Coconut Farming & Business Guide
Coconut farming is a profitable and sustainable agribusiness with multiple income streams. Coconuts are in high demand for their water, oil, copra, fiber, and other by-products. Below is a complete guide to coconut cultivation and its business opportunities.
1. Coconut Farming: Cultivation Guide
Step 1: Choosing the Right Variety
Select high-yield coconut varieties based on your region and purpose:
| Type | Characteristics | Uses |
|---|---|---|
| Tall Variety | Grows up to 30m, lives 80-100 years, starts yielding in 6-8 years | Copra, oil, fiber, wood |
| Dwarf Variety | Shorter (10-15m), starts yielding in 3-4 years, produces more tender coconuts | Coconut water, household use |
| Hybrid Variety | Cross between tall & dwarf, high yield, starts producing in 3-5 years | Multipurpose (water, oil, copra) |
Popular Varieties in India:
- Tall: West Coast Tall (WCT), East Coast Tall (ECT), Tiptur Tall
- Dwarf: Chowghat Orange Dwarf (COD), Malayan Yellow Dwarf (MYD)
- Hybrid: Chandra Laksha, Kera Sankara
Step 2: Land Preparation & Planting
- Soil Type: Well-drained sandy loam or red soil, pH 5.2 – 8.0
- Climate: Tropical climate with 20-35°C temperature and 1500-2500mm rainfall/year
- Planting Season: June – September (monsoon) is ideal
- Spacing: 7.5m x 7.5m (tall varieties), 6.5m x 6.5m (dwarf varieties)
👉 Tip: Use organic compost (cow dung, vermicompost) while planting for better root growth.
Step 3: Irrigation & Fertilization
- Young plants need 25-30 liters per week
- Drip irrigation saves water and promotes better yield
- Apply organic manure (neem cake, compost) & NPK fertilizers (500g nitrogen, 300g phosphorus, 1kg potassium per tree annually)
👉 Tip: Mulching around trees helps retain moisture in dry areas.
Step 4: Pest & Disease Control
- Pests: Rhinoceros beetle, Red palm weevil (Control using neem oil, pheromone traps)
- Diseases: Bud rot, Root wilt (Use Bordeaux mixture, remove infected parts)
👉 Tip: Intercrop with banana, turmeric, or pepper to maximize land use.
Step 5: Harvesting & Yield
- Tall varieties start yielding in 6-8 years, dwarf in 3-5 years
- Mature coconuts harvested every 45-60 days
- Average yield per tree: 50-100 coconuts/year
- Proper storage ensures quality; keep harvested coconuts in a dry, shaded area
2. Coconut Business Opportunities
1. Raw Coconut Sales
- Sell tender coconuts for water (popular in summer)
- Mature coconuts for oil extraction and copra production
- Direct sales to retailers, hotels, juice shops, and supermarkets
2. Coconut Oil Business
- Cold-pressed virgin coconut oil has high demand in cosmetics, cooking, and Ayurveda
- Invest in an oil extraction unit (small-scale: ₹5-10 lakh, large-scale: ₹20-50 lakh)
- Sell through local markets, online platforms (Amazon, Flipkart), or export
3. Coconut Copra Processing
- Copra (dried coconut kernel) is used for oil extraction
- Sun drying or using a copra dryer speeds up production
- India is a major exporter of copra to markets like USA, Europe, and Gulf countries
4. Value-Added Products
- Coconut Sugar & Flour – Healthier alternative to white sugar, gluten-free flour
- Coconut Chips & Snacks – High demand in urban health-conscious consumers
- Desiccated Coconut Powder – Used in confectionery & sweets
- Coconut Shell Products – Handicrafts, activated charcoal, biofuel
- Coir & Fiber Industry – Used for ropes, mats, mattresses, and eco-friendly bags
👉 Tip: Setting up a coir unit (₹5-15 lakh investment) can turn waste into profit.
5. Exporting Coconut Products
- India exports coconut-based products to USA, UAE, UK, and Southeast Asia
- Register with APEDA (Agricultural and Processed Food Products Export Development Authority)
- Partner with bulk buyers on B2B platforms (Alibaba, IndiaMART, ExportHub)
3. Investment & Profitability
| Expense | Estimated Cost (INR per acre) |
|---|---|
| Land Preparation | ₹20,000 – ₹50,000 |
| Seedlings | ₹30 – ₹100 per plant |
| Irrigation Setup | ₹50,000 – ₹1,50,000 |
| Fertilization & Maintenance | ₹25,000 – ₹60,000/year |
| Labor & Miscellaneous | ₹30,000 – ₹80,000 |
Profit Estimation
- Yield per acre: 2,000 – 4,000 coconuts/year
- Market price: ₹15 – ₹40 per coconut
- Annual income: ₹3 – ₹10 lakh per acre
- Value-added business: Coconut oil, coir, or copra increases profits
👉 Tip: Organic certification boosts the selling price of coconuts and oil.
Coconut farming is a long-term, profitable business with diverse revenue streams. Whether selling raw coconuts, oil, copra, coir, or other value-added products, it offers a sustainable income.