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Related Keywords: Commission for Agricultural Costs and Prices, compulsory provisions do not develop or diversify production lines, exempt sugar, foodgrain packaging, high-value products, IJMA, Indian jute industry, jute bags, jute mills, recommends reduction in compulsory packaging, rising prices of raw jute, union textile ministry

The Commission for Agricultural Costs & Prices (CACP) has recommended reduction in compulsory packaging to 75 percent, from the present 90 percent, in case of foodgrain. As these compulsory provisions do not encourage the jute industry to develop or diversify its production lines to high-value products. But according to the jute industry, if the Union government approves the recommendations it will stand to lose Rs1,000 crore in the 2016-17 season.

Related Keywords: facing biggest bottleneck, gap can be bridged with technology, Indian jute industry, lack of innovation and diversification, manufacturers shy away from diversification, sacking rules market, shrinking production and lack of skilled manpower, steady orders procured from rice and wheat producing states, trying to break free of its gunny bag image

The Jute industry in India due to lack of innovation and diversification is facing biggest bottleneck, as sacking still rules the market and manufacturers shy away from diversification because of the steady orders they procure from rice and wheat producing states and their lack of exposure to the exponentially growing global market for jute diversified products, said Chhabilendra Roul, additional secretary at the agriculture ministry's research and education department.

Related Keywords: ban on jute export, Indian jute industry, Indian jute mills association, jute industry of Bangladesh, jute mills in India, raw jute sellers of Bangladesh

A delegation of jute mill owners urged the Bangladesh government to lift the ban on the export of the raw fibre in the wake of supply constraints in Indian mills.

Indian Jute Mills Association said that prior to the ban, a large number of contracts had been signed between Bangladesh raw jute sellers and Indian jute mills owners and traders.

Commitments about 50,000 tonnes of raw jute are involved in these settled contracts. The imposition of ban will result in non-fulfilment of this contract.

Related Keywords: apply for NOC, exports declined, import of finished good jumped up, imported raw jute, Indian jute industry, jute yarn, not be used to manufacture sacks, Office of Jute Commissioner, protect domestic jute industry, register jute unit, unable to scale up production, used for packaging, utlilize by reserved sector

The Indian jute industry has been unable to scale up production or export of jute goods. The country's imports of finished goods have jumped up 24 percent, while exports have declined by 22 percent during April-January period of 2014-15. The government to protect the domestic jute industry has announced that that imported raw jute and jute yarn will not be used in the manufacturing of sacks which are used for packaging of commodities in the reserved sector, a notice from the office of the Jute Commissioner stated.

Related Keywords: growers and their families, Indian jute industry, jute packaging material act 1987, production of jute sacks, sacking looms, synthetic lobby, Tapan Sen, textiles minister

At present the labour-intensive jute industry has a total installed capacity of around 29,00 sacking looms, which produce around 20.5 lakh tonnes of jute sacks. The Government’s reported move to "completely phase out" the Jute Packaging Materials Act 1987, will have “negative impact” on the jute industry spread over five States, affecting about 40 lakh workers, growers and their families, said Tapan Sen, Rajya Sabha MP from CPI(M).

Related Keywords: B Twill jute bags, freeze capacity, Indian jute industry, internal consumption lower, Jute Commissioner, Jute Packaging Materials Act, Subrata Gupta, union textile ministry

The Union textiles ministry is planning to freeze capacity of B Twill jute bags based on the recommendation made by Jute Commissioner Subrata Gupta, who had advocated freeze in capacity since internal consumption of jute bags was lower than the actual capacity. The jute bag capacity likely to freeze at 2.59 million bales (one bale is 180 kg) for 2014-15.

Related Keywords: 10 percent subsidy, Chairman Raghavendra Gupta, Indian jute industry, Indian jute mills association, jute cultivation, jute demand, jute fibre prices, jute manufacturer, production

The decline in jute demand has led to closure of some mills in India while affecting production and has rendered over 1 lakh workers jobless. Reeling under the impact of severe demand crisis, jute manufacturers have urged the government to take immediate measures to revive the industry.

Related Keywords: biggest buyer, blacklist seven jute mills, Indian jute industry, Indian jute mills association, jute bag order, poor quality jute bage, Punjab Government, second hand

The Punjab government had been defaulting on jute bag orders for the past three months, the biggest buyer of jute bags have pointed out that jute mills were supplying poor quality, inferior and second hand bags at almost double the original price resulting in a loss to the tune of Rs 2000 crore every year. The complaint has been forward to Prime Minister Narendra Modi.

The decision of the Punjab government to blacklist seven jute mills of West Bengal and unexpectedly stop supplies from seven other mills has landed the jute industry in the soup.

Related Keywords: deteriorating law & order, Dinesh Tirvedi, Indian jute industry, Indian jute mills association, jute farmer, Lok Sabha member, mill owner, Several mills, shut down, takcle trade union

Lok Sabha members raising the issues regarding the condition of the jute industry along with deteriorating law & order situation in West Bengal has demanded that the government should support the jute farmers and mill owners to prevent large scale unemployment in the state.

TMC came into power on the basis of improving the condition of ailing industries and hence TMC member Dinesh Trivedi has drawn the attention of the House towards the dreadful state of jute mills in the state and said that 10 mills have shut down in West Bengal between 2010-11 and 2012-13.

Related Keywords: Indian jute industry, Indian jute mills association, jute bag, packing foodgrains. packing potatoes, producion cutback

The jute industry is reeling under a demand crisis and four mills are now under a lock-out. Nearly one lakh persons are out of work in the industry due to production cutbacks. Moreover, the West Bengal government not buying jute bags as promised is a big menace for the jute industry.