Market Review of Coconut Fiber
November 2025

The global coir market experienced a decisive shift in 2025, marked by sharp price escalation, tightening raw material availability, and a growing emphasis on higher-value products. During January–October 2025, coir fibre prices in both Sri Lanka and Indonesia rose far more rapidly than in the relatively stable period of 2023–2024. In Sri Lanka, average prices increased from the mid-US$60s in early 2024 to above US$100 per metric ton by March 2025, reaching around US$124 by October. This contrasts sharply with the narrower range of US$36–73 observed during the previous two years. Indonesia experienced an even steeper escalation, with prices climbing from a stable US$90–110 in 2023–2024 to US$145 in January 2025, exceeding US$200 by mid-year and peaking near US$220 per metric ton in October. These developments reflect intensified competition for coconut husks driven by expanding cocopeat, charcoal, and geotextile industries, alongside recovering global demand and evolving supply-chain dynamics influenced by policy interventions.

 

Against this backdrop of rising prices and tighter supply, Sri Lanka’s coir export performance during January–September 2025 presents a mixed but generally positive picture. Overall export earnings improved, yet the structure of exports shifted markedly away from traditional bulk fibre products toward higher-value segments. Volumes of major fibre categories declined significantly compared with the same period in 2024, with mattress fibre exports falling by 26%, bristle fibre by 21%, twisted fibre by 30%, and coir fibre pith/dust by 16%. These declines reflect a combination of supply-side constraints—particularly limited husk availability—and softer international demand for raw and semi-processed fibres. Notably, value declines were less pronounced in several categories, indicating firmer prices and improved unit realization in a constrained market environment.

At the same time, several downstream and niche product segments demonstrated relative stability. Brushware products, including tawashi brushes and other coir brooms, recorded only marginal volume declines of 4–5%, while export values remained broadly stable, suggesting resilient demand in established consumer markets. In contrast, husk chip exports experienced the steepest contraction, with volumes declining by 33% and export value falling by 40%, pointing to weaker demand or heightened competition from alternative horticultural substrates. Overall, these trends indicate mounting pressure on Sri Lanka’s traditional fibre exports despite improving price levels.

Balancing these declines, Sri Lanka’s export performance was strongly supported by rapid growth in value-added and horticulture-oriented products. Moulded coir products for horticulture emerged as the dominant export category, with volumes rising by 8% and export value surging by 29% to USD 182.64 million, making it the largest contributor to coir export earnings. This reflects sustained global demand for eco-friendly growing media and plant-support products. Similarly, exports of coir mats and rugs expanded sharply, with volumes increasing by 146% and values by 41%, while coir mattings recorded strong percentage growth from a low base. Geo-textiles also posted modest gains, supported by continued demand from erosion control and environmental applications. As a result, Sri Lanka’s total coir export earnings rose by over 22% year-on-year, underscoring a gradual but clear shift toward higher-value products and greater sectoral resilience.

A broadly similar but more pronounced pattern is evident in India’s coir export performance during January–September 2025. India recorded strong growth in both export volume and value, reinforcing its position as the world’s leading coir supplier. Total export volumes increased by about 17%, from 923,152 metric tons in 2024 to 1,082,916 metric tons in 2025, while export earnings rose sharply from USD 274 million to USD 459 million. The faster growth in value relative to volume highlights significant improvements in price realization and product mix.

This expansion was driven primarily by cocopeat (coir pith), which remained the cornerstone of India’s coir exports. Shipments of coir pith increased by 26% in volume, while export earnings surged from USD 206 million to USD 372 million, reflecting robust global demand from horticulture, greenhouse cultivation, and landscaping sectors. Exports of decorticated and related coir fibres showed only marginal volume growth but recorded notable value increases, again indicating firmer prices in 2025. In contrast, exports of curled and machine-twisted fibre declined in both volume and value, suggesting softer demand from traditional mattress and cushioning industries.

Beyond bulk exports, India’s data point to gradual diversification into higher-value coir products, though these segments remain relatively small in absolute terms. Woven coir matting exports rose by over 40% in volume and about 50% in value, while specialized products such as coir fenders doubled in export value despite modest tonnage growth. Exports of coir carpets and rugs remained stable in value, implying price pressure or maturity in key markets. Overall, India’s performance in 2025 underscores its strong positioning in environmentally driven coir applications, particularly cocopeat.

Complementing developments in Sri Lanka and India, Indonesia’s coir exports also expanded significantly during January–October 2025, albeit from a smaller base. Export volumes reached 25,432 metric tons valued at USD 4.85 million, representing year-on-year growth of 48.4% in volume and 83% in value. Exports remained heavily concentrated in East Asia, with China absorbing more than 73% of shipments, followed by the Republic of Korea. Smaller but stable volumes were shipped to Malaysia, Japan, and Taiwan, while exports to Europe remained limited but consistent, driven by niche eco-friendly demand.

In summary, 2025 marked a pivotal year for the global coir sector, characterized by sharp price increases, tighter raw material supply, and a clear transition toward higher-value and horticulture-driven products. While traditional fibre exports faced increasing pressure, particularly in Sri Lanka, growth in processed and value-added segments supported overall export earnings across major producing countries. These trends suggest that the medium-term outlook for the coir industry will increasingly depend on value addition, efficient raw material management, and the ability to respond to evolving global demand for sustainable materials.