Lok Sabha Question No. 3085 (UNSTARRED), answered on 2016-08-04
Subject: Jute Park
Ministry: TEXTILES
Asked by: GOKARAJU GANGA RAJU

## JUTE PARK

## 3085. Dr. GOKARAJU GANGA RAJU:

## Will the Minister of TEXTILES वस्त्र मंरी

be pleased to state:

- (a) whether  the  Government  proposes  to  establish  a  'Jute  park'  in  Andhra  Pradesh through  Public  Private  Partnership  at  an  estimated  cost  of  Rs.100  crore  which  will  have  a potential to create employment for about 20,000 people, and if so, the details thereof;
- (b) whether the Government proposes to incentivize jute industry in view of the hardship being faced by it, and if so, the details thereof;
- (c) the details of the jute industries located in Andhra Pradesh and their manufacturing capacity;
- (d) the  details  of  jute  products  such  as  executive  bags,  wall  hangings  and  interior decoration items being exported to other countries indicating the names of the countries; and
- (e) if so, the details of jute exported from the country during each of the last three years?

## उत्तर ANSWER वस्त्र मंरी ( श्री अज ) MINISTER OF STATE FOR TEXTILES

## (SHRI AJAY TAMTA)

(a) to (c): Andhra Pradesh has 13 jute mills. At present, there is no proposal for setting up  of  'Jute  Park'  in  Andhra  Pradesh  through  Public  Private  Partnership.  However,  the Government has taken several initiatives for promotion of the jute industry.  These include:

- (i) The  Jute  Packaging  Material  (Compulsory  Use  in  Packaging  Commodities)  Act,  1987 (JPM Act) has been enacted in the interests of production of raw jute and jute packaging material,  and  of  persons  engaged  in  the  production  thereof. Accordingly,  as  per  the Schedule  of  Notification  No.  S.O.  126(E)  dated  14.1.2016  issued  under  the  JPM  Act, stipulates  the  minimum  percentages  of  total  production  of  commodity  or  class  of commodities that are required  to  be  packed  in  jute  packaging  material  manufactured  in India  and  raw  jute  produced  in  India.  The  same  has  since  been  extended  upto  30 th September, 2016 vide Notification No. 2224(E) dated 28.6.2016.
- (ii) A  pilot  project Jute-ICARE  (Jute  Improved  Cultivation  and  Advanced  Retting Exercise) has  been  launched  in  January,  2015,  in  selected  Blocks  of  West  Bengal  and Assam  where  jute  cultivation  is  popular  to  improve  income  of  farmers  through  both increase in yield and improvement in quality of fibres. The project is being implemented by  NJB  in  association  with  Jute  Corporation  of  India  Ltd.  (JCI)  and  Central  Research Institute for Jute & Allied Fibres, (CRIJAF), and Ministry of Agriculture.
- (iii) A Jute Design Cell for development of Jute Shopping Bags and Lifestyle Accessories has been  set  up at  the  Innovative  Centre  for  Natural  Fibres  (ICNF)  of  National  Institute  of Design (NID), Ahmedabad.
- (iv) A  scheme  for  setting  up  of Common  Facility  Centres  (CFCs) has  been  launched  in September, 2015 for providing support to Women Self Help Groups (WSHGs) on training, infrastructure/  machinery  and  marketing  to  artisans    in  development  of  Jute  Diversified Products in 7 WSHG clusters; 5 in West Bengal and 1 each in Assam and Bihar.
- (v) National  Jute  Board  (NJB)  is  implementing  an  ' Incentive  Scheme  for  Acquisition  of Plant  and  Machinery'  (ISAPM) which  was  started  in  2013-14.  The  objective  of  this scheme is  to  facilitate  modernisation  in  existing  and  new  jute  mills  and  upgradation  of technologies in existing jute mills. The scheme also envisages providing assistance to a large  number  of  entrepreneurs  for  manufacturing  of  value  added  biodegradable  jute diversified  products  as  well  as  modernisation  and  upgradation  of  technology.  The incentive is provided at 20% of the cost of machinery acquired by Jute Mills and units in the decentralised sector. The overall ceiling for each unit is Rs.2.50 crores in 4 years.
- (vi) Assistance  is  provided  to  jute  mills  for  establishing  sanitation  facilities  under  Workers' Welfare Scheme to provide hygienic sanitation facilities for mill workers.
- (vii) A scholarship  scheme  for  educational  support  is  implemented  by  NJB,  to  motivate  the family for acquiring higher education by their children.
- (viii) For  Promotion  of  use  of  Jute  Geo-textiles  (JGT)  in  Civil  Engineering  applications  like slope  stabilization  management,  rural  roads  construction,  river  bank  protection,  etc. support is provided under the Scheme for Geotextiles in North Eastern Region.
- (ix) NJB implements Retail Outlet scheme which supports supply chain and bulk supply of JDPs for selective and mass consumption. The scheme aims at providing assistance to jute entrepreneurs for opening of outlets of jute lifestyle jute products in Metro Cities, State capitals,  District  HQs  and  Tourist  spots.  The  support  is  limited  to  50%  of  initial decoration, monthly running expenditure for a period of three years
- (x) National  Jute  Board  had  taken  several  research  initiatives  during  the  Jute  Technology Mission  [2007-13].  Techno  Economic  Feasibility  Study  was  conducted  to  enable  the commercialization of successful R&D  efforts. These studies were conducted by commercial  agencies  of  repute  and  the  completed  reports  are  being  passed  on  to  the interested entrepreneurs.
- (xi) Jute Raw Material Bank (JRMB) scheme The scheme has been designed to make jute raw material  available  to  the  small  and  tiny  artisans  /  entrepreneurs  locally  at  mill  gate price, suiting to the present requirement and sustainability of the decentralized JDP sector in the country.

