{"id":49644,"date":"2022-10-03T15:09:56","date_gmt":"2022-10-03T09:39:56","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=49644"},"modified":"2024-11-19T12:31:49","modified_gmt":"2024-11-19T07:01:49","slug":"start-a-profitable-coir-business-in-india-requirements-and-licenses","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/","title":{"rendered":"Start a Profitable Coir Business in India: Requirements and Licenses"},"content":{"rendered":"\n<p>More than\ntwo-thirds of the globally marketed coir and coir-related products are produced\nin India. India does have a long coastline covered in coconut palms. Still,\nsignificant coconut-growing regions and Territories like Karnataka, Orissa,\nMaharashtra, Andaman &amp; Nicobar, Pondicherry, Tamil Nadu, Goa, Lakshadweep,\nKerala, Assam, and others are where the coir business or industry is growing\nand reaping economic benefits. It has about 5.5 lakh employees working in this business.\nThe yearly export generated by the coir business in India is around 70 crore\nrupees. Scroll down to check more information regarding Coir Business in India.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Overview_of_Coir_Board_of_India\" >Overview of Coir Board of India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Indias_Coir_Udyami_Yojana_CUY_%E2%80%93_An_Overview\" >India&#8217;s Coir Udyami Yojana\n(CUY) \u2013 An Overview<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#List_of_Products_Obtained_from_Coir\" >List of Products Obtained from\nCoir<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Machinery_Required_for_Running_Coir_Business_in_India\" >Machinery Required for Running\nCoir Business in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Materials_Required_to_Start_a_Coir_Processing_Unit\" >Materials Required\nto Start a Coir Processing Unit<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Coir_Udyami_Yojana_Eligibility\" >Coir Udyami Yojana Eligibility<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Document_Required_for_Coir_Udyami_Yojana\" >Document Required for Coir Udyami Yojana<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Application_Process_for_the_Coir_Udyami_Yojana\" >Application Process for the Coir Udyami Yojana<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/start-a-profitable-coir-business-in-india-requirements-and-licenses\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Overview_of_Coir_Board_of_India\"><\/span>Overview of Coir Board of India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Coir Board of India is established by the Ministry of <a href=\"https:\/\/corpbiz.io\/msme-registration\"><strong>MSME<\/strong><\/a> under the Government of India. It started functioning on 7<sup>th<\/sup> July 1954. It is regulated by the Coir Industry Act, 1953. The Act generally regulates functions like fixing the grade standards, arranging the coir fibre, Inspection of Coir Fiber, Coir yarn and other Coir products under Section 10. <\/p>\n\n\n\n<p>The Coir Board\nwas also actively involved in setting up the Standard specifications for coir\nproducts under the Bureau of Indian Standards. BIS has also constituted the following\ncommittees for the formulation and revision of specific standards-<\/p>\n\n\n\n<p>(i) Coir and\nCoir Products Sectional Committee (TDC-50) <\/p>\n\n\n\n<p>(ii) Coir Fiber\nand Coir Yarn Sub-Committee (TDC-50:5) and <\/p>\n\n\n\n<p>(iii) Coir\nProducts Sub-Committee (TDC-50:6)<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Indias_Coir_Udyami_Yojana_CUY_%E2%80%93_An_Overview\"><\/span>India&#8217;s Coir Udyami Yojana\n(CUY) \u2013 An Overview<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Government of India created the <strong>Coir Udyami Yojana (CUY)<\/strong>, a credit-linked subsidy program, to create coir units. India&#8217;s coir industry is developing, particularly in the southern regions where numerous factories produce a wide range of coir products. The Coir Board&#8217;s primary responsibility is to increase production and market the products globally. The Coir Board started the Coir Udyami Yojana program to help the micro and small-scale coir industries.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"List_of_Products_Obtained_from_Coir\"><\/span>List of Products Obtained from\nCoir <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Following is the\nlist of products obtained from Coir:<\/p>\n\n\n\n<p>1. Coir pith<\/p>\n\n\n\n<p>2. Yarn<\/p>\n\n\n\n<p>3. Fibre<\/p>\n\n\n\n<p>4. Coir pith\nblock <\/p>\n\n\n\n<p>5. Cocopot<\/p>\n\n\n\n<p>6. Coir door\nmats <\/p>\n\n\n\n<p>7. Cocopeat\nmoulds <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Machinery_Required_for_Running_Coir_Business_in_India\"><\/span>Machinery Required for Running\nCoir Business in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The\nconventional method of extracting coir is time and labour-intensive. Using\nmachinery in a coir business can save a lot of hard work and time. <\/p>\n\n\n\n<p>The cost\nof the various machines used to extract coir fibre varies according to their\ncapacity, working model, and durability. In India, most coir machine producers\nare found in well-known cities like Coimbatore, Pollachi, and Alappuzha.