COIR PITH

CONTENTS

SECTION I PRODUCT CHARACTERISTICS AND SPECIFICATION

SECTION II PRODUCT APPLICATIONS

SECTION III INDIAN MANUFACTURERS

SECTION IV IMPORT/EXPORT LEVEL

SECTION V PRICE DETAILS

SECTION VI INDIAN DEMAND

SECTION VII BROAD OUTLINE OF MANUFACTURING PROCESS

SECTION VIII RAW MATERIAL REQUIREMENTS, UTILITY

AND AVAILABILITY

SECTION IX GLOBAL SCENARIO

SECTION X DISCUSSIONS ON ECONOMIC CAPACITY,

PROJECT COST AND PROFITABILITY PROJECTIONS

SECTION XI SWOT ANALYSIS

SECTION XII FACTORS INFLUENCING THE POSITION FOR

A NEW INDUSTRY AND RECOMMENDATIONS

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 SECTION I

PRODUCT CHARACTERISTICS AND SPECIFICATION

1.1. General details

Alternate names Coir Pith

Coco
Coir Peat
Similar sounding brand names

Coir Pith is purely a natural organic product and it is biodegradable and ecofriendly. It is a
byproduct gained during extraction of Coir fibre from coconut husk.

It is free from any admixtured heavy metals. It is a mixture of corky cellular material and short
fibers and has both the appearance and feel of peatmoss.

1.2. Properties

Porosity 75 percent
Water holding capacity 500 percent/5 to 6 wt
Nutrient retention capacity Good/ 5 to 6 wt
Content Natural rooting hormones
PH 5.2 to 6.8, ideal for plant growth/6 to 7
Electrical conductivity Not more than 500 (us/cm)/02. To 1.0
Total Pore Space about 28.2

Organic Carbon (%) 80 %

Nitrogen 1.08%
Phosphorus 0.19%
Calcium 1.92%
Magnesium 0.98%
C/N ratio 26.1%
Micro Nutrients (ppm)

Iron 4140
Manganese 160
Zinc 42
Copper 706

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Coir Pith has remarkable capacity to absorb moisture. Its high water holding capacity is
equalled to sphagnum peat and the drainage is similar to that of peat. Its qualities include
absence of weed and pathogen besides being physically resilient capable of withstanding the
compression associated with baling better than peat.

Other advantages are that coir pith is natural renewable resource and slow to decompose more
slowly than peat.

Besides, it has acceptable pH ,EC. and CEC and has excellent wettability superior to peat.

The characteristics of coir pith indicates

Stability of the material for conditioning of the farm and soil

For retention of moisture for mulching and
As a receptacle for slow release of added nutrients to the crop.

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1.3. Specification of the product

Global Coir Weight Compression Dimension Breakout Loadability Loadability 20 Lodability Loadability 40
Pith block after adding 20 pallatised unpallatised 40 pallatised unpallatised
water
8 to 9 litre 650 gms -/+ 8:1 20 X 10 X Add 4 to 5 2050 X 10 1800 blocks = 2050 X 20 42000 blocks =
briquettes 50gr 6cm- - litre water = pallets = 1800 carbons pallets= 26.65 M/tonne
/+2mm 8.9 20500=13.32 41000=26.65
litre/briqutte M/tonne m/tonnes
70 litre 5 kgs -/+200 8:1 30 X 30 x After adding 2000 2500 5120 5250 -/+5%
bale(5 kilo gms 12cm - 24 lts of unwrapped unwrapped unwrapped unwrapped
block) /+2mm water = 70 bales = 9.45 bales = 20.52 bales = 20.52 bales
to 80 lts M/tonne M/tonne M/tonne

1.4. Packaging

COIR PITH BLOCKS : 650 Grams Brick upto 5 Kilo Brick

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 SECTION II

PRODUCT APPLICATIONS

2.1.Salient applications

Spongy cellulose organic plant growing medium usable in garden centres, horticulture,
nurseries

* As a substrate for floriculture and

horticuture crops.
* As a potting mix.
* As a soil conditioner/improver
* As a rooting media
* For golf courses and nursery poly
bags
* As a mulch

2.2. Advantages

* A Superior Planting Medium

* Environmentally Safe
* Economical
* Organic
* Biodegradable
* High water holding capacity - i.e. upto 5 times its volume
* Provides better aeration and enhances strong and healthy rootgrowth
* Resistant to bacterial and fungal growth
* Retains and releases nutrients for extended period of time
* Uniform texture and consistency
* Better yield
* Odourless
* Environment friendly
* Enhances the organic content of the soil if mixed with soil
* Free from pathogens, weed seeds and toxins.

