INTRODUCTION

RUBBERISED COIR INDUSTRY

The birth of Rubberised Coir Industry is quite amusing and interesting. Prior
to the year 1960 people hardly had any idea of this novel and high utility
product. In those days the world famous car manufacturers, M/s. Volks
Wagon of Germany, were using horse hair as cushion filling material for their
car seats. As their production increased from 100 cars per day to 300, there
was dearth of this raw material. This necessitated a suitable alternative
product for rubberisation and which would suit to their specifications. Of
various alternatives tried like sisal fibre, jute fibre, the coir fibre was decidedly
found to be the best. This was the beginning of Rubberised Coir Industry .In
early 60s two renowned manufacturers M/s. Dr. Fehrer and Dr.Otto
Angliether (DOA) were competing with each other to supply modern
machines to manufacture Rubberised Coir products. The design and the
material of construction was so excellent that we find some of their plants are
still working well over a period of four decades. The Indian Rubberised Coir
Industry is nearly four decades old. It was in 1964 that M/s. Bharat Motors of
Chennai established its manufacturing unit. Many other units came up during
sixties itself. In the global market the important use of rubberised coir had
been in the automobile industry. In Europe, most of the loyal users had been
producers of more expensive cars Mercedes and BMW in the erstwhile
Federal Republic of Germany, Volvo in Sweden etc.Fiat which got most of its
supplies from a plant at Gradec in Solvenia in Yugoslavia andVolkswagen had
been consistent users of coir. The major plant established by Fiat in the
erstwhile USSR also used rubberised coir in Japan, Datsun was a consistent
user of rubberized coir. Ikeda Bussan, Mistubushi and Honda also were using
rubberised coir. Another potential area for rubberised coir is for seating in
other vehicles like trucks, buses, railway and sub-way coaches. It has the
potential for replacing polyurethane foam in inner spring mattresses. For
upholstery purposes also world consumption of rubberised coir could be
improved if marketed properly. The use of rubberised coir as means of
stabilising seashore lines canal and river bank was reported gradually
developing in some of the western countries like Netherlands, Germanyetc.
There exists a very large and diverse market for bedding and upholstery in
Europe and the United States and if efforts could be made to popularize
rubberised coir it would be possible to get a significant share of the market,
the main competitor being polyurethane foam.

In the domestic front, initially the growth of rubberised coir manufacturing

industry was very slow, particularly as a led matters, owing to lack of
awareness and any organised marketing effort. There was total disapproval of
this product in all sectors when introduced as a healthy hygienic cushioning
material. People considered it as a dirty, filthy, low cost and a rough product
meant for the low income segment of the consumer market. The PU foam
products in view of its soft feel used to be considered as a luxury product and
had the preference of the upper segment of the consumer market. The
situation gradually changed and the seventies witnessed rapid growth of the
industry with product finding more and more acceptance and outlets on
account of consumer public realising its unique characteristics functional,
aspects and cost advantages.
Growth During Last 4 Decades:
From a handful of manufacturers, during early 60s this product got some
market recognition in early 70s. Apart from Dr. Ferher & DOA Plants, some
entrepreneurs started manufacturing machinery indigenously. In the next 3
decades over one hundred manufacturers have entered rubberised coir field.
As per the statistics available now the industry has produced
about 60,000 M.T. for the year ended March 2001 and the growth is still
expected to go up in the years to come. Today rubberised coir products are
increasingly used in many industries notably in transport industry like railways
and buses, packaging industry (Pharmaceuticals, heavy engineering,
electronics etc), hospitals, theatres and auditorium. The basic raw material for
Rubberised Coir industry is the brown coir fibre and the natural latex rubber.
Over the last decade, the brown coir sector has registered a tremendous
growth. Thanks to the encouragement given by Coir Board by forming a
separate Brown Fibre Development Committee and through implementation
of various developmental schemes aimed
at betterment of production infrastructure skill development and diversification
of production with the financial assistance to small units, brown fibre industry
has achieved remarkable growth.

OBJECTIVE OF THE STUDY:

To know about the present status of the Rubberized Coir mattress

Industry.

To identify the problems faced by the industry.

To know the future prospect of growth of this industry

To identify the strategy needed for the development of the sector for

improving marketing, production capacity etc.

To develop tactical as well as strategic focus with sustainable competitive

advantage.

MARKETING RESEARCH
Marketing research is the function which links the consumer, customer, and
public to the marketer through information- information used to identify and
define marketing opportunities and problems; generate,refine and evaluate
marketing performance; and improve understanding of marketing as a
process.
Market research specifies the information required to address these issues;
design the method for collecting information; manage and implements the
data collection process; analyses the results; and communicate the findings
and their interpretations.

RESEARCH METHODOLOGY
In planning and designing a specific research project, it is necessary to
anticipate all the steps that must be undertaken if the project is to be
successful in collecting valid and reliable information. If we cluster the various
steps according to major activities, we can view the marketing research
process as consisting of following steps.
1 . Problem discovery and definition(specifying the research objectives)
2 . Research design
3 Hypothesis formulation
4 Sampling
5 Data processing and interpretation
6 Conclusion and testing
7 Reporting
1. Problem recognition and definition
In this step the main aim of the researcher are to find out the answer to the
questions:
What is the purpose of this study?
What are the objectives of the research?
i.e. Understanding of the real issues involved in the whole exercise and
formulation of hypothesis
If these question are not properly answered at the outset, the study is likely to
be misdirected to pursue vague or obscure goal.
After this it is required to prepare the list of needed information to attain the
objectives.
The objective of the study are as described above.

2. Research design
After finding the research objectives and preparing the list of needed
information, the researcher should determine whether such information are
already available, either in company record or in outside sources or
information has to be collected from the field.
The research may be exploratory or conclusive research.
In this project it is exploratory research. It include:

Secondary data collection and analysis

Expert opinion survey

Stakeholders opinion survey

Questionnaire: The questionnaire designed is structured one. It consists of
both open ended and closed ended questions.
3. Hypothesis formulation
Hypothesis is a specific statement of prediction. It describe in concrete(rather
than theoretical) terms what you expect will happen in your study. A single
may have one or many hypothesis.
4. Sampling
A sample is the representative of the entire population under study and the
characteristics of the population can be estimated from the sample statistics.
The act of selecting and manipulating the sample and estimating the
population parameters is called sampling.
Sampling plan address three questions:
Whom to survey?
How many to survey?
How to select them?
Survey was done with structured questionnaire among the stakeholders
(manufacturers, retailers, customers) in 7 cities (Bangalore, Bhubaneswar,
Cochin, Chennai, Mumbai, Delhi, Hyderabad) and nearby area.
Sample size of the customer: more than 1000 customers
Sample size of the retailers: more than 200
Poor response from manufactures: Less than 20% of the listed (still a good
enough sample for any social research)
5.Method of data collection: Personal interview in our project

LIMITATION OF THE STUDY

Though I worked hard on this project, due to inexperience in the market there
remain few limitation in preparing the project report.

Sample size:
As the survey was conducted in 7 different cities so the sample of 1000
customer is too little.
The size of 200 retailers is also not so high.
Only 20% of listed manufactures have given their view.
Time constraint:
As time available was only 8 months which is not at all sufficient to cover
each and every issues for such an important study
Information:
The information that we got may have been biased and distorted and may not
present a true picture. We have also expected that the retailers and the
manufacturers have given true information to the best of their knowledge.

COIR BOARD

The Coir Board is an autonomous statutory body established by an Act of the

Parliament under the Coir Industry Act, 1953 (45 of 1953) for the overall
development of the Coir Industry. The Board consists of a Chairman and 30
members representing various interests like growers of coconut, producers of
husks and coir yarn, manufacturers of coir products, dealers in coir, coir yarn,
coir products, three members of the Parliament; two from LokQ Sabha and
one from the Rajya Sabha, representatives of Governments of principal
coconut growing States etc.
The Headquarters of the Board is located at Cochin. There are three
Regional Offices one each at Bangalore, Visakhapatnam and Pollachi for
promoting the development of the coir industry primarily in the brown fibre
sector. The Central Coir Research Institute (CCRI) at Alleppey, Kerala and the
Central Institute of Coir Technology (CCIT), Bangalore are engaged in
research and development. The Coir Board has established 33 showrooms
and Sales Depots in important cities in the country for promoting sale and
consumption of coir products in the domestic markets.

COIR
Coir, obtained from the husk of coconut, Cocos nucifera, is a perrenial palm
found in tropical countries. As far back as the 19th century, records indicate
that the Philippines, particularly Pangasinan has been producing coir.
Coconut husks were soaked in streams for 8-12 months and the fiber
extracted manually by pounding them with mallets against slabs of woods.
After drying, the fibers were made into ropes or twines for fishing and farming
purposes.
The development of the Philippine coir industry started prior to World War II
when the National Coconut Corporation, now the Philippine Coconut Authority
(PCA), experimented on mechanized coir extraction. Shortly after the war,
Martiniano Floro, a manufacturer, developed the first defibering machine and
subsequently, established the first defibering plant in Alaminos, Laguna.
Other defibering plants followed in the late '50s up to the '70s. Today, with the
establishment of other coir decorticating or processing plants, products of
various applications have been developed for both the foreign and domestic
markets.
USES/APPLICATIONS
The traditional application for coir is a padding material for furniture. Other
uses are for the production of brushes, carpets and rags and twines.
Coir is also used for plant pads which are natural substitutes for sphagnum
moss, plastic redwood and other containers for growing various kinds of
outdoor plants.
In the industrial field, coir has also found application as geotextile material in
the form of bonded mats, filtering materials for drainage, wallboards, in the

construction of industry and briquettes. Coir is also used as insulation

material, caulking material for boats, filtration pads and as carpet underlay.
The more important utilization of coir is for the production of car panels in the
form of car seats, back pads, ceiling and other car parts. For this purpose,
coir is transformed into rubberized sheets. Rubberized coir sheets are also
suited for packaging scientific, photographic, electronic and other delicate
equipment and products as it offers excellent protection and safety.
In recent years, coir dust, a residual non-fiber particle which is produced from
the extraction of coir, has gained economic importance. While it used to be a
major problem for decorticating plants because of the volume involved in
disposal and because of environmental considerations, coir dust is now
exported and used as substitute for peat moss, soil mulching, soil
conditioning agent and other uses.

