The objective of the present study was to analyze the performance of palm industry in Karnataka. The total establishment cost of coconut orchard estimated at ` 1,58,842.82 per acre. The annual cost of cultivation of coconut was ` 55,933.91 per acre. The total cost incurred in copra making from 5,777.65 nuts (a unit from one acre) estimated at ` 69,400.33 and obtained 8.86 quintals of copra. Gross returns obtained from copra making were ` 1,17,265.05. Copra making in the study area is a profitable venture as indicated by B:C ratio (1.68). The study of marketing of copra identified three marketing channels. Producer’s share in consumer’s rupee was highest (75.02%) in channel III (Copra makers - Wholesaler - Retailer –Consumers) than channel I and II and considered as efficient marketing channel in the study area. Majority of the copra makers expressed that drastic climate change lead to decrease in production, fluctuation in price of coconut oil was the major marketing problem. The other problem faced by wholesalers was lack of consistent demand and in case of retailers high cost of transportation was the major problems. The copra manufactured in the study area was of good quality. Hence, efforts should made to export the copra. Government can promote artificial dryer unit under cooperative sector and it can provide financial help to construct proper infrastructure for copra making unit. Creating awareness to encourage online trading for better price realization for producers and better quality is the need of the hour.