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Ministry of rural development sanctions ‘pilot jute geo-textile project’

Joy Roy Choudhury

After years of gloom and uncertainty, the jute industry is up for some sunny days. A National Jute Policy has been announced to revive the labour intensive industry; jute has been included in the ‘Common Minimum Programme’ of the UDA government headed by Dr Manmohan Singh and the prices of jute goods are on the upswing.

And now, the Union government has sanctioned a ‘pilot-project’ for building rural roads using jute geo textiles (JGT) after a sustained effort for the last two years by the Jute Manufacturers Development Council (JMDC), a statutory body under the ministry of textiles, government of India. Mr Arun Bal, secretary, JMDC said in Kolkata recently, “The Union ministry of rural development has sanctioned Rs 17.20 crore for this project to construct 48 km of roads at 10 locations in five states of the country. The states are Orissa, Chattisgarh, Assam, West Bengal and Madhya Pradesh.” He disclosed on the sidelines of the 80th annual general meeting (AGM) of Gunny Trades Association (GTA) held in the city recently.

The project will be implemented under the Pradhan Mantri Gram Sadak Yojana (PMGSY) and will be carried out by the respective state government with technical support from JMDC. Mr Bal said construction work would start from November this year after the finalisation of the tender process. Several jute mills have participated in the open tender. “If it proves successful, then this will open up a big alternative market for jute,” he stated.

He said exports of traditional and jute-diversified products have touched Rs 482 crore in the first five months (April-August 2005) of the current fiscal registering an increase of 22 per cent over the corresponding period of last year. In the last financial year, total exports stood at Rs 1140 crore. It is expected that this year the rate of export growth will go beyond 22 per cent by the end of the year.

With the Brazilian government reducing import duties substantially, the scope for increasing export of non-traditional jute bags for packaging cocoa and coffee beans have increased. Brazil is the largest producer of coffee and cocoa beans in the world. Jute sackings used for packaging of coffee and cocoa beans are free from Jute Batching Oil (JBA), a petroleum based oil. Mr Bal said a delegation comprising JMDC officials and representatives of Indian Jute Mills Association (IJMA) will visit Brazil as well as other coffee and cocoa producing countries in Latin America including Chile, Peru and Argentina in November this year to promote JBA sackings in these countries. A similar trade delegation will visit Iran and Turkey in February next year to promote jute fine yarn in these countries. Meanwhile, Mr S P Farmania, president, GTA urged that the existing Jute Packaging Materials Act (compulsory use in packaging commodities) should be extended for a longer period for 100 per cent of foodgrains and sugar packaging.