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1. INCREASED AIR POROCITY.

Coir being fibrous in nature holds many air pockets which helps the crops to root easily and
profusely. This increases the surface area of root system thereby facilitating better absorption
of nutrients from soil.

2. GOOD WATER RETENTION

Absorbs water rapidly and holds it for longer periods preventing desiccation of plants during
hotter climates especially in tropical areas.

3. ECO FRIENDLY COMPONENT OF SOIL

Coir amended soil combats bacterial and fungal infections.

Coir has a plant origin and therefore 100% bio degradable.

Periodical release of nutrients from coir helps to keep the soil rich for all seasons.

4. REDUCES IRRIGATION FREQUENCY

Irrigation of coir-grown plants may be done at longer intervals as the moisture holding
capability of coir is high.

5. Period of use

It Can Be Reused For Upto 4 Years.

2.3. Substitutes/Alternatives

Peat
Potting Soil
Rockwool
Vermiculite
Perlite
Pumice
Expanded Clay
Synthetic Foams

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The recommended dosage of coir pith manure is 12.5 tonne

2.4. Level of use

A mixture of 75 percent coirpith and 25 percent soil gives 80 percent more yield.

The increase in pore space, water holding capacity and nutrient availability recorded in
coirpith amended pots ultimately increased the yield..

Because of heavy leaching, as a result of frequent watering, the potting medium will have
poor nutrient status.

Hence, it is suggested that 50 percent of the recommended fertiliser may be applied as basal,
thoroughly mixed with the potting mediu.

2.5. Potting medium

Coir pith block can be used as potting medium. It can be mixed with required fertilizers
and nutrients according to the type of plant to be grown.

Potted plants require a growing medium in good physical and chemical conditions. Normally,
the problems of the potting medium are poor aeration and water and and nutrient retention.

It is found that the highest yield of tomato is obtained from pots with 75 percent soil and 25
percent coirpith. It is 65 percent higher than obtained with 100 percent soil as medium.
Quality parameters such as ascorbic acid,acidity, soluble sugars, lycepene content are found
to be improved by coirpith incorporation.

2.6. Mushroom

Coir pith blocks are being used by a lot of mushroom growers around the world for the large
scale production edible mushrooms.

2.7. Soil Supplement:

Re-hydrated coir block mixed with soil improves water holding capacity and aeration.

2.8. Seed Generation:

Coir dust in starter containers speeds up germination and profuse rooting of the seedlings.

2.9. Tissue Culture

Wetted coir brick in poly bags encourages initial growth phase of tissue cultured plants
and grafted seedlings.
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 SECTION III

INDIAN MANUFACTURERS

There are a number of organisation involved in the production and export of Coir pith in the
country.

Most of the organisation are located in Tamil Nadu. Kerala and Karnataka. Such organisations
include the following

* Global International,
No. 1, Buddu Street, 3rd Floor,
Chennai - 600 001

* Koodath Agro Exports

58, Pantheon Road, II Floor, Egmore
CHENNAI - 600 008.

* Aswaths Green Coir (P) Ltd

Address:
88,Palaghat Road
POLLACHI, TAMILNADU, 642 001

* Q&Q Exports-International
3 / 117, Kumaresapuram
Trichy - 620 013

* ATC Products
Address:
8/2 silver jubliee road Karnataka (Zip : 560002)

* Prime Fibres
6, Imam Sahib Street, Tirupattur (Vellor Distt.) - 635 601, India

* Sharanya Coirs Private Limited

34, Thiruvengada Nagar, Coimbatore - 642 001, India

* Dynamic Industry
87/88 Nehru Street, Peelamedu, Coimbatore - 641 004, India

* Tamilnad Coir Corporation

120, Rajamill Road,
Coimbatore - 642 001,

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* Coastal Fibres
401,Balaji Towers, Kirlampudi Layout,
Visakhapatnam - 530 017,

* Duinkop Enterprises Pvt Ltd

SF No 58, Kattampatty Post
Jakarpalayam (via)
Coimbatore 641 202

No 14, Angeripalyam Road

Tirupur 641 603.

