My Canadian neighbors found a coconut shell processing plant on the way to Cihuatlan so I gave them a try the other day. What they do is spin the dry husks in a large wire drum and separate the stringy part from what becomes powder. You can see the baled stringy part below but what it's used for I don't know. The powder they bundle and sell locally for garden mulch. For some reason they didn't want me taking pictures so this is the only one I have. Very dirty - dusty work for the guys feeding the cocos into the machine.
A very heavy bale of mulch was $150 pesos
Just learned that the fiber is called Coir
Coco coir and coco peat is one of the promising coco-based products with a huge market potential due to its wide array of uses and its eco-friendly qualities. PKC Fibre Industry