Umbilical cord tissue provides a unique source of cells with potential for tissue repair. once a baby is born  umbilical cord and cord blood is discarded along with the placenta . But now scientist have found  cord tissue has mesenchymal stem cells which form bone, cartilage, tendon, ligament cells.

Cord blood is first collected and then the about 20 cm of umbilical cord tissue is cut from the placenta after a baby is delivered.The cord are cut into tiny pieces and digested using enzymes for harvesting the mesenchymal stem cells and by repeated multiplication process yield is increased.

Mesenchymal Stem Cells  therapy is one therapeutic option  for a number of incurable diseases like heart diseases, type one diabetes, stroke and osteo arthritis.Cord tissue thus promises to be an important source of progenitor and other cells for use in tissue engineering and other medical procedures.  Medical centers who are already collecting and storing cord blood for private banking will start collecting umbilical cord tissue in the near future.