RESEARCH DIRECTION UGC Sr. No. 45489 ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 THE EXPORT PERFOMANCE OF COIR AND COIR PRODUCTS IN INDIA: A COMPARITIVE AND ANALYTICAL STUDY Anu. A. V & Dr. Deepu Jose Sebastian Research Scholar, Department of Commerce, M.G. University, Kottayam. Associate Professor, Department of Commerce, Deva Matha College, Kurvavilangadu. Abstract In the world market, India is one of the leading producers and exporters of coir yarn, coir mats, curled coir, rope, rubberized products, geo-textile, coir pith etc:. India contributes more than 50 per cent of the global coir market and India exporting 25 to 30 per cent of coir products. The present study analysed composition and direction of export of coir products by using various statistical tools including co-efficient of variation, annual growth rate and compound growth rate. All the years of the reference period export of coir and coir products shown positive trend. The export of coir and coir products in terms of value has shown CV was 13.18 per cent as compared to exports volume (CV was 60.29 per cent) and there was highly significant correlation between volume and value of export of coir and coir products in India; the export of coir fibre and curled coir has increased with the compound growth rate of 48.01 and 26.32 per cent respectively. The compound growth in volume is negative for the export of handloom mattings, rubberised coir, power loom mats etc:.; USA continues to be the largest importer of the Indian coir and coir products followed by UK, Australia, France, Netherland, Italy, Germany and Spain. The percentage share of export in the total production of coir and coir products has shown positive trend during the reference period from 2008- 09 2017-2018. The study suggested the ways and means to improve the coir sector with sustainable growth in India. Key Words: Coir ,Coir products, Export, Geo-textile, Industry INTRODUCTION India is one of the top coir producers and exporters in the international market. The Indian coir products are in great demand in the international market because of their special attributes like fitness, price, craftsmanship, quality, attractiveness and eco friendly, biodegradable renewable natural resources, non-pollutant, etc., and usage of the product is up to the expected level when compared to plastic and other environment pollutant item. India is one of the leading producers and exporters of coir yarn, coir mats, mattings, curled coir, rope, rubberized products, geo-textile, coir pith and rugs to world market. There is no evidence regarding the export of coir in large scale from India during the 18th century. But, in the beginning of the 19th century, there was a global increase in the production and export of natural fibre. India accounts over for 50 per cent of the world trade in coir and India exported 25 to 30 per cent of products to foreign countries. With this background the present research article analysed the export performance of coir industry in India. STATEMENT OF THE PROBLEM India is the largest coir producer in the world accounting for more than 80 per cent of the world production of coir fibre and which are exported to 90 countries across the world. In respect of international trade, India and Sri Lanka are the largest exporting countries of coir fibre and related products. The countries like USA, the European Countries, Japan and China are the major importers. The Indian coir industry faces tough competition in the foreign markets. The main competitors are the other coir products exporting countries and from the 96 RESEARCH DIRECTION UGC Sr. No. 45489 ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 natural and synthetic products like jute, sisal, rubber, PVC etc. exporting countries. The more market acceptability and vast range of commercialisation of new and improved coir products are needed to be attained. Still the coir industry mainly gives emphasis on the traditional products. Most of the coir units are developing and they are unable to produce more and to export. In the marketing of the marketing of the coir products there is only a slow pace of as innovation is happened. It is significant to discuss and analyse the present problems and hurdles of coir products exporters and to introduce more suitable programs that will helps the export promotion and export performance of the coir industry. LITERATURE REVIEW Sheeba,R., and Raj, S Mohan.