Lok Sabha Question No. 2532 (UNSTARRED), answered on 2018-08-02
Subject: Jute Production and Consumption
Ministry: TEXTILES
Asked by: ABHISHEK SINGH

## JUTE PRODUCTION AND CONSUMPTION

## 2532. SHRI ABHISHEKSINGH:

Will the Minister of TEXTILES वस्त्र मंरी be pleased to state:

- (a)  the quantum of total jute production and consumption in the country during the current year, State/UT-wise;
- (b)  whether  the  Government  imports  and/or  exports  jute  products  to  meet  the requirements of the country and if so, the details thereof during each of the last three years and the current year; and
- (c)  the  steps  taken  by  the  Government to encourage jute production and the results achieved therein?

## उत्तर

## ANSWER वस्त्र राज्य मंरी (श्री अजय टम्टा)

MINISTER OF STATE FOR TEXTILES (SHRI AJAY TAMTA)

- (a): The total jute production during the financial year 2017-18 and 2018-19 (upto June, 2018) is as follows:

(In '000 Metric Tonnes)

| State        | 2017-18   |   2018-19 (till June, 2018) |
|--------------|-----------|-----------------------------|
| A.P.         | 41.7      |                         8.7 |
| U.P.         | 5.7       |                         1.3 |
| Odisha       | 6.5       |                         2.9 |
| Assam        | 9.3       |                         3.1 |
| Chhattisgarh | 10.1      |                         3.1 |
| Tripura      | -         |                         0.1 |
| West Bengal  | 1104.8    |                       266.5 |
| Total        | 1178.1    |                       285.7 |

The production and consumption of raw jute as assessed by Jute Advisory Board (JAB) during 2017-18 is as follows:

-  Production (excluding previous stock)76.00 lakh bales.
-  Consumption  (including  previous  available  stock)  -    79.00  lakh  bales  including Consumption by Jute Mills- 69.00 lakh bales; and Consumption by Others-10.00 lakh bales

State wise consumption of raw jute is not maintained.

- (b): The details of imports and exports of jute products during the last three years and the current year are as follows:

## (Rs. in Crores)

| Year    |   Import Value |   Export Value |
|---------|----------------|----------------|
| 2015-16 |           1257 |           1892 |
| 2016-17 |            931 |           2074 |
| 2017-18 |           1169 |           2159 |

(c): Government  has  been  taking  a  large  number  of  measures  for  encouraging  jute production. These include:-

- (i) To ensure consistent  demand for  jute  mills,  under  the  Jute  Packaging  Materials (Compulsory  Use  in  Packing  Commodities)  [JPM  Act],  1987,  Government specifies the commodities and the extent to which they are mandatorily required to be packed in Jute Packaging Materials. At present, a minimum of 90% of food grains  and  a  minimum  of  20%  of  sugar  are  to  be  compulsorily  packed  in  jute sacking. On an average, the annual Government procurement of jute bags is 7.5 lakh  metric  tonnes  and  an  expenditure  of  Rs.  6500  crores  is  incurred  by  the Government for the purpose of JPM Act.
- (ii) Whenever  the  market  price  of  raw  jute  falls  below  a  certain  level,  the  Jute Corporation of India (JCI) procures raw jute at Minimum Support Price (MSP), fixed on the basis of recommendation of the commission for Agricultural Cost and Prices (CACP) from jute growers to safeguard their interest. Government of India has sanctioned Rs. 204 crores for four years starting 2014-15 to enable JCI to be in  readiness  for  MSP  operations.  Further,  a  fund  of  Rs.100  crores  has  been approved for 2018-19 and 2019-20.A total of 3.46 lakh bales worth Rs. 190.00 crores  have  been  procured  by  JCI  during  the  last  two  years  benefitting  about 39,000 farmers.
- (iii) Incentive Scheme for Acquisition of Plants and Machinery (ISAPM): Government of India is implementing ISAPM for Jute Industry and Jute Diversified Products Manufacturing Units. The basic aim of this scheme is to facilitate modernization in  existing  and  new  jute  mills  and  up-  gradation  of  technology  in  existing  jute mills and to provide assistance to a large number of entrepreneurs to manufacture value  added  biodegradable  Jute  Diversified  Products  (JDP)  as  well  as  for modernization  and  up-gradation  of  technology.  An  amount  of  Rs.  37.40  crores have been disbursed to the jute mills during the last four years for modernizing the machinery.
- (iv) Jute-ICARE  (Jute:  Improved  Cultivation  and  Advanced  Retting  Exercise):  This pilot project launched in 2015 is aimed at addressing the difficulties faced by the jute cultivators by providing them certified seeds at subsidized rates, seed drills to facilitate  line  sowing,  nail-weeders   to  carry  out  periodic  weeding  and  by popularising  several  newly  developed  retting  technologies  under  water  limiting conditions. This has resulted in increased returns to jute farmers. An amount of Rs.  22.75  crores  has  been  incurred  during  last  three  years  which  has  benefitted around 1.83 lakh farmers.
- (v) The  Government  issued  a  notification  on  5 th January,  2017  imposing  Definitive Anti-Dumping Duty on jute goods originating from Bangladesh and Nepal. Based on  the  current  level  of  imports,  the  Industry  has  estimated  that  this  has  created scope for upto 2 lakh MT of additional demand for jute goods to be met by the Indian Jute industry and has helped in reopening of 10 closed jute mills in Andhra Pradesh resulting in employment to about 25,000 workers.

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