ALAPPUZHA : Union Minister of State for Commerce Jairam Ramesh has said the State has failed to implement effectively the Rs.56-crore project sanctioned by the Union Government in 2004 for the development of coir clusters in Alappuzha district.

At a press conference here on Thursday, Mr. Ramesh said the project, which should have been in the final stages now, was only in the beginning stage. The Centre had promised to provide Rs.42-crore aid for the project. The remaining amount had to be shared by the State Government and beneficiary groups.

He said his Ministry would help the Coir Board organise India international coir festival in the State every year. The first coir festival would be held in Alappuzha in October 2007, said Coir Board chairman A. C. Jose who accompanied the Minister.

The Minister said the festival would attract foreign buyers to the State and would help the coir industry. Mr. Ramesh said the Union Government declared Alappuzha as a Town of Excellence regarding coir. He said the development of the coir sector was possible only through the concerted effort of Union and State Governments.

Mr. Ramesh promised significant aid from the Union Commerce Ministry for the coir sector and cash crops, if the Government submitted projects. The Minister said export of coir products from the country was showing a steady increase. The country earned an income of Rs.590 crore from export of coir products.

The Government expected an export income of Rs.700 crore from the coir sector in 2006-07, he said.

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