The coir board has been implementing various schemes for the development of the coir industry. Apart from helping in setting up new coir units, the Development of production infrastructure scheme assists in modernization of existing units as well.


The scheme ‘Development of Production Infrastructure’ aims to provide assistance for setting up new coir units as well as modernizing the existing units in order to increase the utilization of coconut husk and generate more rural employment.


How can an MSME benefit from this scheme?

An MSME can benefit from this scheme in the following ways:

  • Under the DPI scheme, the Coir Board financial assistance is provided for setting up of coir units with a project cost up to ₹00 lakh
  • Subsidy will be provided at 25% of the project cost subject to a maximum of ₹00 lakh for setting up of de-fibering unit, ₹4.00 lakh for automatic spinning unit and ₹5.00 lakh for others, including coir pith unit
  • For a composite or a multiple unit, the maximum monetary ceiling of assistance would be ₹00 lakh
  • For calculation of subsidy amount, the cost of building will be restricted to a maximum of ₹00 lakh for de-fibering and coir pith units and ₹6.00 lakh for others including automatic spinning unit
  • The scheme also provides for extending financial assistance up to ₹00 lakh for modernisation/ renovation of the existing units

Eligibility Criteria:

What is the eligibility criteria for this scheme?

The eligibility criteria to apply for this scheme is as follows:

  • Coir units that want to take the assistance under this scheme should be registered with the Coir Board under Coir Industry (Registration) Rules, 2008 and also the industries department of the state in which the unit is located
  • Units with project cost above ₹10.00 lakh or more than the ceiling of Coir Udyami Yojana (CUY) are eligible for this scheme
  • There should be availability of the power connection and a generator in the location of the coir unit.
  • The subsidy under this scheme is available to only those entrepreneurs who have not availed any other state/central government scheme like CUY


How can an MSME apply for this scheme?

An MSME can apply for this scheme in the following ways:

  • The unit shall submit the application in the prescribed format for grant of financial assistance. This applies for new units under the scheme, within 6 months from the date of commencement of production of the unit.
  • Date of commencement of production should be certified by the General Manager, District Industries Centre (DIC) of the respective area

MSMEs can access the application forms and more information regarding this scheme here