Coir product exports dip 15% in October

Export of coir products has declined by 15.14 per cent in October as against the same period last year, indicating a slowdown in demand overseas. This is against the trend recorded till September 2008.

The country had shipped 13,284 tonnes, valued at Rs 45.54 crore, during the month as against 14,715 tonnes valued at Rs 53.04 crore in October 2007. The value realisation of the exports has dropped by 9.72 per cent despite the dollar’s appreciation. According to Coir Board estimates, the European Union accounts for 41 per cent and the US 40 per cent of India’s total coir exports.

Major export houses said they have got very few orders and cancellations were on the rise. “There will be a tough time ahead for coir exporters and the government should support the sector in order to tide over the crisis,” said an exporter in Kochi.

With the industry employing more than a million workers mostly in Kerala and Tamil Nadu, a good number may lose their jobs thanks to the economic slowdown. Kerala Finance Minister Thomas Issac said that at least 1.5 lakh workers would lose their jobs in the state mostly in the coir, cashew and marine sectors.

However, exports in the April-October 2008 period has increased by 4.58 per cent in volume and 6.44 per cent in value. This was less compared to the April-October 2007 period, where the growth of exports was 20.47 per cent over the same period the previous financial year.

Total exports in April-October 2008 were 111,446 tonnes valued at Rs 363 crore as against 106,567 tonnes valued at Rs 341.06 crore in April-October period of 2007-08. In the same period a year ago, about 118,158 tonnes, valued at Rs 387.11 crore, were shipped registering a growth of 2.5 per cent in value.