(2014) Indian coir industry has been fortunate to get boost in the form of the ever increasing awareness about eco-protection. Coir, being a natural fibre which is environment-friendly in the strictest sense of the term, is the fibre of the future today. The eco-friendly quality of coir will help it to hold its ground even as it battles competition from synthetic fibres in today’s developing world. The development of geo textiles, which helps protect the soil and in turn the environment, by acting against soil erosion, is the best advertisement for coir in recent times The pattern of exports and product mix has changed very much drastically. With the level of fibre and yarn exports, India is an exporter of goods with added value. This in turn led to a significant change in total volume and value of export. Ekambaram, K., and Raja, SK. Rameez.(2014) The present paper attempts to analyze the value-wise and volume-wise exports of Coir and Coir products from India. Primary objective of this paper is to highlight the trends in exports of Coir and Coir products from India both in terms of volume and earnings. The trend in the overall sales volume of coir and coir products significantly changed from the sixties when more than 50 percent of the production used to be exported. The export figures have moved up from Rs. 605.17 crore in 2006-07 to Rs 1052.63 crore during 2011-12, but slowed to Rs. 586.94 crore in 2012-13 (upto 30 September 2012). Export trade is dominated by private merchants and manufacturers who control about 90 percent of export trade. USA is the largest importer of coir and coir products from India followed by China and Netherlands. The Central and State Governments, Coir Board and NGOs should take necessary steps to increase the coir and coir products exports from India by improving the quality of coir products with International standards, and also conduct export campaigns. Narendran, Roshni.(2014)The purpose of the study is to delineate the impact of national and industry-specific government interventions and the influence of political parties in power. The study employs an interrupted time series design from the annual national coir export data (1970-2012) published by the Coir Board. The study concludes by highlighting that the significance of economic environment has a greater impact on the trends of coir exports than industry-specific interventions. A seminal finding of this study is that there is a significant difference in the coir exports during the period of governance by the two political fronts in Kerala. OBJECTIVES OF THE STUDY 1. To measure the performance of export of coir products in India. 2. To analyse the export pattern of coir product from India. 3. To observe the direction of export of coir products in India. 