(d) & (e): The  details  of  exports  of  jute  products  such  as  jute  bags,  wall  hangings,  and decorative items to top 20 countries in 2015-16; and Jute exports from the country during the last three years, are at ' Annexure-I' .

## EXPORTS OF JUTE PRODUCTS SUCH AS JUTE BAGS, WALL HANGINGS, AND DECORATIVE ITEMS TO TOP 20 COUNTRIES IN 2015-16:

| EXPORT OF JUTE BAGS   | EXPORT OF JUTE BAGS    | EXPORT OF JUTE BAGS   |
|-----------------------|------------------------|-----------------------|
| Country               | Value (In Rs. Million) | %                     |
| U K                   | 1128.44                | 35                    |
| U S A                 | 728.28                 | 23                    |
| SPAIN                 | 150.37                 | 5                     |
| AUSTRALIA             | 145.06                 | 5                     |
| NETHERLAND            | 120.33                 | 4                     |
| SAUDI ARAB            | 116.97                 | 4                     |
| FRANCE                | 98.16                  | 3                     |
| GERMANY               | 88.32                  | 3                     |
| CANADA                | 81.59                  | 3                     |
| U ARAB EMTS           | 73.56                  | 2                     |
| ITALY                 | 64.79                  | 2                     |
| NEW ZEALAND           | 54.49                  | 2                     |
| JAPAN                 | 33.05                  | 1                     |
| MALAYSIA              | 31.39                  | 1                     |
| BULGARIA              | 25.94                  | 1                     |
| SOUTH AFRICA          | 25.14                  | 1                     |
| MEXICO                | 24.49                  | 1                     |
| IRELAND               | 20.10                  | 1                     |
| BHUTAN                | 15.28                  | 0                     |
| GREECE                | 12.43                  | 0                     |
| Total of 20 Countries | 3038.18                | 97                    |
| Total Export          | 3221.86                |                       |

| EXPORTOFWALL HANGINGS   | EXPORTOFWALL HANGINGS   | EXPORTOFWALL HANGINGS   |
|-------------------------|-------------------------|-------------------------|
| Country                 | Value (In Rs. Million)  | %                       |
| GERMANY                 | 5.56                    | 91                      |
| U K                     | 0.55                    | 9                       |
| Total Export            | 6.11                    | 100                     |

| EXPORT OF DECORATIVE ITEMS   | EXPORT OF DECORATIVE ITEMS   | EXPORT OF DECORATIVE ITEMS   |
|------------------------------|------------------------------|------------------------------|
| Country                      | Value (In Rs. Million)       | %                            |
| U S A                        | 62.45                        | 62                           |
| ARGENTINA                    | 7.98                         | 8                            |
| KUWAIT                       | 5.70                         | 6                            |
| ITALY                        | 3.74                         | 4                            |
| BELGIUM                      | 3.25                         | 3                            |
| GREECE                       | 2.17                         | 2                            |
| SOUTH AFRICA                 | 2.03                         | 2                            |
| CHILE                        | 1.85                         | 2                            |
| DENMARK                      | 1.67                         | 2                            |
| U K                          | 1.39                         | 1                            |
| GERMANY                      | 1.11                         | 1                            |
| MAURITIUS                    | 1.05                         | 1                            |
| OMAN                         | 0.98                         | 1                            |
| SINGAPORE                    | 0.75                         | 1                            |
| FRANCE                       | 0.60                         | 1                            |
| LATVIA                       | 0.57                         | 1                            |
| CANADA                       | 0.56                         | 1                            |
| MEXICO                       | 0.50                         | 0                            |
| SPAIN                        | 0.47                         | 0                            |
| JAPAN                        | 0.41                         | 0                            |
| Total of 20 Countries        | 99.23                        | 99                           |
| Total Export                 | 100.10                       |                              |

## JUTE EXPORTS FROM THE COUNTRY DURING THE LAST THREE YEARS :

| COMMODITY               | 2013-14     | 2014-15     | 2015-16 VALUE   |
|-------------------------|-------------|-------------|-----------------|
|                         | VALUE (INR) | VALUE (INR) | (INR)           |
| JUTE YARN               | 1435833884  | 1387351080  | 1185307892      |
| JUTE,RAW                | 1133530045  | 1191963471  | 1122912552      |
| JUTE HESSIAN            | 8595862391  | 7700788099  | 8248891438      |
| FLOOR COVERING OF JUTE  | 3847478721  | 5269104320  | 4412302607      |
| OTHER JUTE MANUFACTURES | 9271721412  | 6869193001  | 23043551783     |
| GRAND TOTAL             | 24284426453 | 22418399971 | 38012966272     |

Source: DGCI&S

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