Coconut Economy of Kerala
Dr. M. Kuttappan
The coconut agro-based industry has to gain back the momentum as it had earlier. The author analyses the state and national scenario of coconut production in India in the wake of the World Coconut Day, which falls on September 2.
Asian and Pacific Coconut Community (APCC), an intergovernmental organisation of important coconut growing countries, came into existence on 2nd September 1969. Since 2009, 2nd September is celebrated every year as World Coconut Day (WCD) to generate more awareness on the importance of coconut and to attract more investment in coconut related activities. The theme for the WCD 2025 is Boosting Innovation and Revitalising Coconut Sector Through Sustainable Action and Partnership. Coconut palm is one of the most useful trees in the world and about 360 uses of the tree and its products have been reported. It is cultivated in over 80 countries of the world and out of the global production of 62.41 million metric tonnes of coconut 75 percent is from the three Asian countries of Indonesia, Philippines and India. In India, coconut is cultivated in 23.3 lakh hectare with a production of 22,226 million nuts and four Southern States of Tamil Nadu, Karnataka, and Kerala and Andhra Pradesh together accounted for 92 percent of coconut production. India is the largest consumer of coconut products in the world as other important producing countries export significant share of their output. Here it is also used in all social and religious functions in some way or other and has become a symbol of national unity. With this background an attempt is made below to briefly examine the importance of coconut and its future prospects in the economy of Kerala.
Importance of Coconut Cultivation in Kerala
The coconut economy of Kerala witnessed considerable changes during the six and half decade after the formation of the State in 1956. During the first decade Kerala accounted for 70 percent of total area and production of coconut in India. Since coconut cultivation was found to be more profitable compared to other important crops of rice and tapioca, the area increased from 4.5 lakh hectares in 1956-57 to 9.3 lakh hectares in 2001-02. At the same time the share of Kerala in the country declined to 51 percent as the area in other states increased much faster than that of Kerala. During the same period the share of Tamilnaduincreased from 8 percent to 17 percent and that of Karnataka from 13 percent to 19 percent. In the case of production while Kerala’s share decreased from 70 percent to 45 percent that of Tamilnadu increased from 13 percent to 26 percent. Even though the share of Kerala in the area and production of coconut in India decreased, coconut played a very important role in the economy of Kerala during the first two decades.
Coconut covered about 25 percent of the gross cropped area and contributed over 30 percent of the agricultural income of the State. Besides being a valuable adjunct to the everyday diet of Keralites it is source of raw material for many industries. About 70 % of the coconut husk was utilised for the extraction of fibre from which many coir products were manufactured and exported. The coir industry provided employment to around 5 lakh persons, mostly women. Around 25,000 workers were regularly employed in tapping toddy which was the most important liquor consumed in Kerala. T he trunk of the tree was extensively used for the construction of residential houses and cattle sheds and other parts of the tree were important source of fuel for cooking. Thus, coconut played a very important role in the economy of Kerala which was largely woven around coconut and its by-products. Now Kerala lost its superior position in the Indian coconut production map as the state accounted only
34 percent of area and 27 percent of coconut production during the triennium ending 2023-24. The productivity i.e. the number of nuts per one hectare in Kerala is only 7287 as against all-India average of 9170. According to the latest data Karnataka emerged as the largest coconut producing state accounting 28.5 percent of production. Kerala was the home of coir industry in India but now major portion of coir is produced from other states. Out of 7.5 lakh persons employed in this industry in India only 1.5 lakh are from Kerala. During the first two decades per capita income and household monthly expenditure in Kerala was lower than the all-India average. As such most of the by-products of coconut palm were used in Kerala as mentioned earlier. But after the migration of large number of people from Kerala to Gulf countries and the consequent large remittances, the standard of living of the people improved considerably. The future prospect of coconut industry in Kerala depends very much on increasing the productivity and better utilisation of coconut and by products. The average yield per bearing tree in a year in Kerala is only 30 nuts whereas the potential is 150 to 200 nuts. One important reason for the low yield rate is the incidence of root-wild disease and the attack of Mandari pest. Besides diseases the wide fluctuation in the price of coconut, high cost of production etc, have weakened the interest in coconut. Though research works have been carried out in India during the last few decades, no effective solution has been found out for the root-wilt disease. For increasing productivity of coconut and for the better utilisation of various parts of coconut tree and coconut products all the coconut growing countries have to work together with a team spirit.
The author is former Director of Economics and Statistics Department, Govt. of Kerala