* Kangayam Carbons,
Mahalakshmi Apartment
College Road,
Tirupur

Availability Around 6.6 lakh tonnes per annum

Only small portion of coir pith is processed and exported

Share of production in Tamil Nadu 26%

Raw material requirement of coir fibre

Extraction of one kg of coir fibre generates two kgs of coir pith.

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 SECTION IV

IMPORT/EXPORT LEVEL

4.1. Import

There is no import of Coir pith

4.2. Export

Present Export Level Around 9500 tonnes per annum

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 SECTION V

PRICE TRENDS

Indian price Rs.6.5 per kg

Export price of Coir pith Around 120 US$ per tonne

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 SECTION VI

INDIAN DEMAND

Coir pith, generally exported in brick form, has caught on well as a natural soil conditioner
and has generated good demand from Australia, the UK and other Western countries.

Compost and coir have different chemical and physical characteristics than peat. Supplemental
fertilization will require some fine tuning.

None of the peat substitutes tested, with the possible exception of coir, are suitable for
producing certified nursery material for export. All are produced or stored on the ground, and
this is not allowed for export media. The organic materials appear, however, to have good
potential for production of nursery stock for local consumption.

Coir pith is sourced from various de-fibring units in South India and only low sodium sources
of coir is selected to make the blocks. The coir pith is cleaned and sieved before it is
briquetted into a 650 gms or a 5 kg block.

It is free from weeds and pathogens and are within safe EC and pH standards. Coir pith is free
from all soil diseases and it offers high resistance to most of the inherent root diseases. By
using coir pith blocks it ensures high oxygen levels for drainage properties. Use of coir pith
blocks will bring down seedling development production cycles rapidly.It can be used as
substitute for peat moss, for Horticultural purposes and it can also be used for green houses,
commercial and domestic gardening.

World over more and more growers have started using coir pith blocks in the place of peat
moss.

Organic manures have been used successfully in enhancing the productivity and yield of
various agricultural crops. India is one of the major coconut cultivating countries and the by-
product, coir pith, has gained importance owing to its properties for use as a growth medium
in agriculture.

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Industrial prospects of Coir Pith

Indian economy is an agriculture based one. About 80 percent of its population is directly or
indirectly involved in agriculture and allied fields. Evidence from a number of developing
countries shows that very small enterprises in the cottage industries and handicraft sector
could contribute more than one-third to the economy. Expansion of these sectors, therefore
have importance effects.

The coir industry, based on the coconut has potential for development in coconut growing
countries of Asia and Africa. At the world level, 90 percent of coir production is
concentrated in India and Sri Lanka.

The demand for Coir pith is largely export oriented

Estimated export demand for Coir pith Around 9500 tonnes per annum

Growth rate in demand Around 5 to 6% per annum

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 SECTION VII

BROAD OUTLIEN OF MANUFACTURING PROCESS

Th coir waste left out as residues from factories could be used as organic manure.

100 kg of Coir waste should be spread on the ground in an area of five sq.meters in a shady
place; a little water should be sprayed and 200 gm of plurotus:, a fungus variety should be
added.

Over this layer, another 100 kg of the straw should be spread over which one kg of urea
should be sprayed.

This cycle should be repeated to complete one tonne of coir waste. Every 15 days, the
position should be inverted.

The hump should be left to decompose for 45 days to 90 days depending of moisture inside
the mound.

Hence coirpith could be effectively recycled as component of potting medium to grow

vegetables and flower plants.

In the process of extraction of coir fibre from husk, generally about 1/3rd of it is obtained as
fibre and 2/3rd of it is obtained as coir pith.

Coir pith with a range of interesting properties finds various applications.