Coir Science & History:

COCONUT
The coconut palm, has been eulogised as 'Kalpavriksha' the all giving tree in
the classics of India. Its fruit is called Lakshmi Phal which is used in most of
the social and religious functions in India from Kashmir to Kanyakumari,
irrespective of whether the palm is grown locally or not. The use of coconut
through out India makes it a symbol of national unity and perhaps in the olden
times the people of our country or our ancestors might have migrated from a
coconut growing area. It is also possible that coconut had been cultivated in
many parts of India and the climatic and geographical changes in due course
might have caused the confinement of coconut to coastal tracts in the country.
The first recorded history of coconut in the country dates back to Ramayana
period. In the Valmiki Ramayana there are references of coconut in the
Kishkindha Kanda and Aranya Kanda. It is reported that Ramayana was
written by Valmiki sometimes in 3rd century B.C. Generally it is believed that
coconut was introduced in India during the post-vedic period.
References have been made on coconut in Raghuvamsa of Kalidasa and
Sangam literatures which proves the antiquity of the coconut in India. But its
origin in India remains disputed. But Marco Polo, the famous Arab traveler
who visited India in the 13th Century called coconut "Indian Nut" and the logic
for such a reference needs investigation by historians. Shri. P.K. Balakrishnan
a Kerala historian argues that organised coconut a cultivation started in
Kerala only after the arrival of Portuguese.
COIR

Coir or Cocos - Nature's wonder fibre is extracted from the protective husk of
the Coconut. This golden fibre is spun into a breath-taking range of textured
yarn and woven into a spectrum of colourful floor coverings.
The Creation Of A Masterpiece
The husks separated from the nuts, are retted in lagoons upto ten months.
The retted husks are then beaten with wooden mallets manually to produce
the golden fibre. The fibre is later spun into yarn on traditional spinning
wheels called "Ratts", ready for dyeing and weaving into myriad shades of
floor coverings. A score of varieties/grades of coir yarn are produced and
each variety is associated with certain specific characteristics, used for
industrial, agricultural and domestic applications.
The exhaustive range of floor coverings, hardwearing door mats, durable
Mattings and rugs, crush-proof pile carpets, heavy flowered Mourzouks, etc.
in a variety of dimensions enhance the elegance of the place of choice.
Coir Geo-Textiles are inexpensive, quick and effective in Civil Engineering
practices. Rubberised coir, a blend of coir and latex, offers mattresses and
cushioning for restful comfort.
Coir products that are exceptionally functional are virtually irreplaceable when
it comes to economy, durability and beauty.
THE WONDERS OF THE WONDER FIBRE

Moth-proof; resistant to fungi and rot

Provides excellent insulation against temperature and sound.

Not easily combustible.

Flame-retardant.

Unaffected by moisture and dampness.

Tough and durable.

Resilient; springs back to shape even after constant use.

Totally static free.

Easy to clean.

COIR INDUSTRY

STRUCTURE OF THE INDUSTRY

Indian coir industry is an important cottage industry contributing
significantly to the economy of the major coconut growing States and Union
Territories, i.e., Kerala, Tamil Nadu, Andhra Pradesh, Karnataka,
Maharashtra, Goa, Orissa, Assam, Andaman & Nicobar, Lakshadweep,
Pondicherry, etc. About 5.5 lakh persons get employment, mostly part time, in
this industry. The exports from this industry are around Rs.70 crores. The
coconut production in India is estimated at 9283 million numbers in 1989-90.
Coconut husk is the basic raw material for coir products. Around 50 per cent
of the available coir husk is used to produce coir products. Hence, there is
scope for growth of coir industry.
During the Seventh Plan, while the production of white fibre' has
remained stagnant, the production of brown fibre' has registered more than
55 per cent increase. The production of white fibre and brown fibre was
1,24,900 tonnes and 67,600 tonnes in 1989-90 against the respective level of
1,24,800 tonnes and 39,600 tonnes in 1984-85. During this period, the export
of coir yam and other products has increased from Rs.26 crores to Rs.33.32
crores. The production of coir fibre in 1991-92 is anticipated to be 2.20 lakh
tonnes against the target of 2.26 lakh tonnes. Exports are anticipated to be of
the order of Rs.66.16 crores.
During the Seventh Plan period, encouragement was given for expansion
of the home market through publicity and advertisement, product
diversification, adoption of new technology, research and development,
training for artisans, including women and social welfare measures for coir
workers, most of whom are SC/ST and women.
The Eighth Plan programmes for coir industry aim at increased utilisation
of coconut husk for production of coir fibre, growth of the domestic market,
strengthening of research and development to find out new uses for coir fibre
especially in the areas of geo-fibre, fire retar-dant, cement and gypsum
polymer development, acquisition of new technology like PVC-tufted coir
products, encouragement to cooperativisa-tion and pro vision of social
welfare, civic amenities and medical facilities to the coir workers. Emphasis
would be laid on mechanisation in a phased manner without affecting
employment to make Indian coir products competitive in the export market.
The production of brown coir fibre would be encouraged by providing seed
capital assistance. Modernisation of coir units has been envisaged by
providing incentives for installation of modern equipments to make coir
industry more competitive in the export market.
Special training programmes have been formulated for women artisans.
Improved modern treadle ratts would be provided to teamed women artisans
to increase employment and earnings. Medical facilities, creche for children of

coir workers, model coir villages for SC/ST coir workers and social welfare
schemes would be implemented during the Eighth Plan period.
Emphasis has been laid on developing devices/equipment/ machinery
through R&D to reduce drudgery and to improve productivity of coir workers.
Development of improved variety of ratts and looms would help in improving
the production of coir yarn spinning, coir mats, etc. In order to boost exports,
the scheme of cooperative publicity programmes in the export markets which
was started in the Seventh Plan would be continued.
The indicative target of production for coir fibre has been set at 2.77 lakh
tonnes for the Eighth Plan. Export target is Rs. 100 crores. The schemes to
be implemented during the Eighth Plan would aim at increasing the share of
full-time employment in this sector from the present level.
OPPORTUNITIES AND PROSPECTS
While purchases of domestic users, particularly the upholstery and mattress
makers, have slackened during the latter part of the 1990s, domestic demand
is expected to improve as new product applications have been developed.
Coir is not only used for mattress and stuffing purposes but is now processed
into a host of various industrial products.

NEW USES

APPLICATION

Concrete
rooftile
Geotextile
Panel board
Organic
Compost
Vehicle
upholstery,
furniture
upholstery
insulator pads

being rust-free makes it suitable for houses

along coastal areas
coir is used as a biodegradable cover for
soil while undergoing revegetation
coir is used as a mixing agent
coir dust as soil conditioning application
stricter free retardancy standards on foam
fillings in Europe opened doors for exports
of fire retardant rubberized coir padding
from the Philippines

INDUSTRY PROBLEMS:
Zoning problem which leads to competition in sourcing husks
Lack of drying/machine facility
High freight cost

Lack of high density baling press for the export market

Fabricators of decorticating machines have no standard as to capacity

RUBBERISED COIR: A gift of nature

Rubberised coir, made of natural latex and coir fibre is a 100% natural
product, which enhances comfort and support. Blended with anti-oxidants,
rubberized coir is comfortable because they are designed to offer perfect
support and they allow air circulation. Since rubberized coir is available in
various thickness, it can be used for multiple applications.
Coco latex makes certain it uses natural raw materials in keeping with its
essence of going green. All the same, adopting careful methods, which
encourages maximum recycling with minimal waste.
Production process
In its entirety, it is carried out using modern machines. These are closely
controlled with a variety of modern in-house facilities, supervised and handled
by our team of highly skilled personal.
Latex Compounding: A process that starts with procuring the very best in
nature rubber latex and ends with processing at our modern concentration
plant to ensure purity.
Curling: First, the coconut fibre is cured in a hot chamber for the natural curl
and bounce. They are then opened using customized machines to give them
a natural spring structure.
Rubberising: The curled fibre is formed in to sheets, which are sprayed with
natural rubber latex to form resilient fleeces.
Hot press and Vulcanization: When these fleeces are vulcanized and
machine-cut to specified dimensions they give a firm, long-lasting and nonabsorbent form that allows air circulation and provides natural comfort.

WHY RUBBERISED COIR ?

Rubbersied Coir has a number of advantages over Conventional foam rubber
and synthetic polythylene foam. A few of them are highlighted here.
1. Rubberised coir mattresses provide greater body support. It is highly
recommended by orthopedists , for people prone to backaches and for those
who wish to prevent it. It provides support to the vertebral column and hence
it is better for the body in the long term.
2. Rubberised coir is a porous material thereby maintaining a uniform
temparature

3. Coir is a hygroscopic material and hence is absorbs moisture from the air.
Thus it will always retain 8 to 10% moisture
4. It is odourless, germ-resistant and hygienic.
5. Can be cut to desired shape, size and contour. It can be cut to required
length and the thickness of 4mm to 100mm or more. The sheets can also be
joined as per the requirement
6.The mattress does not disintegrate like rubber foam or is not uncomfortable
like polyurethane foam and hence it is preferred.
7.Ther are no adverse impacts on the environment and no harmful chemicals
are used in making of a rubberized coir mattress. The factory does not emit
any pollutants and rubberized coir mattresses are eco friendly.
8.This is Natural product and helps small farmers around the country to sell
their produce.
TECHNICAL
Quality and Physical property test
The physical property of the mattress core and the hardness is essential to be
checked as this ensure the quality and the life time of the mattress.
Hardness
The hardness and the density of a latex foam mattress core are interrelated.
When the density increases the hardness value also increase. The
Indentation Load Deflection (ILD) of hardness as per ISO 2439 standard
states that the equal force that is required to press the mattress core until 25
%, 40 % or 60% from its original height with a circular plate of 322 cm. The
Compression Load Deflection (CLD) hardness as per ISO 3386 standard,
which is the force apply to press the mattress core 25 % of its original height
measured in kpa (kilo Pascal).
Resilience/Elasticity
The Resilience/Elasticity is measured to ASTM 3574 standard this is
measured by using a steel ball. The height of rebouncing of the ball is
measured. On a latex foam core the rebounce factor is higher than 60% to
70%. This is much higher compared to synthetic foams.
Sag factor
It is important that the surfers of the mattress core is soft and when apply
pressure it increasingly shows the resistance and come to the stop point. The
sag factor is described through the ISO 2439 standard. The higher this index,
the better the foam supports the body contour. The natural latex foam
performs obviously better with a sag factor than synthetic products.
Durability/Lifetime
The most accepted method is to test the mattress core to the standards of EN
1957. A weight of 1400 Newton is rolled 30000 times up and down on the

mattress core. Afterwards the height, the hardness and elasticity is measured.
This is repeated once again and the results are compared with the original
values. The average incline of the hardness is determined at 210 N, 275 N
and 340N in the load deformation curve.The test of natural latex core by LGA
Germany as per EN 1957 specifications the results were about 3 mm loss in
thickness and 3 % loss in hardness for a latex mattress core.The other
method is to test according to ISO 3385 (DIN 5374) standard, a foam sample
of 40 x 40 cm forced with a weight of 750 N for 80000 times at 70 strokes in
the minute. Afterwards, the loss of height and the hardness is compared with
the original value.
Hysteresis
The hysteresis can be determined by measuring the banana foam curve via
loading and de-loading of a mattress. The load deformation curve is
measured by means of a circular plate of 355 mm diameter, that gradually
builds a force max. up to 1000 Newton.The hysteresis is calculated with the
load and de-load curve by the load surface. The hysteresis indicates the
amount of energy that is absorbed by the latex core during loading / deloading. The higher the absorption of energy by a mattress core, the more
strength / energy is required to change the position on the mattress. The
Mattress cores which is to soft, has a low hysteresis, results higher energy
requirement for changing the position on the mattress core. This results to a
poor sleeping quality. The mattress core with the results of the hysteresis
between 20-30% is a comfortable mattress.M A L natural latex Mattress cores
are being tested as per ISO 3386 standard in the production. Regular testing
is been done by LGA as per EN 1957 as MAL has a monitoring contract with
LGA, Germany.
Sl.No.

