February-August will be naturally low which can balance

the demand and supply of coconut. The mineral water boom in the country

is a clear indication of the scope of tender nut as a natural soft drink in the

cities and towns. There is scope for increasing the use of tender coconut

through systematic campaign of the nutrient and medical values.



STATE PRODUCTION OF COCONUT

Coconut is one of the most important plantation crops in Orissa. The

area under production of coconut in the state is 47.3 thousand ha and 246.8

million nuts respectively (1995-96). Orissa ranks first amongst the coconut

producing states in India after the four traditional south Indian states.

About 85 percent of the area under production coconut is located four

undivided coastal districts of Puri, Cuttack, Balasore and Ganjam. Different

authorities have studied the feasibility of further extension of coconut area

in the state and reported about the potential area ranging between 1,00,000

to 1,50,000 ha. Based on the field level sample studies undertaken in 1995-

96 the revised production estimate of coconut would be around 4133

million nuts. The district wise revised area and production of coconut is

presented in Trade 5. In 1950-51, the area under production of coconut in

Orissa was 4.5 thousand ha and 34.4 million nuts respectively,

quinequennial changes in the area under production of coconut in Orissa.

DISTRICTWISE AREA UNDER AND PRODUCTION OF COCONUT

IN ORISSA

Sl. No. Name of the District Area (ha) Production

1. Balesore 3918 40.747

2. Bhadrak 2519 25.19

3. Jaipur 2129 14.903

4. Kendrapara 2274 20.446

5. Jagatsinghpur 2100 21

6. Cuttack 3079 30.79



7. Nayagarh 4278 25.668

8. Khurda 5974 47.792

9. Puri 6536 78.432

10. Ganjam 6166 55.494

11. Gajapati 1764 14.112

12. Koraput 228 1.368

13. Malkangiri 196 0.98

14. Nawarangpur 137 0.68

15. Rayagada 283 1.415

16. Kalahandi 156 0.936

17. Nuapara 67. 0.335

18. Bolangir 290 2.03

19. Sonepur 161 1.43

20. Phulbani 286 0.445

21. Boudha 89 0.445

22. Sambalpur 190 0.95

23. Jharsuguda 106 0.53

24. Deogarh 252 1.008

25. Bargah 252 0.406

26. Sundargarh 656 3.28

27. Keonjhar 642 3.852

28. Mayurbhanja 1031 8.454

29. Dhenkanal 10321 8.454

30. Angul 1014 6.054

ORISSA 47293 413.374

The all Orissa coconut estimate clearly indicates that most of the

coconut production in based on district like Balasore, Khurda, Puri and



Ganjam. Among the four major coconut producing district in the state, Puri

ranks the highest in production area of 6436 ha followed by Ganjam,

Khurda and Balasore with 6166 ha, 5974 ha and 3918 ha respectively. The

production nuts is also higher in Puri having a maximum production of

78.432 million nuts, followed by Ganjam, Khurda and Balasore with a

production of 55,494 and 40.747 million nuts respectively.

QUINQUENNIQL CHANGE IN AREA AND PRODUCTION OF

COCONUT IN ORISSA

Year Area (000 ha) Production (million Nuts)

1993-94 4.5 34.4

1994-95 4.5 32.6

1995-96 5 66.2

1996-97 7.5 43.5

1997-98 10.6 39.3

1998-99 11.6 43.8

1999-00 22.5 98.8

2000-01 27.6 134.9

2001-02 32.6 182

2002-03 47.3 413.3

% increase 951.11% 1101.66%

Over 1991-92

When we look back we find that there has been gradual increase in

the area, and production, in the last 45 years. Area under coconut has

increased from 4,500 ha in 1950-51 to 4,73,000 ha in 1995-96 and the



production during the period has risen, fallen for instance in 1950 -51, the

production was 34.4 mil lion nuts , which have fallen down to 32.6 million

nuts in 1955-56. Again there is a rise to 62.6 million nuts during 1960-61

and finally it has reached 413.3 million nuts during 1995-96.

WORLD: AREA PRODUCTION AND PRODUCTIVITY OF COCONUT IN

DIFFERENT COCONUT GROWING COUNTRIES Sl Country Area % share Production% share Producti- Productivity

No (in'000) in million vity(nuts copra equip-

Hectares nuts per hactarevalent (Kg/ha)

