To give an impetus to the diversification of the jute industry, the Cabinet Committee on Economic Affairs (CCEA) Friday extended the norms for mandatory packaging of 100% food grains and 20% sugar in diversified jute bags for the the Jute Year 2023-24 (July 1, 2023 to June 30, 2024)
The decision will give relief to 4,00,000 workers employed in jute mills and ancillary units as well as support to the livelihood of around 40 lakh farmer families
“Reservation for packaging in jute packaging material consumed around 65% of the raw jute produced in the country (in 2022-23),” textiles ministry said in a statement.
Besides, it will help protect environment because jute is natural, bio- degradable, renewable and reusable fibre and hence fulfils all sustainability parameters.
75% of the total production of the Jute Industry is Jute Sacking Bags of which 85% is supplied to the Food Corporation of India and State Procurement Agencies and remaining is exported/sold directly.
Average Production of Jute Sacking Bags is about 30 lakhs bales (9 lakh MT).
The government of India purchases Jute sacking bags worth approximately Rs 12,000 crore every year for packing of foodgrains, hence ensures guaranteed market for the produce of jute farmers and workers.