IS. No.

TITLE

1.

IS 898:1985

Retted coir fibre (second revision)

2.

IS 2295:1964

Superior ANJENGO type yarn

3.

IS 8391:1987

Specification for rubberized coir sheets for

cushioning (first revision)

4.

IS 9300 (PT 1); 1987

Mechanically extracted coir fibres (first revision) Bristle coir fibre.

5.

IS 9308 (PT 2); 1987

Mechanically extracted coir fibres (first revision) Matress coir fibre.

6.

IS 9300 (PT 3); 1987

Mechanically extracted coir fibres (first revision) -

Decorticated coir fibre.

7.

IS 11060: 1984

Moulded rubberized coir cushioning

8.

IS 11420 (PT 1); 1985

Coir mats - General requirements

Coir mats - Corridor mats

9.

IS 11420 (PT 2); 1985

(Superseding IS 2958)

10.

IS 11420 (PT 3); 1985

Coir mats - Door mats - Creel, bit and fibre

(Superseding IS 1858)

11.

IS 11420 (PT 4); 1985

Coir mats - Door mats - Rod (Superseding IS

1693)

12.

IS 11420 (PT 5); 1985

Coir mats - Gymnasia mats (Superseding IS

2956)

13.

IS 11420 (PT 6); 1985

Coir mats - Loop mats (Superseding IS 4797)

14.

IS 11420 (PT 7); 1985

Coir mats - Mesh mats

15.

IS 11420 (PT 8); 1985

Coir mats - Rope mats (Lover's knot mats)

16.

IS 11420 (PT 9); 1985

Coir mats - Sinnet mats (Superseding IS 2957)

17.

IS 12503 (PT1); 1988

Coir mattings - mourzouks and carpets - General

(Superseding IS 2331, IS 2995 and IS 7275)

18.

IS 12503 (PT2); 1988

Coir mattings - mourzouks and carpets - Coir

matting (Superseding IS 2331, IS 2995 and IS
7275)

19.

IS 12503 (PT 3); 1988

Coir mattings, mourzouks and carpets - Ribbed

coir matting (superseding IS 7275)

20.

IS 12503 (PT 4); 1988

Coir mattings, mourzouks and carpets mourzouks (superseding IS 2331)

21.

IS 12503 (PT 5); 1988

Coir mattings, mourzouks and carpets - coir

carpets (superseding IS 2331)

22.

IS 12503 (PT 6); 1988

Coir mattings, mourzouks and carpets - coir

matting for cricket pitches(superseding IS 2955)

23.

IS 1410 : 1983

Specification for coir ropes (Second revision)

24.

IS 4145 : 1967

Code of practice for storage of ropes.

25.

IS 4575 : 1968

Code for handling of fibre ropes.

26.

IS 3871 : 1966

Glossary of terms relating to fibre ropes and

cordages

27.

IS 1410 : 1959

Specification for hawser-laid coir rope.

28.

IS 1411 : 1959

Specification for shroud-laid coir rope.

29.

IS 1412 : 1959

Specification for cable-laid coir rope.

30.

IS 3256 : 1965

Code for inlaid packaging of ropes and Cordages.

31.

IS 2331 : 1968

Handloom Coir mattings, mourzouks and carpets

(First revision)

32.

IS 2955: 1964

Coir mattings for cricket pitches.

33.

IS 7275 : 1964

Handlooms ribbed coir matting/mats.

34.

IS 4575 : 1983

Code for handling of Fibre ropes (second

revision)

35.

IS 2957 : 1964

Specification for Sinnet Mats

36.

IS 1693: 1964

Specification for door mats - Rod (Revised

37.

IS 7071 (Part I): 1974

Methods of Physical Test for ropes and cordages.

38.

IS 7071 (Part II): 1974

Methods of Physical test for ropes and cordages.

39.

IS 7071 (Part III): 1974

Methods of Physical test for ropes and cordages

40.

IS 7071 (Part IV): 1974

Methods of Physical test for ropes and cordages

41.

IS 1693 : 1974

Specification for door mats (Revised)

42.

IS 9308 (Part 4): 1998

Mechanically extracted coir fibres - Specification Part 4 - Machine twisted curled coir fibres.

SCOPE FOR GOOD RUBBERISED COIR:

Despite volume and freight-related constraints, a good scope is seen for
rubberised coir industry both within and outside the country. Concerted efforts
promoting its eco-friendly and bio-degradable advantages could create
additional markets for the product.
During Apr-May 2001, exports of rubberised coir stood at 44 tonnes valued at
Rs 43.34 lakh as against 60 tonnes valued at Rs 38.41 lakh during the same
period last fiscal, industry sources told Business Line.
Even in domestic markets, the usage of the product other than in coir
mattresses, such as cushions, automobile seats, air conditioner filters and
packing pads, could boost the market scope of the product.
Another major segment of the market which had been ignored by and large
was the rural market. There was a considerable demand for `janata'
mattresses among the rural poor in Northern India, the sources said.
But shift in consumer preferences towards eco-friendly coir mattresses had
also led to large-scale duplication, they claimed. Hence, coir mattresses
should essentially come with `eco' mark. Besides the Governments must
reduce the cost burden by exempting coir products, including rubberised coir
mattresses, from the purview of levies such as sales tax and excise, they felt.

Data Analysis and Interpretation

STUDY OF MANUFACTURERS
TOR 1. Study on the infrastructure and production capacity and capacity
utilization of rubberized coir sector in India
The infrastructure for the rubberized coir production is not too complex. A
block diagram to that effect for any rubberized coir manufacturing process is
given below. This would give a generic view of the infrastructure and
technology involved in the whole process.
Block Diagram

Curled Coir

Latex Spray

111gkmchb
Untwisting
Machine

Sheet Plant

Tunnel Drier

Cutting
Machine

Vulcanization

Drum Press /
Hydraulic Press

111gkmchb
Cooling
Machine

Inspection

Tape edge
Section

Quilting
Section

Quality check

Bundling

Dispatch

Manufacturing Process Of Rubberized Coir Mattresses

1. Untwisting Machine this is the 1 st stage of in the process & involves
unwinding the curled coir which comes in 3 varieties (small, medium & long
depending on the length of the fibre; quality check for fibre is done on a
random basis e.g. Check 1 bundle out of 28-30 bundles in one lot)
2. Sheet Plant This stage involves formation of coir sheets. Latex is
sprayed on coir to get the coir sheets. The latex ratio depends on the variety
of fibre.
3. Tunnel Drier This is the drying machine for the coir sheets after the latex
is sprayed. Indirect hot air is blown on the coir sheets through radiators for
curing.
4. Drum Press/Hydraulic Press The layers of RC flees/sheets are pressed
to get the desired thickness & surface finish, which is weighed.
5. Vulcanization Here the RC sheets are given the elastic/cushioning
effect.
6. Cutting Machine Here the coir sheets are cut into the standard sizes.
The length & width are cut according to BIS standards.
7. Cooling Machine This cools the RC sheets after vulcanization.
8. Inspection For quality control different parameters are taken into
consideration e.g. Length, width, under cure, over cure, low density, low
weight, more weight, deep line etc.
If rejected at this stage the RC sheets are not used in making mattresses
again. But it used for cushions. Here the reject rate is
around 2.8 % ~ 5.2%
9. Tape edge Section This is the assembling section for RC sheets after
the quality check.
10. Quilting Section The RC sheets are quilted. This has different varieties
of quilting depending the type of mattress to be produced.
11. Quality check Here 6 parameters namely, mis-stitch, mis-quilt, lose
border, tapestry damage, wrinkles & others (eg. oil marks) are considered to
check for quality. Then the price tag is pasted on the product.
12. Bundling These finished products are pasted with price tags & then
bundled in the warehouse.

13. Dispatch The bundled products are sent to the dispatch section from
where it is sent to various distributors & retailers.
While basic infrastructure is available with almost all the manufacturers, the
size varies based on the volume of business.
The production capacity is also found to be a function of demand ~ ability to
supply in the local markets. The rubberized coir sector is found to be heavily
loaded in favour of local markets save some bigger players (viz., Kurl On,
Duroflex etc.) who have national presence (though the demand for their
products is not equivalent all over the country). In all the seven states
surveyed, it was found out that the production capacity is directly proportional
to the local demand. Consequently, in smaller markets such as Orissa,
Andhra etc. the rubberized coir manufacturers have lesser production
capacity (10 1000 tons per annum), in bigger markets such as Bangalore,
Chennai etc. the rubberized coir manufacturers have much larger production
capacity (4000 8000 TPA) and the national player (Kurl On) have the largest
production capacity (8000 15000TPA). An approximate turnover and annual
production figures of the top ten rubberized coir manufacturers would provide
a clear picture to that effect.
Table 1
Top Ten
Players
(not in
any
order)
1.

Name of the
Organization

Turnover
in Crore
(Rs.)

Production
in Tons

Comments

100

10,000

2.

Kurl
On,
Bangalore
Duroflex

45

4000

3.

Century

40

3500

4.

Sleepwell

40

1500

5.

Coir Foam
Delhi

20

2000

6.

Relaxwell
Hyderabad

20

2000

Fully
Branded
Fully
Branded
Part
Branded
Part
Bare
Blocks (80 :
20)
Fully
Branded
Part
Branded
Part Bare
Blocks
Part
Branded

Part Bare
Blocks
7.
Restolex,
12
1500
Part
Bangalore
Branded
Part Bare
Blocks
8.
Coir
On,
12
1500
Part
Pollachi
Branded
Part Bare
Blocks
9.
Aerocom,
10
1500
Part
Bhubaneswar
Branded
Part Bare
Blocks
10.
Pyarelal
15
3000
Part
Products
Branded
Looking at the trend, it is observed that the top four players have most of their
business in the branded business and as we go down the ladder, the bare
blocks business becomes significantly better.
So far as the capacity utilization is concerned, an interesting phenomenon is
observed. The smaller players have higher capacity utilization (70% 90%)
where as the larger players have lower capacity utilization (40% - 60%). Of
course, during the peak seasons, most of the manufacturers operate at their
highest capacity (80% - 100%).
The total rubberized coir industry is about 50,000/- to 60,000/- tons per
annum capacity, which translates to approximately Rs.500 crore business.
While this is the average production figure, it has cyclical variations. A 1000
TPA manufacturer with 65% capacity utilization would produce 60 tons in
peak seasons and 50 tons in off-seasons. An 8000 TPA manufacturer with
48% capacity utilization would produce 4000 tons in peak and 2500 tons in
off- seasons. The study failed to find out any pattern in the cyclicality; In case
of higher extremes there would be a difference of 30% - 40% where as in
case of lower ones it would be 10% - 15%.
While there has been some growth for most of the manufacturers over the
last 5 years, there is no common trend. An illustrative chart is presented
below. It is clear from the chart 1 that in spite of few extremities, most
rubberized coir manufacturers have shown consistent growth over the last 5
years (8% - 15%).

