Coconut Promotion Scheme

Announced in the Budget Speech, the Coconut Promotion Scheme is aimed at a specific and well-understood problem: a large share of India's coconut palms are old and unproductive.

A senile palm occupies the land, takes the water and the labour, and yields very little. Replacing it with a new high-yielding variety raises productivity without needing more land — but it means several years with no yield from that tree, which is why growers put it off.

The scheme is intended to replace old, unproductive coconut trees with new varieties in the major growing states.

The PRS budget analysis records the announcement but states that no separate allocation is given for it. Confirm the scheme's operational status with the Coconut Development Board before planning a replanting programme around it.

• Support for removing senile, unproductive palms and replanting with new high-yielding varieties, in the major coconut-growing states.

For coconut support that is already operational, the established routes are MIDH, which covers coconut, and the Coconut Development Board's own schemes. The new Support for High-Value Agriculture scheme also covers coconut.

• Coconut growers in the major coconut-growing states.
• Detailed eligibility, the definition of a senile palm and per-grower limits will come from the scheme guidelines.

• No separate allocation is recorded for the scheme in the 2026-27 budget analysis, so confirm it is operational before relying on it.
• Replanting means a gap of several years before the new palms yield. Plan the replacement in phases across your holding rather than all at once, so you keep some income from the existing palms during the transition.

How to apply

1. Contact the Coconut Development Board or your state horticulture department to ask whether the scheme is operational and what it covers.
2. Ask in the same conversation about MIDH coconut components and the CDB's existing schemes, which are available now.
3. Ask about planting material — the new high-yielding variety suited to your area, and the approved nursery to source it from.
4. Plan the replanting in phases, so part of your holding stays productive.

Coconut Development Board official website

• Land record showing the coconut holding
• Details of existing palms, including age and number
• Aadhaar and bank account details