1. F.S. Micronesia 17 0.15 40 0.07 2353 470

2. Fiji 65 0.56 196.4 0.37 3022 604

3. India 1796 15.51 13968 26.06 7777 1166

4. Indonesia 3745 32.35 13595 25.36 3660 726

5. Malaysia 280 2.42 722 1.35 2579 515

6. Papua new 260 2.25 960 1.79 3692 738guinea

7. Philippines 3093 26.71 11935 22.27 3859 964

8. Solomon Islands 59 0.51 287.6 0.54 4875 975

9. Srilanka 419 3.62 2546 4.75 6076 1093

10. Thailand 377 3.26 1130 2.11 2997 899

11. Vanuatu 96 0.83 346 0.65 3604 720

12. Vietnam 190 1.64 1065 1.99 5605 1130

13. Western samoa 75 0.65 160 0.3 2133 639

14. Palau 14 0.12 70 0.13 5000 1000

15. Others 1092 9.13 6576.55 12.27 6022 980

TOTAL 11578 100 53597.55 100 4629



ALL INDIA FINAL ESTIMATE OF COCONUT (2002)

State/UT Area Percentage Production Percentage Productivity

(000 ha) Share (Million nuts) Share (nuts per ha)

Andhra Pradesh 90 5 1231.4 8.8 13682

Assam 17.8 1 126.2 0.9 7089

Goa 24.7 1.1 119 0.9 4817

Karnataka 269.4 15 1406.5 10.1 5230

Kerala 982.1 54.7 5905.7 42.3 6013

Maharashtra 8.2 0.5 169.1 1.2 20621

Orissa 42.9 2.4 234.5 1.7 5466

Tamil Nadu 298.6 16.6 4346 31.1 14553

Tripura 9.4 0.5 4.7 0 500

West Bengal 23.1 1.3 279.4 2 12095

Andaman & Nicobar 24.4 1.4 85.4 0.6 3500

Lakshadweep 2.8 0.2 26.5 0.2 9464

Pondicherry 2.1 2 33.8 0.2 16095

All India 1795.5 100 13968 100 7779

Source : Directorate of Economics & Statistics, Ministry of Agriculture,

Government of India.



CONCLUSION Coconut grown in 1.7 million hectares in the country has provided

sustainability to a million family and more than 10 million people are

engaged in coconut related activities. Undoubtedly, coconut should receive

ample research and development at exhibited in terms of increased

production and productivity. During this decade product diversification has

also received attention. Adaptability of coconut to wide range of climatic

conditions coupled with range of trained manpower is the strength for

opportunities in coconut industry.

The significance of coconut plantation can be measured from the fact

that it is grown in more than 80 countries in the world secondly; coconut

occupies a unique position in the socio-economic structure of the country.

Thirdly, about 10 million people in the country are engaged in coconut

cultivation, processing, marketing’s and trade related activities.

The study highlights the profile at coconut industries and its

economic significance. Additionally it discusses the coconut production

and by products and its impact on Indian economy.

OBJECTIVES

This project report is prepared with the following objectives

To assess the economic importance of coconut industry.

To study the production and utilization aspect of coconut world over.

To study the comparison of the coconut production between the

states in India during 1950-1995.



The study is presented in two stages. In the first year the available

secondary date are analyzed as second stage the data have been processed

analyzed and compared and interpreted. The findings have been presented

in table.

The secondary data re collected from reports, journals and number of

articles. The analysis in the study includes coding, editing and analyzing

the data with the help of a statistical tool i.e. percentage analyzed. Being a

social Science project the present study have certain limitation given.

Certain data gaps as secondary data are not available for certain periods.

Time and cost constraints the scope of the study has been made specific.

However the present study can be of immense help for further research.

FINDINGS In the report, the researcher points out that the four leading coconut-

producing countries in the world are Philippines, India, Indonesia and

Srilanaka. India is the largest producer of coconut with a production of

13,968 million nuts from an area of 1.79 million ha. Indonesia is the

leading country in area taken four-coconut production. But the weight of an

average Copra is highest in Thailand i.e. 300 gms. Per unit.

The production of coconut is concentrated in the four southern states

viz. Kerala, Tamilnadu, Karnataka and Andhra Pradesh, which accounts for

91 percent of the total areas of coconut production. Kerala accounts for

largest are and production sharing 54.7 percent of total are and 42.3 percent

of the total production. But no. of productivity it is Tamil Nadu that tops



with 14553nuts/ha. High productivity in Tamil Nadu is attributed to the

adoption of improved cultures and production technology.

It has been a tremendous rise in are, production and productivity in

the last 45 years. Area under coconut cultivation has increased form 0.626

million ha in 1950-51 to 1.795 million ha in 1995-96. The production of

million nuts has increased from 3281 million nuts in 1950-51 to 13.967

million nuts in 195-96. High rate of growth in the last decade could be

attributed to the intensive development programmes implemented by the

Board and state departments.

In conclusion it is pertinent to prevent that there is bright future for

coconut in India provide we prepare our self to meet the challenges.

Available infrastructure, trained man power and wide range of climatic

conditions available in the country are indicates of these resources have to

be effectively utilized to harms the best for making coconut industry more

competitive and dynamic.

Coconut Industry In India

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