97 RESEARCH DIRECTION UGC Sr. No. 45489 ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 METHODOLOGY The study is based on secondary data which are collected from Annual Reports of Coir Board, Kerala, Central Coir Research Institute, Alappuzha, Kerala, different journals and websites relevant to the coir industry. The export performance of the industry has been analysed by using various statistical tools like coefficient of variation, annual growth rate, compound growth rate, etc. The study analysed composition and direction of export of coir products and suggests the ways and means to improve the coir sector with sustainable growth. RECENT TRENDS IN COIR AND COIR PRODUCTS EXPORT Table No. 1 Growth Performance of Export of Coir and Coir Products in India during the Years 2007-08 to 2016-17 Quantity in Metric Tonnes Value (in Rs. Crores) Year 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 MEAN Export Quantity 199925 294508 321016 410853 429501 5307040 62666 752020 957045 1016564 943509.8025 Value 639.97 804.05 807.07 1052.62 111602.75 147603.84 163033.77 190142.52 228164.8 253227.8 121826.58 Quantity 6.59 47.31 9.00 27.99 25.04 9.00 25.04 16.7 27.3 6.2 Annual Growth Rate Value 7.94 25.64 0.38 30.42 32.26 0.38 32.26 10.5 20.0 11.0 20.05 17.078 CV 61.61 122.14 TCGR 4.08 394.68 Foot Note: CV:- Coefficient of Variation; CGR:- Compound Growth Rate; Source: Collected andCompiled from the Information Given in the Annual Reports of Coir Board (2008-09 to 2017-18), Ministry of MSME, Government of India, Kochi. Table No.1 shows that the growth performance of export of coir and coir products in India for the period 2008-09 to 2017-18. All the years during the period registered for analysis showing positive trend. It has risen from 199925 tonnes valued at Rs. 639.97 crore in 2007-08 to 1016564 tonnes valued at Rs. 253227.8 crore in 2017-18. Almost all the scorers a positive trend. The demand for geo-textiles, coir fibre, handloom mats, tufted mats, coir pith, rubberized coir, etc, is on the increase. Though the coir products export increased in terms of value and volume in 2017-18. It shows that the future trend of coir industry is likely go higher rating in exporting. 98 RESEARCH DIRECTION UGC Sr. No. 45489 ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 Total(includin g others) Power Loom Mat Curled Coir Coir Rugs and Carpets Rubberied Coir Coir Fibre Geo-textile Hand loom Mattings Coir Rope Coir Yarn Coir Pith Tufted Mat Year Handloom Mats Table No. 2 Item-wise India’s Export of Coir and Coir Products (2008-09 to 2017-18) Value (in Rs. Lakh) 63997 2008-09 23,637.63 22,598.15 8,462.30 1,925.92 164.60 1,716.58 1,691.06 1,390.89 1,174.77 67.63 223.86 40.06 2009-10 25,428.01 25,351.24 12,347.06 2,461.21 165.92 1,425.28 2,023.77 9,742.03 713.39 45.38 668.33 2.03 2010-11 21,525.08 23,968.41 14,829.02 2,685.34 86.72 1,244.72 1,823.05 1,2148.06 476.89 826.22 1,056.52 0.01 2011-12 1,05,193. 79 2012-13 1702.77 27,745.26 22,150.70 3,140.70 340.99 1,582.83 2,433.12 2,0324.00 549.80 185.55 3,171.03 24.56 30572.91 24727.61 2387.22 282.41 22810.10 2628.74 20707.66 495.01 133.38 2112.46 00 1116072 2013-14 3353.91 41776.39 34173.23 2848.26 390.17 23623.82 3503.78 32878.11 1560.76 105.99 2947.93 00 147603 2014-15 225.25 23946.91 41923.34 1835.28 3270.28 2015-16 22279.96 44316.03 68808.56 2820.82 396.61 2016-17 21316.31 48442.83 90539.11 2948.32 2017-18 18613.96 49591.41 80405 80707 105262 3732 39726 3000.89 146.1 269.58 43.93 85.79 163033.77 1968.78 3531.72 41767.11 971.4 271.92 2510.07 26.48 190142.52 388.5 1535.25 4481.04 53913.63 1295.64 282.5 2419.3 0 228164.8 101486.8 2457.66 401.72 1394.79 399659 897 2316.28 216.49 253227.8 15,342.54 33,830.95 41944.773 2,551.07 634.964 6,057.24 877.24 308.515 1,746.97 19.88 262,735.32 70177.88 1388.64 46,150.13 26,605.03 MEAN 17.58 11.86 13.55 94.33 16.34 19.50 31.44 14.28 71.76 93.49 103.07 16.29 13.18 -2.36 8.18 28.2 2.47 9.33 -2.05 72.72 48.01 -2.88 29.58 26.32 18.38 14.75 CV CGR Foot Note: CV:- Coefficient of Variation; CGR:- Compound Growth Rate Source: Collected and Compiled from the Information Given in the Annual Reports of Coir Board (2008-09 to 2017-18), Ministry of MSME, Government of India, Kochi. The export of powerloom mat and curled cor has been increased from Rs. 40.06 lakhs and 223.86 lakhs in 2008- 09 to Rs.216.49 lakhs and 2316.28 lakhs in 2017-18 with the compound growth rate of 18.38 per cent and 26.32 percent with its mean value is Rs.19.88 and Rs.1746.97 respectively. The compound growth is negative for the segments like rubberised coir (-2.85 per cent), handloom mattings (-2.05 per cent), and handloom mats (2.36 per cent). During the last year of the period coir fibre (48.01 per cent), coir pith (28.2 per cent), coir rope (9.33 per cent ), curled coir (26.32 per cent), coir yarn (2.47 per cent), tufted mats (8.18 per cent) etc: showing a significant growth. 