The State government will expend ₹52.86 crore in the coir sector during the Onam festival period, Industries Minister P. Rajeeve has said.
He was distributing assistance to beneficiaries in the coir sector in a function held at Coir Machinery Factory auditorium at Chungam here on Friday. “The second restructuring of the coir industry that was started during the previous government has helped revive the sector. This restructuring will be completed during the tenure of this government,” Mr. Rajeeve said.
The Minister said 35% of the fibre needed was being produced in the State. “The government is trying to increase fibre production to 45%. During 2015-16, coir production in the State stood at 7,000 tonnes. The production has now touched 25,000 tonnes. It will be further increased to 30,000 tonnes,” he said.
Mr. Rajeeve said ₹10 crore had been sanctioned to distribute the price of coir procured by the Coirfed. Another ₹15 crore was allocated to the Coir Corporation for the procurement of coir products.
Production incentive
“A sum of ₹4 crore has been sanctioned for coir societies as production incentive. Another ₹25 crore has been earmarked for income support scheme. Of the amount, ₹5 crore will be released soon. Altogether, the government will spend ₹52.86 crore during the Onam season,” he said.
The Minister said orders worth ₹120 crore for coir geotextiles had been received from local bodies in the State. The works using geotextiles would be carried out utilising the Mahatma Gandhi National Rural Employment Guarantee Scheme workforce.
Coirfed president N. Saikumar presided. P.P. Chitharanjan, MLA and former Minister P. Thilothaman were among those present.
