India’s coconut sector powers rural livelihoods, exports

India’s coconut sector supports rural livelihoods, agricultural growth, and cultural traditions. Nearly 30 million people, including around 10 million farmers, depend on the sector. 
India ranks first in global coconut production, with Keralam leading in area, Tamil Nadu in production, and Andhra Pradesh in productivity. India’s export basket has expanded from traditional products to value-added products like virgin coconut oil, coconut milk, and activated carbon. 

The Government, primarily through the Coconut Development Board, implements a range of schemes to strengthen the coconut ecosystem. During 2025-26, about 2,175 hectares were added under cultivation, while 1,672 hectares were covered under rejuvenation. 

The Union Budget 2026-27 further introduced the Coconut Promotion Scheme to strengthen sustainability, exports, and farmer incomes. With continued policy support, India’s coconut sector is steadily advancing across production, value addition, exports, and livelihoods.

Revered as the “Kalpavriksha,” the tree providing all necessities of life, the coconut is rooted in India’s heritage, culture, and agrarian economy. Celebrated across civilisations as a tree of a thousand uses, the coconut’s enduring symbolism is rooted in its remarkable versatility. It provides food, drink, medicine, fibre, timber, fuel, and a diverse range of raw materials. These resources sustain households, traditional practices, and a growing ecosystem of value-added industries. In India, coconut cultivation has a well-documented history spanning nearly three millennia and remains a critical driver of rural employment and economic resilience. 
About 30 million people, including 10 million farmers, depend on the coconut sector, making it vital to rural livelihoods. Predominantly cultivated by small and marginal farmers, coconut aligns closely with inclusive growth and the strengthening of farm-based economies. 

One such example of its growing significance can be seen in Chhattisgarh, where farmers have begun adopting coconut cultivation as a viable livelihood option.

India holds a prominent place in the global coconut economy. The country ranks first in production and third in cultivation area, accounting for 31.24 per cent and 17.90 per cent of global totals, respectively. According to the DA&FW statistics, India produced about 20,301.22 million nuts of coconut during 2024-25 from 2.19 million hectares. Average productivity stood at 9,249 nuts per hectare.

Within the country, Keralam has the largest area under coconut cultivation, covering nearly 7.54 lakh hectares and producing about 5,149.87 million nuts. Tamil Nadu leads coconut production, while Andhra Pradesh records the highest productivity, followed by West Bengal and Tamil Nadu. 

Beyond primary production, the coconut sector has emerged as an important contributor to agricultural exports, supporting India’s export ambitions. The Government aims to achieve $2 trillion in exports by 2030 and $21 trillion by 2047.