99 RESEARCH DIRECTION UGC Sr. No. 45489 ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 Coir Fibre Geo-textile 55.0 1,832. 4 24 3,754. 73,074 629.78 44 .93 46.17 3,365.70 2.84 2010-11 29,409. 33,349 157,854 00 .02 .93 5,021. 96 211. 1,406. 56 49 3,266. 83,393 383.39 63 .01 1,146. 81 5,527.08 0.00 2011-12 27,656. 33,021 2,06,42 17 .17 4.57 2012-13 1418.0 43752 208399 0 5,562. 87 4202 792. 1,473. 82 78 420 1418 3,680. 91 3577 1,19,6 84.5 14096 3 415.06 322 191.0 0 95 11,855.9 36.14 7 8883 2 2013-14 3425 37289 271495 4247 498 3425 4468 17309 2 965 93 11263 234 537040 2014-15 161 25354 219103 1667 1262 1 1117 41284 4070 135 897 28 3164 25 62666 2015-16 20386 45770 408897 4134 517 1272 4520 25529 3 678 397 9470 280 752020 2016-17 20143 51718 490552 4426 484 1706 6219 37035 7 888 205 10356 166 2017-18 18277 54279 548479 3328 491 4236 5845 37432 0 900 254 8800 37 166.66 118.87 135.43 113.27 227. 77 115.1 2 62.41 110.2 8 126.12 299.1 4 60.29 18.92 -4.61 25.3 4 5.99 -3.02 14.81 19.92 -3.76 17.66 MEAN 199925 294508 321016 410853 429501 957045 101656 4 10530.19 39,521.2 281521.4 4403.22 1614.0 2,025.5 7986.62 166000. 653.88 338.881 7,098.71 31723. 498113.8 5 7 7 92 0 3 7 72 CV -6.44 CGR Total(inclu ding others) 6,108. 35 Power Loom Mat 2009-10 36,297. 36,991 131,916 71 .21 .67 Curled Coir 1,438.38 54.21 Coir Rugs and Carpets 63.83 Rubberied Coir 3,251. 19,443 1,222.5 25 .54 9 Hand Loom Mattings 50.5 2,368. 0 45 Coir Rope Coir Yarn 5,335. 09 Handloom Mats 2008-09 35,553. 33,689 96,996. 43 .27 32 Year Coir Pith Tufted Mat Table – 3, Item-wise India’s Export of Coir and Coir Products (2008-09 to 2017-18) Quantity (in tonnes) 4.89 213.66 154.20 6.04 -15.21 Foot Note: CV:- Coefficient of Variance; CGR:- Compound Growth Rate Source: Compiled from the Information Given in the Annual Reports of Coir Board (2008-09 to 2017-18), Ministry of MSME, Government of India, Kochi. According to table no. 3 last 10 years of time, there was an increase in the export of handloom mattings (5.99 per cent), goe-textile (6.04 per cent), rubberised coir (8.26 per cent), curled coir (14.81 per cent) , coir pith (18.29 per cent),coir rope (25.54 per cent) and curled coir (19.92 per cent). The items shows negative growth, such as handloom mats (-6.44 per cent), coir yarn (-4.61 per cent) and coir fibre (-15.14 per cent), rubberised coir (-3.02 per cent0 and powerloom mat(-3.76 per cent). It is revealed that the compound growth rate is (17.66 per cent) for the total growth . 100 RESEARCH DIRECTION UGC Sr. No. 45489 ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 Table – 4 India’s Export of Coir and Coir Products to Major Countries during the Year 2007-08to 2016-17 (Rs.in Crore) Co un tri es 20 0708 200809 196.0 6 200 2010- 2011 9- 11 -12 10 2010-11 201112 240. 205.47 231.42 205.47 89 2012-13 % of increase in total export per year 201314 2014-15 2015-16 201617 231.42 25436.43 30026. 05 34717.0 1 49814.1 5 5326.5 6 38.85 US A 200.0 5 U K 49.05 52.3 5 58. 55.33 16 81.78 55.33 81.78 8121.85 8600.8 9 8543.88 9094.67 11076. 22 71.94 Ge rm an y 42.00 52.8 7 44. 37.31 51 44.05 37.31 44.05 6062.04 6414.31 5530.92 5956.9 8 64.13 Ne the rla nd 49.54 48.1 4 66. 66.95 27 82.02 66.95 82.02 8453.07 10876. 04 11970 16027.5 8 18148. 78 80.64 Ital y 28.16 26.9 2 38. 32.91 56 40.37 32.91 40.37 4233.99 5822.6 1 6367.14 6856.58 8630.2 2 40.81 Sp ain 24.23 19.8 5 29. 29.44 35 34.06 29.44 34.06 4079.0 8 4143.09 6947.62 7686.8 6 77.89 Ca na da 20.49 20.4 7 18. 