<\/p>\n\n\n\n<p>Most\nowners of coir businesses typically purchase the entire machinery setup from a\nsingle manufacturer as opposed to several dealers. This enables owners to\ncontact the producer and receive quicker assistance during maintenance or\nbreakdowns. A coir processing setup typically costs between 15 and 20 lakhs.<\/p>\n\n\n\n<p><strong><em>Here is a list of some machines used for the production of coir-<\/em><\/strong><\/p>\n\n\n\n<ul>\n<li>Machine for\nde husking coconuts<\/li>\n\n\n\n<li>Crusher Machine\n<\/li>\n\n\n\n<li>Disintegrator\nmachine<\/li>\n\n\n\n<li>Decorticator<\/li>\n\n\n\n<li>Coir Pith\nscreener <\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Materials_Required_to_Start_a_Coir_Processing_Unit\"><\/span>Materials Required\nto Start a Coir Processing Unit<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul>\n<li><strong>Raw materials<\/strong><\/li>\n<\/ul>\n\n\n\n<p>The\nprimary raw material for setting up a coir business is coconut husk. Its\ninterior comprises numerous layers of fibre called coir or fibre.<\/p>\n\n\n\n<ul>\n<li><strong>Location<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Establishing\na coir processing unit in a rural area with many coconut plantations is best\nfor the coir business. In addition to lowering the cost of workers, this also reduces\nthe transportation costs for raw materials.<\/p>\n\n\n\n<ul>\n<li><strong>Land<\/strong><\/li>\n<\/ul>\n\n\n\n<p>The coir\nbusiness must have at least 1 acre of land for setting up a coir extraction\nunit\nbecause the unit requires a lot of space-consuming machinery.\nUsually, a large shed is used to set up all the equipment. Coconut husks, the\nraw material, are kept in huge piles outside the plant.<\/p>\n\n\n\n<ul>\n<li><strong>Water<\/strong><\/li>\n<\/ul>\n\n\n\n<p>Water is a\nnecessary resource for a coir processing unit to function. Once the raw\ncoconuts are plucked from the tree, the husks must be softened by retting them\nin huge water tanks for more extended periods. The fibre is occasionally\ncleaned under a stream of running water to remove any debris.<\/p>\n\n\n\n<ul>\n<li><strong>Vehicle<\/strong><\/li>\n<\/ul>\n\n\n\n<p>A coir\nprocessing plant needs a commercial vehicle, such as a small truck or a\ntractor. Because extracting fibre from coconut requires a lot of coconuts. The\nbusiness will also produce 1-2 tons of fibre daily, which is difficult to store\nover time. Consequently, owning a vehicle simplifies transporting goods\nwhenever necessary.<\/p>\n\n\n\n<ul>\n<li><strong>Workers<\/strong><\/li>\n<\/ul>\n\n\n\n<p>A coir\nprocessing unit is best run with 3 to 4 employees. While the other workers can\nfocus on loading and unloading supplies and spreading the extracted coir fibre\nout over open spaces, one person will be in charge of supervising the\nmachinery. You can increase your number of employees once your production\ncapacity has been raised.<\/p>\n\n\n\n<ul>\n<li><strong>Electricity<\/strong><\/li>\n<\/ul>\n\n\n\n<p>A\nsignificant amount of power is needed for the coir processing unit. The coir\nunit&#8217;s total power consumption is between 40 and 50 horsepower, or 38 kW. It\nwill take up to 304 Kw\/h to run the plant for 8 hours daily.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Coir_Udyami_Yojana_Eligibility\"><\/span>Coir Udyami Yojana Eligibility<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>For this\nprogram, any coir business with working capital that does not exceed 25% of the\ntotal cost is acceptable and a project cost of up to Rs. 10 lakhs.<\/p>\n\n\n\n<p>Additionally,\nthe following requirements must be met:<\/p>\n\n\n\n<ul>\n<li>Only projects\nthat fall under the coir sector or produce coir fibre products are eligible for\nthis program.<\/li>\n\n\n\n<li>The applicant\nmust be an Indian citizen and at least 18 years old.<\/li>\n\n\n\n<li>Anyone may\napply to take advantage of this program, including individuals, businesses,\nnonprofit organizations, institutions covered by the Societies Registration Act\nof 1860, production cooperative societies, joint liability groups, and\ncharitable trusts.