§1What this business is
Coir pith is blended with some short fibre, compressed and packed loosely in UV-stabilised black-and-white polythene bags (100 × 18 × 13 cm, 5:1 compression). The grower cuts holes for planting and drainage and plants directly into the bag.
Capacity: 1,120 grow bags (2 kg) a day, 200 days — 448 tons a year. Sale ₹70 a bag; raw pith ₹8,000 a ton.
§2Is it right for you?
Who it is for
Someone serving polyhouse and hydroponic growers.
Who it is not for
Someone with no access to greenhouse farmers or exporters.
Advantages
- Strong margin among coir pith products in these profiles
- Ready-to-use product for protected farming
- Low break-even (48% in year 1)
Drawbacks
- Buyers are mostly greenhouse and polyhouse growers
- Polythene bag is a plastic item — check state rules
- Machinery is most of the cost
Skills you need
- Pith blending and compression
- EC and moisture testing
- Selling to protected-farming growers
- Export logistics
Why difficulty 3/5: Good margins, but you must reach greenhouse and export buyers.
§3Market
Who buys
- Greenhouse and polyhouse vegetable growers
- Strawberry and tomato growers
- Exporters
How it sells
- Agri-input dealers
- Direct supply to farms
- Export orders
Good to know
- The profile names tomatoes, strawberries and cucumbers as typical crops.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Hydraulic grow bag machine, 30 HP | 1 | — |
| Screener, 2 HP | 1 | — |
| De-stoner, 8 HP | 1 | — |
| Sewing machine | 1 | — |
| Weighing scale | 1 | — |
| Pallet corner | 4 | — |
| Cooling tower | 1 | — |
| Tables, pump set and other items (total machinery ₹20,13,000) | — | — |
From: PMEGP project profile — Coir Pith Grow Bag Making Unit (prepared by Coir Board, Ministry of MSME) (2018)
- Coir pith₹8,000 a ton of raw pith
- Short coir fibreblended with the pith
- UV-stabilised black-and-white polythene bagsthe outer pack
From: PMEGP project profile — Coir Pith Grow Bag Making Unit (prepared by Coir Board, Ministry of MSME) (2018)
In our raw material database
§5Licences & registration
- Udyam registration
- GST registration
- Registration with the Coir Board (needed to export; also opens Coir Board schemes)
- State Pollution Control Board consent (check the category for your process)
- IEC code if you export
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
- Stand-Up IndiaCentralClosed₹10 lakh – ₹1 crore loan
PMEGP (this profile was made for it), MUDRA loans up to ₹20 lakh and CGTMSE cover fit; Stand-Up India suits women and SC/ST founders.
§7Money
How the investment is worked out: Coir Board profile: building leased or owned + machinery ₹20.13 lakh + working capital ₹4.87 lakh = ₹25.00 lakh.
Working capital: Working capital ₹4.87 lakh (bank ₹4.63 lakh).
Prices from June 2018 — machinery costs will be higher now.
§8Export potential
Confirm the HS code in the DGFT ITC(HS) lookup before you export
Export council / board: Coir Board
- Coir exporters register with the Coir Board and take its registration-cum-membership certificate.
- Confirm the exact 8-digit code in the DGFT ITC-HS schedule before you ship.
§9Risks — where people fail
- Salt (EC) above limits
- Seasonal demand
- Plastic-bag regulations
- Pith supply
§1030 / 60 / 90-day plan
A general plan that applies to any business. A plan for this business will be added after research.
- Days 1–30: Visit a working coir pith grow bag making unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (Udyam registration, GST registration), a project report (DPR), and the scheme or loan file.
- Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.
§11Who to connect with
Associations, clusters and training institutes — the directory is being built. Connect
§12Watch
There is no episode on this business yet. Shows are coming soon on the Podcast page.
Want to start Coir Pith Grow Bag Making?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
- PMEGP project profile — Coir Pith Grow Bag Making Unit (prepared by Coir Board, Ministry of MSME) (2018)
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.