Coir pith has a high lignin (31%) and cellulose (27 %) content and a carbon-nitrogen (C/N)
ratio of 104: 1. Coir pith also has a very high water holding capacity of 5 to 6 times its weight.
It should be noted that coir pith is very stable because of the presence of high percentage of
lignin. Hence coir pith left to itself takes decades to decompose. Studies by various
institutions have resulted in methods to speed up the process of decomposition (lignin
reduction) by fungal/microbial culture.

The decomposing or composting of Coir pith is done near agriculture fields, in heaps generally
by the Pleurotus sojarcaju species an edible mushroom, which takes around 35-45 days.
Composted Coir pith is used along with organic supplements in crop fields in horticulture and
floriculture. It is also used as a rooting and growing medium for certain ornamental flowering
plants.

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Decomposed coir pith is also used as hydroponics systems for growing roses and vegetables
under controlled conditions.

The coir pith in sterilized condition finds use in mushroom cultivation and floriculture. The
coir pith also finds application as an alternative for '
Peat Moss'the extraction of which has
been banned in most of the European countries .It also finds application as a mulching
material for grape vine.

On an average a husk weighs about 300 g, 80-85 g is obtained as fibre and around 200 g is
obtained as coir pith.

Further on an average 5000 husks are defibred per day, which yields 1000 kg (1 ton) of Coir
pith per day while around 5-6 tons is composted or decomposed in batches for every 35-45
days depending upon the requirement. As mentioned earlier, out of the rest of coir pith, some
quantity is sterilized and dispatched to be used chiefly in floriculture.

Composting method

If any open space of 5 m x 3m preferably under shade, spread 1000 kg of coir pith uniformly
and apply 400 gm of Pith Plus uniformly. Cover this layer with an other layer of coir pith
and apply 1 kg of urea.

Repeat the process of sandwitching the pith plus and urea with coir pith so that the heap
reaches a height of 1 metre. Sprinkle water if the moisture content of the coir pith falls below
200 percent.

At the end of 30 days, the coir pith would be turned into black mass of compost having a
reduced C:N ratio of 24:1., which is recommended for an ideal organic manure.

The composed coir pith has four times higher nitrogen, six times higher phosphorous and 1.5
times higher potassium than in its original form. Upon composting, the mass of coir pith is
reduced to 58 percent.

The technology used as described above is very simple. Pith plus costs Rs.18 per kg. Two kg
of Pith Plus with five kg of urea converts one tonne of coir pith into 580 kg of organic
manure.

There are already a few units which make organic manure from coir pith and sell it at Rs.700
per tonne.

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Source of technology

* Central Coir Research Institute

(Ministry of SSI & ARI, Government of India)
Kalavoor-688 522
Alleppey, Kerala

P.B No. 1752, M.G. Road

Cochin-16

Plant and machinery equipment

Autoclave, Incubator Chemitherm Plants & Systems P. Ltd.,

30, Anandha Street
Alwarpet, Chennai-600 018

Texel Fabricators Pvt. Ltd.,

335, Sidco Industrial Estate,
Ambattur, Chennai-600 098, Tamil Nadu

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 SECTION VIII

RAW MATERIAL REQUIREMENTS, UTILITY AND AVAILABILITY

Utility requirement per tonne

Power 215 units

Raw coir pith

Raw Coirpith which had all along been considered a waste and dumped in he roadsides for
want of space in coir industries. It is found to be fairly rich in plant nutrients and also adds
considerable quantity of organic matter to the soil.

In India 0.66 million tonnes of pith is available from 4.8 million tonnes of husk annually.
Much of the coir pith is washed in the backwaters during the fibre extraction process.