Manufacturing Trend (illustrative)

4500

TPA

4000
3500

Series1

3000

Series2
Series3

2500

Series4

2000

Series5

1500

Series6

1000

Series7

500
0
2000 2001

2001 2002

2002 2003

2003 2004

2004 2005

Years (last five)

TOR 2. The technology available with the sector Identification of the

technological gap to improve the productivity and quality of the material
As mentioned earlier, the rubberized coir sector is not a technology savvy
sector neither any heavy investment was identified for acquiring the latest
requirements. About 1 2 crore of investment is the initial requirement to start
a rubberized coir plant. The block diagram of the plant and its explanation
provides enough evidence of the same. However, the productivity and quality
of the finished good (rubberized coir) depends to a large extent on the quality
of raw materials and the quality control measures adopted by the
manufacturing firms. While the technology availability and affordability is a
non-issue, the interest and desire on part of the manufacturers for quality
deployment is definitely a major issue. Most often all crib about quality,
maintain they ensure the best quality in face of all adversities and pass on the
blame to poor quality raw materials and its increasing cost. As such, the
industry does not suffer from any technology handicap and those
manufacturers who do not deploy the latest technology / quality measures, it
is due to their own wish rather than anything else.
Having said all these let it be stressed that quality of the output is again a
function of the local awareness and demand. While the national players
promote the brand in national media vehicles and hence, maintain some
minimum acceptable standards to ensure the brand value, the major local
players modulate their offering based on the demand of the local market. In

big cities / metros, where the awareness level of the consumers is relatively
high and the competition is rather fierce, the manufacturers oblige to have the
latest technology, quality measures etc. to capture more market share and
satisfy the customers. In smaller places, where the competition is from cotton
mattresses or ill-assorted coir / rubberized coir mattresses, the customers are
rather less aware and hence less demanding. Actually, this mattress being a
low involvement product, the consumers just do not care too much.
Consequently, the rubberized coir manufacturers in such places are less
quality conscious and they do not care to acquire the latest technology /
replace the depreciated machines as often as their big city counterparts. Their
only concern is to sell the items they produce in some way or the other. In
such cases, the quality and performance factors does suffer.

TOR 3. The manpower engaged in the sector

In smaller firms 20 - 40 people are engaged in production process, in
relatively larger firms 60 80 people are engaged in production process and
in case of large national firms, 100 150 people are involved.
The number of secondary / associated / official works, the engagement of
manpower is as follows. Small firms 10 25, medium firms 40 60 and large
firms 70 80.
While the national / larger players implement an adequate working condition,
facilities, compensation and benefits for their employees, the medium and
smaller manufacturers do not follow any standard HR policy. However, no
major dissatisfaction was identified among the manpower engaged by the
rubberized coir manufacturers.
TOR 4. The raw material availability the cost of raw material the rate
of fluctuation in the cost of raw material
The quality of raw material (coconut fiber) is considered to be moderate by
the manufacturers across the country. The major problems encountered by
the manufacturers can be detailed as follows.

Quality of Raw materials

60%
80%

Moisture
Dust & Pith
Length

53%

The rubberized coir manufacturers were asked to suggest a solution to the

above problem once and for all. The over whelming verdict seems to be
having some sort of minimum quality standard for the curled coir
manufacturers / suppliers (ISO / BIS etc.) and this has to be ensured by the
coir board. Some of them even suggested some kind of licensing /
certification by the coir board to the curled coir manufacturers making the
quality and price mandatory and binding on both the parties (rubberized coir
manufacturers and curled coir manufacturers / suppliers).
Most of the rubberized coir manufacturers (73%) purchase the raw materials
from curled coir manufacturers or middlemen while some (44%) have their
own agents to gather the raw material directly from the villages. Due to the
difficulty in acquiring quality raw material from time to time, 70% of the
rubberized coir manufacturers use more than 5 sources of procurement.
However, some long-term relationships are also observed among the
manufacturers and the raw material suppliers; 20% of the manufacturers rely
on 1 or 2 suppliers. The procurement from these above-mentioned sources
also follow two distinct patterns. While 40% of the manufacturers follow a
constant and consistent raw material procurement model (same amount
through out the year), the remaining follows a differential raw material
procurement model (more in peak seasons and less in off seasons; the
difference could be up to 50%). The reason could be ascribed to individual
production schedule / local demand / storage facility available etc.
The buying price of the raw material (curled coir) varies in a huge range
(Rs.7.00 to Rs.14.00 per kg.). Most often the manufacturers are rather
secretive about the actual purchasing price and they claim to have given the

best price to the supplier. However, on further probing, it was found out that
the prime reason of price fluctuation is the demand ~ supply gap. Apart from
that, the fluctuation in procurement price also depends upon quality of raw
materials, previous relationships, contracts (if there is any), and emergencies
on either side or bargaining power of the two parties concerned. As per the
experience of the rubberized coir manufacturers, the price of the curled coir
varies every few months and some times within few weeks too. They fail to
give any valid reasons for the same and they blame it on the whims and
fancies of the curled coir suppliers. The manufacturers put the rate of
fluctuation in curled coir price in the range of 10% to 15%. To counter the
problem of lack of availability of quality raw material in time, 50% of the
manufacturers stock excess curled coir and 30% manufacturers order 15% to
30% more than the required amount of raw materials on each reorder. The
remaining 20% manufacturer go for backward integration producing their own
raw materials or create long term tie ups with the suppliers.

TOR 5. The cost of production of different varieties of rubberized

coir products
The rubberized coir bare blocks is the only product produced by the
rubberized coir industry (in general). These bare blocks could be converted to
mattresses, pillows, cushions or packing materials etc. based on the
requirements which is more of a cosmetic change rather than any change of
technology. Of course there are different densities and different compressive
strengths associated with different usage; again these are minor modification
rather than any major change in process. Hence, technically speaking, there
is only one product out of the manufacturing process rubberized coir bare
blocks / sheets and the predominant end product is mattress (95%). Here two
different varieties of bare sheets are made available; the manufacturing cost
of the cheap one is Rs.40 / kg and that of the better ones is Rs.50 / kg. The
size of the mattresses are manufactured as per the BIS / ISI standards and
hence the manufacturing cost of a standard (single size) rubberized coir
mattress is identified to be Rs.1200/- to Rs.1400/- (good one) and Rs.800/- to
Rs.1000/- (cheap one). Of course this is dependant upon various overheads
(logistics and supply chain, manufacturers margin, channel margin etc.)
For a standard Rs.1200/- mattress, Average selling price to the distributors /
dealers is determined to be Rs. 1365/- (13 14% margin for manufacturer),
the average purchasing price for the retailer is Rs.1450/- (6 7% margin for
the dealer) and the average price for the customer is Rs.1665/- (14 16%
margin for retailer). Chart 3 illustrates the same pictorially.

Cost in Rupee

Cost of mattress along the channel

1800
1600
1400
1200
1000
800
600
400
200
0

1665
1450

1365

1200

Series1

Manufacturer - wholesaler - retailer customer

Most of the rubberized coir manufacturers opine that their own show rooms /
exclusive company owned retail outlets have been tried in the past and it has
proved to be infeasible. Hence, the distribution network function cannot be
done away with.
TOR 6. The taxes and duties applicable to the sector and impact of the
same on the sector
The tax rates used to vary from states to states (Kerala 4% and Orissa
15.46%). The tax rates after VAT is (12.5% + 1%) 13.5%. Even this tax rate is
considered too high by each and every rubberized coir manufacturer. Their
argument is rubberized coir industry is an agro-based industry and it supports
agricultural sector in rural area. It is not even a high profit business. Hence
this industry should be protected by the government of India and the Coir
board should play an active role to ensure some minimal tax rate for this
industry. Otherwise, the rampant tax evasion (non- registering of the
business, Stolen electricity, poor conditions for the labour and operating in low
cost model) would continue and only the tax players would suffer on the long
run.
TOR 7. The testing facility available with the center
The rubberized coir sector is not a technology savvy sector and hence,
testing is not required frequently. All manufacturers claim to have testing
facilities available with them to ensure adherence to BIS / ISI specifications.

Many of them who sell through coir board showrooms are further tested for
quality by the concerned officials. However, majority of these claims are
debatable as 60% of the manufacturers failed to demonstrate their testing
facilities. Indirect evidence shows corruption among the government officials
has made it easier for the manufacturers to evade the norms and sell low
quality products on many occasions.
TOR 8. The BIS standards and testing parameters comparison with
international standards
BUREAU OF INDIAN STANDARDS
The Bureau of Indian Standards (BIS), the National Standards Body of India,
is a statutory body set up under the Bureau of Indian Standards Act, 1986.
The Bureau is a body corporate and responsible for laying down policy
guidelines for BIS. It comprises of members representing the Industry,
Consumer Organizations, Scientific & Research Institutes and Professional
Bodies, Technical Institutions, Central ministries, State Governments and
Members of Parliament.
BIS (Bureau of Indian Standards), formerly known as Indian Standards
Institution, have adopted Code of Good Practice for the preparation, adoption
& application of standards. It has adopted many International Standards as its
National Standards eg., ISO 9000 Quality Management System Standards,
ISO 14000 Environment Management System Standards. It is also operating
Certification Schemes including certificates for machinery. This would help
maintain quality & standards & help gain a better image for the products.
The certification allows the licensees to use the popular ISI Mark, which has
become synonymous with Quality products for the Indian and neighboring
markets over the past more than 40 years. Presently more than 17000
licenses are in operation covering about 1100 products. It is largely based on
ISO Guide 28, which provides general rules for third party certification system
of determining conformity with product standards through initial testing and
assessment of a factory quality management system and its acceptance
followed by surveillance that takes into account the factory Quality
management system and the testing of samples from the factory and the
open market. A sizable number of Indian Standards have however, been
harmonized with ISO/IEC Standards and some are dual numbered as IS/ISO
or IS/IEC Standards.
The activities of BIS can be categorized as follows.

a)

STANDARDS FORMULATION

Indian Standards are formulated keeping in view national priorities,

programmes for industrial development, technological needs; export
promotion, consumer welfare, health, safety, etc. So far over 17000 standards
have been formulated in different technology areas.
b)

CERTIFICATION

1.
Product Certification - The product certification scheme is
basically voluntary in nature and aims at providing quality, safety and
dependability to the ultimate customer. Conformity is ensured by regular
surveillance of the licensees performance by surprise inspections and testing
of samples, drawn both from the factory and the market.
2.
Eco Mark - The Government of India had instituted a scheme in
February 1991 known as ECO mark Scheme for labeling environment friendly
products. This scheme is administered by the Bureau of Indian Standards.
3.
Quality Management Systems Certification (ISO 9000) - BIS
is a national agency authorized to operate Quality Systems Certification in
India. It has adopted ISO 9000 series of standards as IS 9000 series Indian
Standards, and aligned the procedure for operation of Quality Systems
Certification, based on international criteria and is comparable to any other
such systems being operated.
4.
EMS Certification - With the growing concern for environment
friendly industrial activity, ISO 14000 series of standards have been
developed. BIS, after adoption of these standards as national standards, has
launched Environment Management System (EMS) Certification (IS / ISO :
14001).
5.
HACCP Certification - BIS launched HACCP (Hazard Analysis
Critical Control Points) based Quality System Certification Scheme as per the
requirements of IS 15000 : 1998 standard (equivalent to Codex ALINORM
97 / 13A).
c) LABORATORY TESTING, CALIBRATION AND MANAGEMENT
The Bureau has a chain of laboratories located in different parts of the
country for conformity testing of certified products and samples offered by
applicants for grant of license which is an essential feature of BIS Certification
System. Modernization of BIS Laboratories has also been taken up.

