19-February-2024-Special-Article

REPORT ON THE ‘DEVELOPMENT AND PROMOTION OF JUTE INDUSTRY.’

The Standing Committee on Labour, Textiles, and Skill Development recently presented the Fifty-Third Report on the ‘Development and Promotion of Jute Industry.’

Key Highlights of the Report

Potential of Jute Industry:

• Jute, known as the ‘golden fibre,’ holds a crucial position in India’s national economy, particularly in West Bengal.
• As a natural, renewable, biodegradable, and eco-friendly product, jute meets the standards for safe packaging.
• India contributes 70% of the world’s jute output, employing approximately 3.7 lakh workers.

Production and Export Data (2022-23):

• Jute goods production in 2022-23 reached 1,246,500 metric tons, with exports surging to 177,270 MT.
• Exports increased by 56% compared to 2019-20, driven by the global demand for environmentally friendly products.
• India imported 121.26 thousand MT of raw jute, primarily from Bangladesh for value-added products.
• Top export markets include the USA, France, Ghana, the UK, the Netherlands, Germany, Belgium, Côte d’Ivoire, Australia, and Spain.

Major Challenges Faced by Jute Industry:

• High Procurement Rates: Mills face high procurement costs, acquiring raw jute at prices exceeding selling prices.
• Insufficient Raw Material: Despite efforts, India struggles with insufficient raw material supply, affecting production.
• Obsolete Mills and Machinery: Technological upgrades are essential to address obsolete mills and machinery.
• Competition from Synthetics: Jute faces competition from synthetic materials, impacting demand.
• Labour Issues and Infrastructure Hurdles: Labour disputes and infrastructure challenges in West Bengal hinder industry stability.

Key Facts About Jute

Conditions Required for Cultivation:

• Temperature: 25-35°C
• Rainfall: 150-250 cm
• Soil Type: Well-drained alluvial soil.

Production:

• India is the largest jute producer, followed by Bangladesh and China.
• Bangladesh leads in acreage and trade, concentrating 75% of global jute exports.
• Cultivation is concentrated in West Bengal, Assam, and Bihar, accounting for 99% of production.

Uses:

• Known as the ‘golden fibre,’ jute is used for making gunny bags, mats, ropes, yarn, carpets, and other artefacts.

Key Recommendations of the Standing Committee

• Modernising and Upgrading Technology: Encourage mills to invest in advanced machinery and technology for enhanced productivity. Foster partnerships with research institutions for innovation.
• Efficient Raw Material Procurement: Streamline raw jute acquisition, promoting contract farming and offering incentives to farmers.
• Quality Control and Standardisation: Reinforce quality control protocols and stringent standards for uniform excellence.
• Skill Enhancement and Training: Provide comprehensive training programs for jute workers, focusing on weaving, dyeing, and value-added processes.
• Market Expansion: Explore untapped global markets for jute products, promoting jute-based handicrafts.
• Research and Development Promotion: Allocate resources for research advancing jute-related innovations.
• Promoting Jute Products: Launch awareness campaigns highlighting the eco-friendly attributes of jute.
• Policy Advocacy: Formulate policies incentivizing jute cultivation and value addition.

Government Schemes Related to Jute Industry

• Export Market Development Assistance (EMDA) Scheme: Encourages participation in international fairs to promote export of Jute Diversified Products (JDPs).
• Jute Packaging Materials (Compulsory Use in Packing Commodities) Act 1987: Ensures mandatory use of jute packaging material in the supply and distribution of certain commodities.
• Jute Geotextiles (JGT): Included in the Technical Textiles Mission, applied in civil engineering, soil erosion control, and road construction.
• Minimum Support Price for Jute: Jute Corporation of India supports jute growers through MSP and stabilizes the raw jute market.
• Golden Fibre Revolution and Technology Mission on Jute and Mesta: Initiatives to boost jute production in India.
• Jute SMART: An e-government initiative launched for transparency in the jute sector.

Mains Question:

1. Discuss the significance of the Standing Committee’s Fifty-Third Report on the ‘Development and Promotion of Jute Industry’ in the context of India’s economic growth and sustainability. (150 WORDS)