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 SECTION IX

GLOBAL SCENARIO

Production level in Sri Lanka Around 1.85 lakh tonnes per annum

Production in countries such as Thailand,

Philippines, Malaysia and Indonesia A round 15,000 tonnes per annum each

Contact organisation In Sri Lanka

Ceylon Coir Fibre Exporters Association

c/o Volanka Exports Ltd
193 Minuwangoda Road
Kotugoda
Sri Lanka
Tel: ++94 1 232 938
Fax: ++94 1 237 365
E-mail:volanka@sri.lanka.net

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 SECTION X

DISCUSSIONS ON ECONOMIC CAPACITY,

PROJECT COST AND PROFITABILITY PROJECTIONS

Economic capacity : 360 tonnes

Project cost : Rs.24 lakhs

Assessment of project cost

1. Land

S.No. Description Cost

Rs.in lakhs

1.1 Cost of land of 0.25 acre at Rs.5.5 lakh per acre 1.38
1.2 Cost of levelling, laying internal roads/fencing and 0.14
compound wall
Subtotal 1.52

2. Building

S.No. Description Cost

Rs.in lakhs

2.1 Factory building of area 125 sq.m. at Rs.3200/sq.m. 4.00

2.2 Non-factory building of area sq.m.at Rs.4500/sq.m. -
Subtotal 4.00

3. Cost of Plant & Machinery

S.No. Description Cost

Rs.in lakhs

3.1 Cost of basic plant and machinery 7.00

3.2 Instrumentation and control 0.53
3.3 Pipelines and valves 0.70
3.4 Structurals for erection 0.35
Subtotal 8.58
3.5 Octroi, excise duty, sales tax, etc.at 12% 1.03
3.6 Packaging and insurance charges (2%) 0.17
3.7 Transportation charges (2%) 0.17
3.8 Machinery stores and spares (2%) 0.17
3.9 Foundation charges (2%) 0.17
3.10 Installation charges (2%) 0.17
Total cost of plant and Machinery 10.46

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4. Technical know-how fees 1.00

5. Miscellaneous fixed assets

S.No. Description Cost

Rs.in lakhs

5.1. Electrification 0.60

5.2. Steam boiler and auxillaries -
5.3. Water storage tank, borewell etc. -
5.4. Fuel storage tank -
5.5. Laboratory equipment 0.40
5.6. Office machinery & equipment 0.40
5.7. Material handling equipment, packaging machinery, 0.40
weigh balance, etc.
5.8. Diesel generator -
5.9. Effluent treatment -
Total 1.80

6. Preliminary & Pre-operative expenses:

S.No. Description Cost

Rs.in lakhs

6.1. Preliminary expenses 0.2

6.2. Pre-operative expenses:-
6.2.1 Establishment 0.2
6.2.2 Rent rates and taxes 0.2
6.2.3 Travelling expenses 0.2
6.2.4 Interest and commitment charges on borrowings 1.2
6.2.5 Insurance during construction period 0.2
6.2.6 Other preoperative expenses and deposits -
6.2.7 Interest on deferred payment -
Total 2.2

7. Provision for contingency Rs.1.16 lakhs

8. Working capital margin Rs.1.55 lakhs

9. Total project cost Rs.24 lakhs

10. Means of finance (Rs. in lakhs)

Promoter's contribution 10
Term loan from financing institutions 14
Total project cost 24

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11. Financial statements

Cost of production

A Variable cost Rs. in lakhs

Raw material and utilities 4.39

Spares and maintenance 0.63
Selling expenses 1.17
Total variable cost (A) 6.19

B Fixed cost

Salaries and wages 4.20

Interest on term loan and working capital loan 2.77
Depreciation 1.43
Administrative expenses 0.70
Total fixed cost (B) 9.10

C. Total cost of production (A+B) 15.29

D. Selling price per kg. (in Rupees) 6.5

E. Annual sales turnover 23.40

F. Net profit before tax (E-C) 8.11

G. Breakeven point in % 53

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 SECTION XI

SWOT ANALYSIS

Strength Adequate availability of raw material

Weakness Lack of technology updating

Opportunity Export

Threat Intense local competition

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 SECTION XII

FACTORS INFLUENCING THE POSITION FOR NEW INDUSTRY AND

RECOMMENDATIONS

In view of the increasing distaste for synthetic fertiliser, coir pith is becoming popular all over
the world, since it is considered as the eco friendly agricultural input.

India has specific advatnages with regard to coir pith, since the raw material is readily
available in the country and there is excellent export prospects.

Before setting up the Coir pith unit, the project promoter should understand the export market
carefully and workout the strategies adequately well.

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