d) STANDARDS PROMOTION

For a wider adoption of Indian Standards by the industry, organized

purchaser, statutory bodies and universities,
BIS has formulated a plan which emphasizes on :
- Development of complementary level of standardization, namely, company
standardization and association level standardization
- Effective implementation of standards through sectoral committees, such as,
steel, food, textiles, information technology, automotives and power.
-State Level Committees on Standardization and Quality Systems to ensure
better implementation of Indian Standards.
- Use of Indian Standards in legislation
- Greater interaction with public and private sector undertakings
- Bulk public purchases based on standards and standard marked products
- Use of standards in education systems
- Intensified media campaign to create awareness
e) INTERNATIONAL COOPERATION
BIS as a founder member of International organization for Standardization
(ISO) continues to take an active part in international standardization. BIS is
also actively involved in International Electrotechincal Commission (IEC) and
has participation status or observer status on all the important Technical
Committees.
f) BIS AND CONSUMERS
Service to consumers and creating quality consciousness among them BIS
has set up a Consumer Affairs and Public Grievances Department at
Headquarters. Nominated Public Grievance Officers at Regional and Branch
Offices to deal with consumer complaints against BIS services and ISI
marked products
g) ENFORCEMENT
To keep an eye on misuse of standard mark, an Enforcement Department is
functioning at HQs, with designated coordination officers in ROs and BOs.
Complaints on misuse of Standard Mark are investigated by the Enforcement
Department and appropriate legal action is taken.
h) RAW MATERIAL INSPECTION
All materials are inspected for mechanical and chemical properties by
verifying their certificates as per established norms.

PROCESS INSPECTION :
Total inspection is carried out on the components manufactured. Today we
can claim with Pride that we have effective quality control Inspectors ensuring
that only first class components are used in our products.

PRESSURE TESTING INSPECTION :

Each and every valve is invariably pressure tested as per required
parameters. In the final inspection, valves are being mounted on test beds to
ensure performance standards as per relevant codes / class.
PRESHIPMENT INSPECTION :
For making this program a success, adequate documentation is maintained
and provided pre-shipment.
A large number of operational elements of the BIS product certification
scheme correspond with the requirements of ISO Guide 65.
The broad areas of technologies now under certification are:
Textiles
Chemicals and Pesticides
Rubber and Plastic products
Cement and concrete products
Basic metals and fabricated metal products
Machinery and equipment
Electrical, electronics and optical equipment
Automotive components
Agriculture, food, beverages and tobaccos
Leather products
Wood products
Paper and pulp products
Testing instruments
Building materials
Pumping, irrigation, drainage and sewage equipment
After this discussion on BIS, let us have a brief ISO certification and its
significance.
How ISO standards benefit society
For businesses, the widespread adoption of International Standards means
that suppliers can base the development of their products and services on

specifications that have wide acceptance in their sectors. This, in turn, means
that businesses using International Standards are increasingly free to
compete on many more markets around the world.
For customers, the worldwide compatibility of technology which is achieved
when products and services are based on International Standards brings
them an increasingly wide choice of offers, and they also benefit from the
effects of competition among suppliers.
For governments, International Standards provide the technological and
scientific bases underpinning health, safety and environmental legislation.
For trade officials negotiating the emergence of regional and global markets,
International Standards create "a level playing field" for all competitors on
those markets. The existence of divergent national or regional standards can
create technical barriers to trade, even when there is political agreement to do
away with restrictive import quotas and the like. International Standards are
the technical means by which political trade agreements can be put into
practice.
For developing countries, International Standards that represent an
international consensus on the state of the art constitute an important source
of technological know-how. By defining the characteristics that products and
services will be expected to meet on export markets, International Standards
give developing countries a basis for making the right decisions when
investing their scarce resources and thus avoid squandering them.
For consumers, conformity of products and services to International
Standards provides assurance about their quality, safety and reliability.
For everyone, International Standards can contribute to the quality of life in
general by ensuring that the transport, machinery and tools we use are safe.
For the planet we inhabit, International Standards on air, water and soil
quality, and on emissions of gases and radiation, can contribute to efforts to
preserve the environment.
ISO and world trade
ISO - together with IEC (International Electro technical Commission) and ITU
(International Telecommunication Union) - has built a strategic partnership
with the WTO (World Trade Organization) with the common goal of promoting
a free and fair global trading system. The political agreements reached within
the framework of the WTO require underpinning by technical agreements.
ISO, IEC and ITU, as the three principal organizations in international
standardization, have the complementary scopes, the framework, the

expertise and the experience to provide this technical support for the growth
of the global market.
The WTO's Agreement on Technical Barriers to Trade (TBT) includes the
Code of Good Practice for the Preparation, Adoption and Application of
Standards. The TBT Agreement recognizes the important contribution that
International Standards and conformity assessment systems can make to
improving efficiency of production and facilitating international trade.
Therefore, where International Standards exist or their completion is
imminent, the Code states that standardizing bodies should use them as a
basis for standards they develop. The Code requires that standardizing
bodies that have accepted its terms notify this fact to the ISO/IEC Information
Centre located at the ISO Central Secretariat. Standardizing bodies having
accepted the Code must publish their work programmes and also notify the
existence of their work programmes to the ISO/IEC Information Centre. On
behalf of the WTO, ISO periodically publishes a directory of standardizing
bodies that have accepted the WTO TBT Standards Code.
ISO and developing countries
ISO standards represent a reservoir of technology. Developing countries in
particular, with their scarce resources, stand to gain from this wealth of
knowledge. For them, ISO standards are an important means both of
acquiring technological know-how that is backed by international consensus
as the state of the art, and of raising their capability to export and compete on
global markets. In addition to this general benefit of ISO standards, ISO has a
specific program for developing countries which consists of training seminars,
sponsorships/fellowships and publications. ISO also has a policy committee
on developing country matters, DEVCO, with a membership of nearly 100
standards institutes from both industrialized and developing countries.
How to recognize an ISO standard
An ISO standard can be anything from a four-page document to one several
hundred pages' long and, in the future, will increasingly be available in
electronic form. It carries the ISO logo and the designation, "International
Standard". In most cases, it is published in A4 format - which is itself one of
the ISO standard paper sizes.
What makes ISO 9000 and ISO 14000 so special
The ISO 9000 and ISO 14000 families are among ISO's most widely known
and successful standards ever. ISO 9000 has become an international
reference for quality requirements in business to business dealings, and ISO
14000 looks set to achieve at least as much, if not more, in helping
organizations to meet their environmental challenges.

The vast majority of ISO standards are highly specific to a particular product,
material, or process. However, the standards that have earned the ISO 9000
and ISO 14000 families a worldwide reputation are known as "generic
management system standards". "Generic" means that the same standards
can be applied to any organization, large or small, whatever its product including whether its "product" is actually a service - in any sector of activity,
and whether it is a business enterprise, a public administration, or a
government department. "Management system" refers to what the
organization does to manage its processes, or activities. "Generic" also
signifies that no matter what the organization is or does, if it wants to
establish a quality management system or an environmental management
system, then such a system has a number of essential features which are
spelled out in the relevant standards of the ISO 9000 or ISO 14000 families.
ISO 9000 is concerned with "quality management". This means what the
organization does to enhance customer satisfaction by meeting customer and
applicable regulatory requirements and continually to improve its performance
in this regard. ISO 14000 is primarily concerned with "environmental
management". This means what the organization does to minimize harmful
effects on the environment caused by its activities, and continually to improve
its environmental performance.
What makes conformity assessment so important
At its simplest, "conformity assessment" means checking that products,
materials, services, systems or people measure up to the specifications of a
relevant standard. Today, many products require testing for conformance with
specifications or compliance with safety, or other regulations before they can
be put on many markets. Even simpler products may require supporting
technical documentation that includes test data. With so much trade-taking
place across borders, conformity assessment has become an important
component of the world economy. Over the years, ISO has developed many
of the standards against which products are assessed for conformity, as well
as the standardized test methods that allow the meaningful comparison of
test results so necessary for international trade. ISO itself does not carry out
conformity assessment. However, in partnership with IEC (International
Electro technical Commission), ISO develops ISO/IEC guides and standards
to be used by organizations, which carry out conformity assessment activities.
The voluntary criteria contained in these guides and standards represent an
international consensus on what constitutes best practice. Their use
contributes to the consistency and coherence of conformity assessment
worldwide and so facilitates trade across borders.

TOR 9. The market potential for the product Domestic and International
To be described during presentation
TOR 10. The transportation bottlenecks faced by the sector for marketing the
products in domestic market
The survey results depicted lack of any major problems in transportation in
the domestic market. The issues whatever came up related to regional
infrastructure and facilities and are common to any business.
TOR 11. The prospects and avenues for the use of rubberized coir material
for bioengineering purpose, automobile industry, railways, construction
industry
Each of the 4 sectors was analyzed for the prospects of RC materials. In
bioengineering industry RC materials do not any specific utility; however, it
could replace thermo cool, cotton etc. that is used for packing purpose. As the
bioengineering industry by itself is in a nascent stage in India, it cannot
provide for a great avenue now. However, with the growth of the
bioengineering industry, scope could evolve. RC materials do not have any
use in automobile sector, as it is too rigid and voluminous for their purpose.
May be with some kind of slim and flexible RC material (New product), the
market could evolve. However, there is some opportunity in Bus and Truck
manufacturing sector for RC materials as the upholstery. Some
manufacturers have some interest in the product (on conditions of
anonymity). The RC manufacturers need to discuss the issue with the
regional Bus / Truck manufacturers for market development. There is a big
opportunity to replace foam in these sectors provided RC materials are more
manageable and cost effective. Technically speaking, there is no problem in
the RC material being used in the Railways. However, the issues are more
political than technical. The decision of upholstery in railways lies at the
regional level and manufacturing level. They refuse to entertain the RC
products citing some past poor quality incidents. This needs some effort on
the part of coir board and hard selling in political circles; not technical or
business decisions. In construction field there is not much enthusiasm for RC
materials, as the builders want the insulators / expansion joints etc. to be fire
proof. Again there is the need for new product research and development for
this market on conditions of feasibility.
TOR 12:The availability of machinery and equipments for the sector
For the current manufacturing process in RC factories by various
manufacturers, there is no problem in the availability of machinery and
equipments. However, if the new product research is undertaken, the scope
and requirements are quite unfathomable at this point of time.

