IJMA Urges Government Action To Revive Jute Packaging Demand

(MENAFN- KNN India) New Delhi, Jun 20 (KNN) The Indian Jute Mills Association (IJMA), the apex body representing the domestic jute sector, has urged the central government to implement policy measures aimed at reviving demand for jute packaging materials.

In a representation to the Union Minister for Consumer Affairs, Food and Public Distribution Pralhad Joshi, the association has underscored the industry's pivotal role in supplying jute bags for storing food grains procured by government agencies.

Despite the industry's preparedness to fulfil the packaging requirements during the kharif and rabi crop procurement seasons, the demand for jute bags has plummeted from an estimated 38-39 lakh bales annually in 2021-22 to a projected 30 lakh bales in 2024-25, according to former IJMA Chairman Sanjay Kajaria.

This precipitous decline has contributed to surplus manufacturing capacity, prompting mills to curtail shifts and shutter operations, thereby resulting in widespread job losses.

The repercussions have extended to jute cultivators, who are grappling with challenges in selling their produce at the government-mandated minimum support price, Kajaria stated.

To bolster demand, the IJMA has recommended that all imported wheat consignments, whether procured through government channels or private trade, should be packaged in jute bags as per the statutory provisions of the Jute Packaging Materials (JPM) Act, 1987.

Additionally, the association has advocated for a return to the use of new jute bags for packaging paddy instead of recycled bags.

Despite a regulatory requirement stipulating that 20 per cent of sugar production must be packaged in jute bags, compliance has been inadequate, the IJMA noted, calling for stringent enforcement of the norms.

Implementing these measures, IJMA officials contend, will help stabilise the jute industry, safeguard employment opportunities, and ensure remunerative prices for jute cultivators.

The sector currently employs approximately 3.5 lakh workers in organised mills, while an estimated 40 lakh farmers are engaged in cultivating the cash crop.

(KNN Bureau)

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