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2026 - Volume 9 - Number 2

The Economic Transformation of the Coir Industry in Alappuzha: A Critical Analysis

Pratheesh Padath * ORCID: 0000-0003-3976-5978
University of Kerala, St. Michael’s College, Alappuzha, INDIA

Open Journal for Research in Economics, 2026, 9(2), 51-68 * https://doi.org/10.32591/coas.ojre.0902.02051p
Received: 22 March 2026 ▪ Revised: 24 July 2026 ▪ Accepted: 4 September 2026

LICENCE: Creative Commons Attribution 4.0 International License.

ARTICLE (Full Text - PDF)

ABSTRACT:

The coir industry of Alappuzha, one of the oldest agro-based industries in India, has historically played a vital role in employment generation, export earnings, and the regional economy of Kerala. Rooted in labor-intensive cottage production, the industry has undergone significant structural changes in recent decades due to mechanization, modernization, and global economic integration. These transformations, while enhancing productivity and competitiveness, have also generated critical socio-economic challenges, particularly for workers and small-scale entrepreneurs. The study addresses the growing contradiction between technological advancement and declining employment, focusing on the changing economic structure of the industry. The analysis seeks to examine the extent and implications of mechanization, assess its impact on productivity and employment, and evaluate the emerging economic burdens on different stakeholders. The study adopts an analytical framework combining theoretical insights with empirical observations derived from firm-level patterns and sectoral trends. It utilizes indicators of mechanization and productivity alongside secondary data on employment, production, and export performance to understand the dynamics of transformation. The findings reveal that mechanization has significantly improved efficiency, output, and export potential, contributing to the industry’s integration into global markets. However, these gains have been accompanied by a sharp decline in labor absorption, increased capital intensity, and widening disparities between organized and unorganized sectors. The transition has disproportionately affected traditional workers, particularly women, leading to displacement, informalization, and economic vulnerability. The study underscores the need for a balanced approach that aligns technological progress with inclusive development, ensuring sustainability and equity within the coir industry.

KEY WORDS: coir industry, mechanization, economic transformation, labor displacement, Alappuzha, modernization.

CORRESPONDING AUTHOR:
Pratheesh Padath,University of Kerala, St. Michael’s College, Alappuzha, INDIA.

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