TOR 13 :The diversified uses of the product and value addition undertaken in
various production line
The current uses of RC materials are more or less restricted to mattresses
and to some extent pillows and cushions. However, with the current
technology and manufacturing process, some value addition is possible by
developing and modifying the product lines. The options could be mats, anti
slip bath mats, Air filters, bolsters, pith as water absorber in plantation, sound
insulators, wall liners / interior design, scrubbers, theater seats, carpets etc.
TOR 15 :Identify and gather information on the unorganized sector in the
rubberized coir Industry
The TOR became a misnomer after due study of the industry. The whole
industry is basically unorganized. Apart from Kurl on, one cannot say any
other player in the Industry is truly national / organized. Consequently, the
concentration ration is very skewed. Hence, the industry is identified to be
heavily regional and unorganized. Now the unorganized sector looses all its
meaning and on further exploratory study, the data gathering was modified to
the unregistered sector in RC manufacturing (if possible). However, with the
amount of resources available, it was not possible to gather any information
on the unregistered sector.
TOR 14 :The strategy for the development of the sector, for improving the
marketing, production quality etc.
TOR 16 : Develop tactical as well as strategic focus with sustainable
competitive advantage
Both these TORs are taken together as they both intend similar thins and
same type of data / analysis is required for achievement of these objectives.
We divide this analysis into three parts.
1.
Customer study
2.
Retailer study

STUDY OF CUSTOMERS
1.Customer Demographics : The average customer of Mattresses in general
and RC mattresses in particular is predominantly younger population (below
30) followed by 40 60 age group and 30 40 age group. Most of them are
educated (graduation post graduation level / professional) and middle class
or below category (below 2 lakh / 2 5 lakh annual income); average family
size 4 to 6 (relatively large). In larger cities / metros it is a family decision
(male female equivalent) where as in smaller towns it is predominantly a male
decision.

Interpretation
The customers are young and hence open-minded and in early stages of
family life cycle. They are educated and hence easier to communicate and
convince. They have reasonably good income and hence once convinced of a
good bargain, purchasing power is not an issue. Anyway, when the
consumers can much more than the required amount for RC mattresses for
various white goods and luxury items, there is no reason to think high price is
the only reason why they would not purchase RC mattresses. They have
relatively large family contrary to nuclear family / small family rumor and
predominantly male is the purchaser even though some other family member
could be the initiator / decider.
2.Mattress usage :So far as the current mattress usage is concerned, a
significant 18% of the customers are not aware of the type of mattress they
are using (range 7 to 24%). From those who are aware of the mattresses type
that they are using, Cotton mattress tops the list followed by rubberized coir
mattresses. Foam mattresses, Spring mattresses and coir mattresses are
small niches among the bigger players (smaller cities coir is more dominant
where as bigger cities spring is more dominant).
Brand Awareness :
The brand awareness study for the current
mattress usage was a big revelation. Around 41% of the consumers are not
aware of the brand of mattress that they are using (Range 28 to 48). From
those who are aware of the brand of mattress that they are using, a
staggering 45.5% consumers are using unbranded / generic brands and only
24.7 % consumers are using the Kurl On brand. The other brands are
sparsely distributed among sample with minimal percentage.
Unaided / Aided Recall : Only three brands feature nationally as part of
unaided recall. Kurl On being number one (80%) followed by Sleepwell (46%)
and Duroflex(40%). Apart from that, some brands did have regional presence
only (Bangalore Restolex, Bhubaneswar Century etc.). On aided recall
again the same three brands featured predominantly with an increased
percentage of recall. (Kurl On 93%, Sleepwell / Duroflex 78%)
Interpretation
There is a huge untapped market which is lying without awareness or so
little awareness that they prefer unbranded / generic brands. This also could
be due the lack of importance ascribed by the consumers to mattresses in
general in their list of priorities and this is a pattern all over the country. So the
immediate requirement is an campaign to educate the consumers in
mattresses generally and branded mattresses particularly. Apart from the top
three brands (Kurl on, Duroflex and Sleepwell), the other brands have also
lots of scope for cross state / national presence.

3.Consumer psychographics with mattresses :Most often the

customers use the mattresses for almost 11 years (Range 8 to 14 years).
Most of the consumers purchased their mattresses by themselves on some
context or other (51%) followed by a marriage gift (28%). Invariably the first
mattress of target samples has been RC mattress (26%) followed by Cotton
(20%) and foam (23%). Most of the respondents (63%) have felt the price of
the mattresses to be average. More than 80% of the consumers are satisfied
with their first mattress. The problems they encountered with their first
mattresses include not washable / wash proof (> 55%) and heaviness (>
25%). Currently most of them are using RC mattresses (27%) followed by
Cotton mattresses (20%). However, niches are available in foam and spring
segments. Again as much as 43% consumers displayed their ignorance
regarding the type / brand of mattress they are using currently.
Interpretation
Mattresses are being used for too long; even much after the specified life
span of the mattress. This also leads to the dissatisfaction of the customers
and the complaint behaviour later on. There needs to be some awareness
campaign about the life span of different types of mattresses / expiry date
specification etc. with the disadvantages of using a expired mattress. It not
only helps better replenishment; market size also improves considerably. A
comparative picture has to be presented to the target consumer with RC,
Foam and Cotton to prove the superiority of RC mattresses. Once this
educational campaign is effective, the brand comparison could be presented.
Also the wash ability / Wash proof facility needs to relooked at more seriously
through consumer education or modified manufacturing process.
4.Consumer decision-making process while purchasing mattresses
Consumers realize there is a need for the mattress more due to the current
situation / problem than any future advantages / benefits. The most important
reason is the mattress loosing shape (52%) followed by pain in the back /
neck and based on doctors advice (51%). Faced with the need for mattress,
44% customers just go to the nearest mattress shop and purchase the
needful; 43% visit a few shops to compare across brands and see for
themselves and 29% talk to some known people who are already the
customers of mattress. Once the consumers have the required information (to
their satisfaction), they go for evaluating the alternatives available to them.
However, most often their evaluation process is compensatory in nature.
Consumers consider shape, size, weight, brand name, price, reliability of the
manufacturer as well as retailer, warranty etc. while evaluating a brand and
choose their brand. Most often they try to eliminate the risk by going for a
reliable manufacturer / retailer. The involvement level of consumers is much
less in case of mattresses and hence, retailer plays a very significant role in
the purchase decision. So far as the post purchase behaviour of the customer
goes, three major complaints stand out. They are weight of mattress (63%),
loss of shape (62%) and being hot and uncomfortable to sleep (55%). In case

of dissonance, most customers (62%) vow never to buy that brand again /
buy from that store again. They also would warn their known ones against
such a mistake (42%). Some customers also opined to repeat complaints to
retailer / manufacturer till they attend to it (52%).

Interpretation
For improving the demand of the mattresses, current conditions have to
be highlighted. Situations arising out of heavy mattresses, loss of shape,
excessive heat etc. need to be emphasized. Doctors in the local areas
(general practitioners and orthopedic specialists need to be targeted by the
manufacturers / retailers. Retailers need to be given special attention by the
manufacturers in terms providing information, educating the customers and
making them satisfied. The quality measures of the manufacturer / retailer
(service standards inclusive) need to be highlighted clearly and emphasized.
A comparison strategy with the industry level competition need to be
developed by the manufacturers and communicated to the retailers /
consumers through various trade promotion channels and mass media. The
major complaints including the lack of service facilities need to be addressed
on an emergency basis by the manufacturers.

STUDY OF RETAILERS
Retailers of rubberized coir and other types of mattresses were surveyed
in 7 cities, viz. Bangalore, Chennai, Delhi, Cochin, Hyderabad,
Mumbai and Bhubaneshwar.About 30 from each city were surveyed. ***

1.RUBBERIZED COIR MATTRESS

In terms of sales volume and sales value, Bhubaneshwar Retailers reported
maximum sales for Rubberized coir (RC) mattress at 82% and 80%
respectively. Here, RC was used mainly by upper class segment. Margins
were relatively low at 9% (compared to a maximum of 30% in other cities),
and average amount spent was in the middle of the range at Rs. 3616.Kurl
On and Sleepwell were the two most popular brands here.
Hyderabad reported even higher sales revenue at 83% of all mattress sales,
but volume wise only 39%. Margins were in mid range at 19%, with almost
similar profile of consumers buying, but average amount spent was the
highest at Rs. 4886,justifying the high sales revenue. The same two brands
topped here too.

Bangalore came next with 58% of sales by both volume and value, with a
relatively modest margin of 11% but with second highest average amount
spent at Rs.4308.
Cochin had a middle order turnover of RC with both volume and value at 49%
and 53%. It had a relatively low margin at 10%, with second lowest cost at Rs
1984 next only to Chennai. The fact that cost is higher than Chennai may be
due to higher rentals and wage costs at Cochin. But supply proximity has
helped in higher turnover than at Chennai.
Chennai and Mumbai retailers report a fairly low sales both volume and value
wise at around 37%. But Chennai had a 30% margin and Mumbai 15%. This
was because Chennai had a cost advantage of Rs.1884, with Mumbai at
Rs.2173, while the average amount spent was almost the same.

BRAND EFFECT:
Delhi registered the lowest penetration with sales at 13% to 14% with many
brands. The fact that RC is most suited for Delhi, which is hot climate, but
registered low presence is explained by the absence of clear brands. Many
brands in effect means no brand. Absence of Brand clearly leads to low sales.

*** Exact No. of retailers surveyed :

Cochin-35
Bangalore-30
Chennai-30
Delhi-30
Hyderabad-27
Mumbai-26
Bhubaneswar-23
2. COTTON MATTRESS
Bhubaneswar recorded the highest with 48% and 56% in terms of sales
volume and value and it was mainly used by lower and middle class with the
dominant brand being DURGA. Margin was almost midway at 25%.Average
amount spent was the lowest at Rs.680,confirming the law of demand.

Next, in the line is Chennai with volume and sales being almost the same at
42% and 41% respectively which was mainly used by middle and upper
classes. Margin was as low as 18%.Average amount spent was second
highest at Rs.1364.The retailers reported dominant brands as being Kurl on
and Duroflex. Since they do not manufacture cotton mattress, it implies that
either the retailers have a low sensitivity to brands themselves, or that they
fool the customers by falsely branding unbranded products.
Cochin enjoys a volume and sales at 38% and 33% respectively. Margin was
quite low at 10% .Average amount spent, which is a reflector of price was the
highest in Cochin at Rs.1569.The retailers reported many names for brand
with no single name being dominant.
Hyderabad reported about 34% sales but had an inexplicable 58% margin,
against 18% for Chennai. Hyderabad reported NO BRAND while Chennai
reported Kurl on and Duroflex. Average amount spent was between 12-14000
Bangalore sold 30% of its mattress as cotton mattresses realizing 30% of
value, and 16% margin. As in Hyderabad, in Bangalore also they were sold
without brand, Average price was Rs, 1200.
Mumbai sold about 18% and Delhi 6%,with a margin of 10-12%.They also
reported brands such as Kurl on, Sleepwell and Shakti. While Mumbai
reported Rs.1071 as average amount spent, Delhi reported Rs.1166.
3. FOAM MATTRESSES
For Foam mattress, Delhi reported the maximum sales, both volume wise and
value wise at 45%,followed by Chennai and cochin at 39% and 36%.Average
margins ranged from 10% to 27%,with Hyderabad having the latter(big
margin).in Bangalore and Chennai, MM foam was most popular followed by
Sleepwell, whereas in Hyderabad, Mumbai and Bhubaneswar Kurl on was the
leading brand with Sleepwell being the next in Mumbai and Bhubaneswar and
MM foam being the next in Hyderabad.In cochin,Coir on was the leading
brank, followed by Kurl On.
There is considerable variation in average expenditures on Foam Mattresses
in various cities. It was high, varying between Rs.5,400 and Rs.7,200 in
Bhubaneswar, Hyderabad and Bangalore whereas it was relatively low,
varying between Rs.2,000 and Rs.2,700 in Chennai, Delhi, Cochin and
Mumbai. While the high price in Hyderabad was explained by the highest
margin at 27%, the high price for Bangalore and Bhubaneswar is not fully
explainable.