18.12 43 17.88 18.12 17.88 1962.02 2773.0 5 2715.7 3271.62 3509.2 1 67.25 Fr an ce 19.69 18.9 9 20. 24.21 48 30.20 24.21 30.20 2910.2 3532.8 1 3470.96 3131.71 3889.2 7 69.65 Au str ali a 17.28 19.0 8 23. 20.81 28 30.45 20.81 30.45 3370.19 4370.8 3 4726.6 6070.38 6499.1 6 80.94 Be lgi um To tal (in cl. oth ers ) 9.78 15.1 4 14. 20.99 69 14.68 20.99 14.68 1247.75 1820.1 1 1592.97 2056.10 2140.4 0 71.4 65015.54 78708.4 84661.66 190142. 7 31 22816 4.82 3218 6807 460.27 86.01 639.9 7 80 807.07 1052. 4. 62 05 807.07 1052.6 2 Table no. 4 reveals that there no as negative trend in the study period in the export of Indian coir industry .An export to the Spain and UK has increased to 77.89 percent and 71.94 per cent respectively. All together growth was recorded as 86.01 percent. FINDINGS OF THE STUDY All the years during the period registered for analysis showing positive trend. It has risen from 199925 tonnes valued at Rs. 639.97 crore in 2007-08 to 1016564 tonnes valued at Rs. 253227.8 crore in 2017-18. Almost all the scorers a positive trend. The export of powerloom mat and curled cor has been increased and The compound growth is negative for the segments like rubberised coir (-2.85 per cent), handloom mattings (-2.05 per cent), and handloom mats (- 2.36 per cent). An export to the Spain and UK has increased to 77.89 percent and 71.94 per cent respectively. All together growth was recorded as 86.01 percent. 101 RESEARCH DIRECTION UGC Sr. No. 45489 Suggestions ISSN NO – 2321-5488 Vol: 6 Issue: 4, October, 2018 Introduction of incentives for higher exports. Credit support for participation in international fairs. Government /Coir Board supported trade fairs. Enlargement of domestic market through subject matter and information. Development of customer care personnel through coaching. CONCLUSION Now, the coir industry has undergone an expansion process covering all the elements beyond its conventional purview. However the full potential of export market for coir and coir products has not been fully used and promotional efforts are not adequate. The policies are needed to speed up the effort to help the industry to become competitive according to the international market. Along with the diversified international plans ,there should be strong policies and packages to strengthen the domestic market. Promotion of Export is one of the emphasis areas within the promotional agenda of Coir Board aimed towards the property development of the Indian coir trade. Being a standard and export headed trade, any fluctuations within the export trend have an immediate concerning this trade and also the manpower there under. the foremost export promotion tools enforced by Coir Board in association with trade and trade are participation in international fairs in the country and abroad on a spotlight - country/ focus-product basis, international seminar and conferences, organizing workshops, enterprise message through specialised trade magazines, extending external market development help to exporters for varied export promotion activities encouraging exports and export connected activities by presenting national fibre trade awards etc. References Ekambaram, K., and Raja, SK. Rameez.(2014) Export performance of coir and coir products from India. Clear International Journal of Research in Commerce & Management .Vol. 5, Issue 7, pp: 44-47. Narendran, R. (2014) Evaluation of national and industry-specific interventions on coir industry in India - a special reference to Kerala. International Business and Economics Research Journal.Vol. 13,Issue.4, pp: 727-738. Sheeba,R., and MohanRaj,S.(2014) A Study On The Future Market Potential Towards Coir Products Export With Special Reference To Pollachi.Indian Journal of Research.Vol. 3, Issue.11 pp: 15-17. www.coirboard.gov.in www.coirfed.com. https://kerala.gov.in/small-medium-enterprises https://msme.gov.in/ 102