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Document_Required_for_Coir_Udyami_Yojana\"><\/span>Document Required for Coir Udyami Yojana<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Following are\nthe documents required for Coir Udyami Yojana:<\/p>\n\n\n\n<ul>\n<li><strong>Registration of Beneficiaries<\/strong><\/li>\n<\/ul>\n\n\n\n<ol>\n<li>JPEG-formatted photograph<\/li>\n\n\n\n<li>Duplicate PAN card<\/li>\n\n\n\n<li>Certificate of MSME Registration<\/li>\n\n\n\n<li>Community Certificate, if SC\/ST<\/li>\n\n\n\n<li>Certificate of Company Registration (If not individual)<\/li>\n<\/ol>\n\n\n\n<ul>\n<li><strong>Coir Udyami Yojana Scheme<\/strong><\/li>\n<\/ul>\n\n\n\n<ol>\n<li>Certificate of training<\/li>\n\n\n\n<li>Project Report <\/li>\n\n\n\n<li>Title deed<\/li>\n\n\n\n<li>Plan &amp; Budget<\/li>\n\n\n\n<li>Equipment Bill<\/li>\n<\/ol>\n\n\n\n<p>Following\nreceipt of the application form, the bank has 60 days to notify the beneficiary\nof the sanction. Following the beneficiary&#8217;s deposit of the 5% contribution,\nthe bank approves 95% of the project&#8217;s cost. After receiving the sanction\nletter, you have 30 days to contribute. All Regional Rural Banks and Scheduled\nCommercial Banks offer this financial support. The interest rate on loans must\nbe equivalent to the base rate. Repayment must be completed within seven years.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Application_Process_for_the_Coir_Udyami_Yojana\"><\/span>Application Process for the Coir Udyami Yojana<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The\nfollowing steps are involved in filling out the application form:<\/p>\n\n\n\n<p><strong>Step 1: Registration of new login ID<\/strong><\/p>\n\n\n\n<p>Only\nlogged-in users can apply for Coir Udyami Yojana. To\nregister, the applicant must click &#8220;New Login Registration&#8221; and fill\nout the required information.<\/p>\n\n\n\n<p>The\napplicant will receive an SMS with their login information to complete the\nonline application.<\/p>\n\n\n\n<p><strong>Step 2: Registration of Beneficiaries<\/strong><\/p>\n\n\n\n<p>After the\nonline application form is filled, details related to standard beneficiary\ninformation are provided.<\/p>\n\n\n\n<p><strong>Step 3: Coir Udyami Yojana Scheme Selection &amp; Application\nSubmission<\/strong><\/p>\n\n\n\n<p>Choose the\nprogram and complete the application. Documents will be submitted and their\nscanned images uploaded to the appropriate locations.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The coir business or industry has a vast potential yet to be discovered. India has an abundance of coir fibre as raw material, particularly in states like Kerala, Tamil Nadu, Andhra Pradesh, and Karnataka. India produces more than two-thirds of the world&#8217;s coir. It is still underused, though. The National Coir Board of India is taking several steps to boost the coir business by offering financial assistance through cooperative banks, NABARD, industrial training centres, and MSME to support small business owners and create employment opportunities for people living in rural areas. Starting a Coir business is a golden opportunity for young entrepreneurs to launch their own businesses in their community.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/how-to-start-an-led-bulb-manufacturing-business\/\">How to Start an LED Bulb Manufacturing Business?<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>More than two-thirds of the globally marketed coir and coir-related products are produced in India. India does have a long coastline covered in coconut palms. Still, significant coconut-growing regions and Territories like Karnataka, Orissa, Maharashtra, Andaman &amp; Nicobar, Pondicherry, Tamil Nadu, Goa, Lakshadweep, Kerala, Assam, and others are where the coir business or industry is [&hellip;]<\/p>\n","protected":false},"author":45,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[968],"tags":[2763],"acf":{"service_id":"424"},"authorName":"Snehita Shukla","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/07\/MicrosoftTeams-image-84.jpg","authorDescription":"Snehita has her qualifications in B.Com LLB and LLM, and holds a specialization in Corporate &amp; Financial Laws and Policy. She is hardworking, dedicated and sincere. She has a great command in english and has great problem solving, critical thinking  and writing skills which makes her stand out of the crowd. She has a keen interest in legal research work and content writing, she also has a hold in legal research methodology. She loves to take challenges and to explore new topics to research on. She aims to improve her knowledge and skills through her experience.","postViews":16382,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/49644"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/45"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=49644"}],"version-history":[{"count":15,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/49644\/revisions"}],"predecessor-version":[{"id":67264,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/49644\/revisions\/67264"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=49644"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=49644"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=49644"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}