4. COIR MATTRESSES
While no retailer of the Foam and RC mattresses stocked Coir Mattresses in
Bangalore and Bhubaneswar, retailers in other cities seem to have sold
between 13 and 55% by volume/value. Even here, retailers have reported
brands like Kurl On, Sleepwell, Duroflex and Restolex. The prices have varied
from Rs.2000 to Rs.3400.
5. SPRING MATTRESSES
These occupied the minimum fraction (6%) in Bhubaneswar and maximum
(36%) in Chennai. One reason: price, which was highest in Bhubaneswar (at
Rs.10,318) and lowest in Chennai (Rs.2,250). But in Bangalore too the price
was high at Rs.9583, but the share was also high at 18%, probably due to
high income from IT sector.
Springwell was the leading brand in 3 cities, Bangalore, Chennai and Cochin;
Kurl on was the dominant brand in Mumbai and Bhubaneshwar; Sealy in
Hyderabad. Delhi had no single brand dominating. Sleepwell and Springtek
were also popular in Mumbai and Bangalore respectively. The purchases
were mainly from Upper and Middle class customers.
6. POPULARITY
Rubberized Coir (RC) mattresses were popular in Bangalore, Bhubaneswar,
Hyderabad, Delhi and cochin (score ranging from 1.2 to 1.5, lower the score
more the popularity); but they were not as popular in Chennai and Mumbai
(both humid areas). Cotton mattresses were most popular in Delhi, followed
by Bhubaneswar, but were least popular in Hyderabad. Foam mattresses
were popular in Chennai, Bangalore and Delhi but were least popular in
Hyderabad. Though both Delhi and Hyderabad are hot cities, and Foam is
not appropriate for both the cities because it gives out heat, Foam was still
popular in Delhi. This may mean several possibilities; many homes using
form mattresses also had air conditioning; that many in Delhi were stealing
electricity, etc! However it is to be noted, that the score for RC was lower
than for Foam in Delhi, establishing the superiority of RC in countering heat.
Coir mattresses were very popular in Bhubaneswar, followed by Chennai,
Delhi and Mumbai, and ironically they are least popular in Cochin, the city
closest to availability of raw material. Spring mattresses are popular in Delhi,
Cochin and Mumbai whereas they are not popular in Chennai, and
surprisingly they are not quite popular in Bangalore also, where you would
associate a popularity with higher income. We are discounting Bhubaneswar
figure, because though it was ranked most popular (probably in a few shops,
which responded to that question), the overall sales volume or value is quite
low.

7. PERFORMANCE
The performance of retail outlets in terms of various parameters like sales
volume, profitability, return on investment, etc. was ascertained. Most of the
units reported medium performance, except in Mumbai where about 50%
reported high performance and the other 50% medium performance. In
Bhubaneswar also about 40% of outlets reported high performance. In terms
of marketing efforts, this means that focus on Mumbai can pay bigger
dividends.
In terms of proportion of customers who actually end up buying, Mumbai had
72%, Hyderabad 67%, Bangalore and Delhi around 53%, Chennai 46%,
Bhubaneswar 38% and Cochin 9%. The Coir Board may pay attention to the
low % cities and find out the reasons for many customers merely window
shopping in these cities.
8. COMPLAINTS, HANDLING AND CONSUMER SATISFACTION
Bhubaneswar received the largest complaints relating to RC, followed by
Cochin (the same two cities where the actual buyers were the lowest).
Chennai and Bangalore were next, where the complaints on RC were similar
in magnitude with other mattresses. In Delhi RC received less complaints
compared to Coir and Foam and was handled in equal measure, giving
appropriate level of satisfaction. In Hyderabad, RC received about half the
number of complaints compared to cotton mattresses and one fourth overall,
and handling was better. In Mumbai RC received much less complaints
compared to Coir, but handling was inadequate.
The cities having maximum complaints also are the same cities where the
proportion of RC sales is maximum. This may imply that customers are sold
RC on false promises and wrong information, and that as a result of this,
consumers experience a high cognitive dissonance (post-purchase regret).
This is an important area to be attended to, as this may be one of the factors
which is crucially limiting the scope of sales of RC.
9. TESTING OF VARIOUS HYPOTHESES
The following questions / statements were put to the retailer and their
agreement was
recorded on a 5 point scale. 5 Agree most; 1 agree least:
a. To what extent the retailer interacts with the consumers and various
market forces to identify the types/brands demanded in the market and
then locates the manufacturer/supplier for such categories of products
and approach them for business deal.

Bangalore dealers were most diligent; Delhi, Mumbai and Hyderabad came
next; and Cochin, and Chennai lower and Bhubaneswar, the least. This
would mean that any sales promotion should begin in Bangalore, Delhi,
Mumbai or Hyderabad.
b. In every mattress category, consumers are most price sensitive.
By and large every one agreed with this; affirmation was slightly more for
Bangalore, Delhi and Bhubaneswar.
c. Generic / unbranded products have poor quality and hence they
spoil the image of the store.
Cochin, Hyderabad and Mumbai agreed strongly (4); Bangalore agreed least
(2). Agreement with the above Statement, implies two agreements: 1. Generic
products are of poor quality. 2. Poor quality hurt the image of the stores.
The general agreement with this Statement, along with better performance
when there is no brand clutter, explains the motivation for the retailers to sell
branded products. But when products are sold under false brand names, it
means that retailers expect that the effect of (1) is much more than the effect
of (2), that tempts them to take the risk of losing the image. That this indeed
happens is testified by the large number of complaints.
d. Consumers come to the stores with a specific product in mind, only
the brand choice is done here based on the choices available and their
budget.
Mostly agreed upon by all the retailers.
e. Dealers approach me to keep their brands in my store. I look at the
saleability of their brand and then make a deal.
Mostly agreed upon by all the retailers.
f. Most often consumers awareness regarding mattresses, brands etc.
is next to nothing.
Almost all city retailers agree, except Bangalore retailers. This implies, that
except in Bangalore, in other retail outlets, there is potential for retailers to
exploit the consumers ignorance about brands by selling unbranded products
as branded products.
g. Consumers are particularly brand conscious while purchasing
mattresses.
This is related to the previous question, and we got consistent answers.
h. 90% of consumers make their final purchase decision based on
retailers recommendation.
Almost all agree. All these put together, mean 1. that brands act as a big
entry barrier to the sale of RC, most of which is in the unbranded segment. 2.
the retailer is most important link in the sales chain, and proper incentives
should be given to him to sell more RC. The RC industry faces two tough
choices: 1. increase the price, and give bigger margin to the retailers 2.
Decrease the price and increase the penetration in the market , displacing
cotton mattresses, providing greater appeal to consumers directly.

i. I push those product categories / brands where my margin is more

Delhi retailers expressed greatest agreement (therefore greater margin
sensitivity) while Bangalore retailers expressed least agreement, while the
other cities were in the middle. Overall there was lukewarm agreement (with
a score of 1.5) implying that everything is not decided by margin or at least
they do not want to say so.
j. Manufacturers are most often least interested to handle the
customer complaints
Delhi retailers agreed maximum (3.8) while most others were middle of the
ground, and Bangalore retailers again least agreeing.
k. Manufacturers actively seek out and provide all kinds of support to
the retailers for the better performance of their products/brands in the
market
There was a healthy overall agreement to this (3), with Hyderabad,
Bhubaneswar, Delhi and Cochin strongly agreeing and Mumbai showing
maximum circumspection (2).
10. Peak and off peak season sales:
The retailers reported that each shop sold an average of 222 mattresses per
month, during peak season, but there was wide variation between the
averages in different cities, with their % shown as follows:
Mumbai 44.7; Bhubaneswar 25; Delhi 11.3; Hyderabad 8.3 and the rest of
cities reporting small share. Large share for Bhubaneswar is a surprise.
During off peak season, they sell an average of 148 mattresses per month,
with roughly the same share for different cities. This gives an indication of
where to concentrate marketing and for RC mattresses.
11. What should be done to sell more mattresses?
Retailers have suggested various measures like advertisement, quality
improvement, better service, reasonable price, increasing the awareness and
better complaint handling. Bangalore and Chennai have given highest
importance to quality improvement, and next importance to advertisement.
Retailers of other regions have given maximum importance to advertisement.
On the whole, more advertisement seems to be the imperative.
12. Advice to RC manufacturers to remain competitive:
Advice given mainly is to give stress on advertisement, and next to
reasonable price, warranty, increase in price margin (to them) and giving
freebies and prizes.

Performance of Coir Board Outlets

` There are 33 Coir Board outlets in various cities in India. Over the past 5
years, all the retail outlets of the Coir Board had a sales target of Rs.12.24
Crores for the 5 year period 2000-01 to 2004-05. They realized only 66.7% of
the target. Secondly, sales have been declining consistently, uniformly and
without exception, in all the outlets, even on nominal terms (i.e. at current
prices) (See graphs for individual outlets).
AGGREGATE
1400
1282
1200

1000

1225

1277

1231

1164

984.83

SALES AND TARGET

928.55

800
736.09

762.54
AGGREGATE TARGET

692.44

AGGREGATE SALE

600

400

200

0
2000

2001

2002

2003

2004

YEAR

Government market is a small, but growing, if erratic market. This is also a

captive monopoly market for the Coir Board, where no special marketing
efforts are needed. On the other hand, private market is the bigger market,
and here the share of Coir Board is declining.

Positive features: Many institutional buyers seem to prefer Coir Board.

Some of these institutional buyers are Engineering Colleges, Textile shops,

Departmental stores, Private society etc. They come because of the

confidence they have in Coir Board, particularly in quality. [However, we
heard owners of RC branded products expressing that Coir Board shops
promote inferior quality unbranded products at the expense of branded
products, by receiving kickbacks to sell them. It was not possible to verify this
assertion.]
Lessons:
It appears that since they are enjoying the security of job, the Coir Board
employees by definition cannot perform better. Coir Board show rooms are
in the best of business localities, but are performing much poorer than their
private sector counterparts. For instance all of them are making losses and
are requiring subsidies. Subsidies in turn lead to cost control, cost-side
orientation instead of revenue side approach, and results in bureaucratic
controls and rigidity. Market orientation is totally absent. For instance, major
advertisements are done centrally. Pricing decisions are done centrally.
It would be a good idea for Coir Board to have a programme of phasing out
the retail outlets, and promote Coir and RC products generically, through
marketing only.

QUESTIONNAIRE

Questionnaire for manufacturers of rubberized coir

mattresses:
Dear Sir/Madam,
On behalf of Indian Institute of Management Bangalore, a survey is being
conducted on the mattress industry in seven different states in the country.
The study has been organized by the Coir Board and the Rubberized Coir
Manufacturers association. The purpose is to provide direction to the
disorganized mattress sector and ensure their long-term survival. I am
entrusted with the survey in this city. Please spare a few minutes of your
valuable time to fill up the questionnaire given below. The information given
by you will be kept confidential and used strictly for above said purpose. Hope
you will feel free to cooperate in this effort. Thank you.
1. In which year was your manufacturing unit set up?
2. How do you rate the quality of the available raw material fibre?
a)
Low b)moderate c)good d) very good
3. If low or moderate, how do you ensure quality production? What would be
your suggestion to solve this problem once and for all?
4. What is your source of procurement of fibre?
5. Do you use multiple sources of fibre? If yes, then please mention the
number of sources of procurement of fibre.
6 Number of times of procurement of fibre is done per month in peak
Seasons. and the number of times in off seasons
7 Average price of procurement per quintal.
8 Based on your experience price of fibre varies every
a) few weeks b) few months c) year
9. How do you ensure the procurement of fibre in time to meet your
target?
10. The number of employees employed in you firm for production process
... and the number of employees in the secondary associated
processes
11. Please indicate the installed capacity of your plant % of capacity
utilization .. , the average number of mattresses produced per month
during peak seasons and average number of mattresses produced per
month during non peak seasons ..
12. In the current scenario, every one is wondering what is the market size
of the mattress industry and how it is evolving over the years. In order to
determine that assume your average annual production before 5 years as X
and fill up the table below (please give the accurate approximation)

2000

2001

2002

2003

2004

X
13. Average price of production per mattress ..
14. Average selling price to the distributor / dealer per mattress
15. Average purchasing price for the retailer per mattress
16. Purchasing price for the end consumer per mattress
17. Are there any trade discounts / promotions for your products? If yes,
please give details.
18.Different types of distribution system are observed in the rubberized coir
mattress industry. For your firm, distribution of mattresses is done through
a) Manufacturer Distributor Dealer / Retailer Consumer
b) Manufacturer Dealer / Retailer Consumer
c) Company owned outlets
d) Any other (Please specify)
19. How do you decide for a margin for the retailers / middlemen? Do you
think, you give a market driven or higher than market margin to retailers? Do
you give any incentives to retailers?
20. Rubberized coir can be used for manufacturing different types of end
products. Please suggest a few others apart from mattresses that can be a
success in the market.
21. The end product (mattress) is distributed in
a) The home state
b) Other states in India
c) Outside India
22. What kind of problems do you come across in exporting your products.
Please give some significant problems and the best solutions to those
problems according to you.
23. How often do you change the machinery that is used in
manufacturing?.....
24. The rubberized coir product industry is not technology savvy. However,
like most industries, in this industry also, manufacturers must be updating the
technology involved to come up with better quality and more acceptable
innovative products. Please share your experience in this regard.

25. During this project, I have frequently come across the complaint of
irregular and irrational tax rates across the country. What is your experience
and opinion in this regard?
26. Now-a-days every manufacturing concern is eager to maintain
impeccable quality standards all around. Therefore, ISO certification, BIS
standardization and many such other quality standards are maintained by the
firms. What is your experience in this regard? Please share a few details.
27. Many companies do supply bare locks of rubberized coir to small time
manufacturers, distributors, retailers etc. for various reasons. What do you
think are the major reasons?
28. These purchasers of bare blocks, add a few fringes and resell the
mattresses to the end consumers. This leads to the creation of unorganized
sector, evasion of margins and taxes and ultimately all manufacturers loose
out. Do you agree to this argument? Give your reasons.
29. Please give the name and details of at least five unorganized /
unregistered players of your area.
30. Do you give any discounts / schemes to the consumers from time to
time? Yes, Please elaborate.
31. What complaints do you most often receive after sale? What is the
company policy of handling complaints?
32. Where do you see the future of rubberized coir industry? What is
needed to be done on individual and group level to improve the condition of
this industry and give it a proper national as well as global recognition?

Questionnaire
mattresses:

for

retailers

of

rubberized

coir

1.Location of the store.

2.What are the different merchandise you keep in your store? Few options
are given below. Divide 100 points among the options based on the volume of
each category of merchandise that you keep. Also divide another 100 points
among the categories based on the volume of each category of merchandise
that you sell per annum.
Volume stored
Sale volume
a)
b)
c)
d)
e)
f)

Cotton mattress
Foam mattress
Coir mattresses
Rubberized coir mattresses
Spring mattresses
Any thing else

3. Some product lines in the mattress industry are mentioned below. Please
give the average margin that you derive per product categories. Also mention
2 of the best selling brands in each category.
Margin
Brands
a) Cotton mattress
b) Foam mattresses
c) Coir mattresses
d) Rubberized coir mattresses
e) Spring mattresses
f) Any thing else
4. For our retail market segmentation process, we would like to place your
store in one category. Normally, the performance of stores is measured in
terms of Sales volume, profitability, return on investment etc. Based on any
such measure of performance, where would like to place your store.
a) High performance
b) Medium performance
c) Low performance
5. Please rank the different product lines on the basis of their popularity /
sales volume in the market / your store.
a) Cotton mattress
b) Foam mattresses
c) Coir mattresses
d) Rubberized coir mattresses
e) Spring mattresses
f) Any thing else

6. Normally what types of consumers purchase what type of mattresses? A

list is given below. Please make the choice based on your experience. Also
please mention the average amount of money spent by the consumers on
such purchases per store visit.
Consumer type
Amount spent
(Upper / Middle / Lower)
a) Cotton mattress
b) Foam mattresses
c) Coir mattresses
d) Rubberized coir mattresses
e) Spring mattresses
f) Any thing else
7. Say in a typical day, 100 consumers visited your store. How many would
actually purchase?
8. Do consumers complain a lot after purchasing the mattresses? How would
you divide 100 points among the various categories of mattresses so far as
the level of customer complaints are concerned. Also divide 100 points
among the same categories so far as effective handling of complaints and
resultant consumer satisfaction is concerned.
Consumer complaint Complaint handling
Consumer satisfaction
a)
b)
c)
d)
e)
f)

Cotton mattress
Foam mattresses
Coir mattresses
Rubberized coir mattresses
Spring mattresses
Any thing else

9. Some statement are given below. Rate the statements in a 5-point scale
based on your degree of agreement. 1 represents least agreement and 5
represents full agreement.
a) Normally, I would interact with the consumers and the various market
forces to identify what product types / brands are demanded in the market,
then I would locate the manufacturer / supplier for such categories of products
and approach them for business deal.
b) In every mattress category, consumer are most price sensitive.
c) Generic / unbranded products have poor quality and hence they spoil the
image of the store.
d) Consumers come to my store with a specific product in mind; only the
brand choice is done here based on the choices available and their budget.
e) Dealers/ distributors / manufacturers approach me to keep their products /
brands in my store; I look at the salability of their brands and then make a
deal.

f)
Most often consumers awareness regarding mattresses, brands etc, is
next to nothing
g) Consumers are particularly brand conscious while purchasing mattresses.
h) 90% of the consumers make their final purchase decisions regarding
mattresses based on retailers recommendation
i) I push those product categories / brands where my margin is more.
j) Manufacturers are most often least interested to handle the customer
complaints.
k) Manufacturers actively seek out and provide all kinds of support to the
retailers for the better performance of their brands in the market.
10. a)How many mattresses would you sell per month during peak seasons
and what would be the average selling price per piece? How many you think,
you can sell per month?
b)How many mattresses would you sell per month during non peak
seasons and what would be the average selling price per piece? How many
you think, you can sell per month?
11. What do you need to be able to sell the number of mattresses you claim
to sell in the previous question?
12. what would be your advise to the rubberized coir mattress manufacturers
to be able to remain competitive and maintain their survival over the long run?
13. Please give the name and details of at least five unorganized /
unregistered players of your area.

Questionnaire
mattresses:

for

consumer

of

rubberized

coir

1 . Your age a)below 30 b) 30-40 c) 40-60 d)above 60

2 . Sex male / female
3 . Education a)Below Graduation b)Graduation Post graduation
c)professional
4 . Income per annum
a) below 2 lakh b) 2lakh 5 lakh c)5lakh 10 lakh d)above 10 lakh
5 .What type of mattress do you use?
a.
do not know
b.
pure foam
c.
spring mattress
d.
coir mattress
e.
rubberized coir
f.
cotton
g.
anything else
6. Are you aware of the brand of mattress you are using?
If yes please mention the brand / it is not a branded mattress
7. Please write 5 brands of mattress that you are aware of.
8. Please fill in the blanks below:
I have been using mattress for the last .Many / years. The first
mattress I used was . It was.(purchased by me/ gifted/ came with the
bed) mattress and it was.(foam/spring/rubberized coir). The mattress was
used for ..Years and its performance was .(satisfactory/ unsatisfactory). It
was (Costly/ average price/ rather cheap).The major problem with the
mattress is/was
(unshapely / too hot/ too heavy/ not washable/ not as per the size of the bed)
Currently I am using ..mattress and I have to say it can be .
(suggest improvement)
9. once you realized there is need for a mattress what would you do?
a. go to the nearby shop and purchase it
b. collect information about the cheapest brand
c. talk to some known people who have purchased mattress in the recent
past
d. visit a few shops and see for yourself the mattress market
e. wait for sometime to get a good offer and then decide
f. anything else
10. When you go to the soap to purchase a mattress, how would you decide?
A few options are given below. Rate each of the option in a 5 point scale
where 1 represents least agree and 5 represent most agree.
a) I would go for only the well known brands
b) I would decide the amount of money that I want to spend beforehand and
any decision has be within it
c) I would go for the cheapest product available and would not care for the
brand

d) It is best to evaluate the available product from holistic point of view

e) The ideal way to select any brand is to decide what you look for in a
product, compare all the available brands on the pre decided criterion and
choose the best
f) My mattress should stand out from the rest and hence I would buy that
one which has some unique features.
11. Now a days one cant trust any brand. There is an embedded risk in each
purchase. Some ways are given below to reduce the risk. Divide 100 points
among the options based on the amount of significance you would ascribe to
each parameter.
a. Seek as much information as possible before purchase
b. Always be brand loyal
c. Choose that brand which has the best image among the consumers and
retailers
d. Go to the most reliable store and purchase based on the recommendation
of the retailers
e. Buy the most reliable brand
f. Buy the brand which has the maximum guarantee/ warranty
12. Some of the major problem faced by the people so far the mattress are
concerned are mentioned below. Rank the problems based on their frequency
of occurrence.
a) The mattress loose shape
b) The mattress is too heavy to handle
c) The is too heavy to sleep on during summers
d) The mattress is rather uncomfortable to sleep on
e) The mattress is harmful for health; causes back pain spondelytis
f) The sellers claim its washable; apparently it is not
g) The mattress seems too costly for its quality
h) Retailer and manufacturer do not attend to the complaint
13. Please rate the characteristics of different mattress in a 10 point scale
Weight
1: very heavy
10: very light
Volume
1:very voluminous 10:less voluminous
Price
1:costly
10:cheap
maintenance 1:easy to maintain 10:difficult to maintain
Compression 1:low
10:high
Product
weight
volume
maintenance
compression
Coir
Rubberized
coir
Spring
Pure foam
14. According to you, what is the normal time period for replacing ones
mattress?

BIBLIOGRAPHY
BOOKS: