Cabinet approves Jute use of jute in packaging

The Union Cabinet on Wednesday approved the reservation norms for mandatory use of jute in packaging for Jute Year 2021 - 22 July 1, 2021 to June 30, 2022 The packaging norms provide for 100 per cent reservation for packing foodgrains in jute bags and 20 per cent for sugar.

The reservation norms in present proposal would further protect the interest of domestic production of raw jute and jute packaging material in lndia, thereby, making India self-reliant in consonance with Aatmnirbhar Bharat, a release from the government said.

The government of India purchases jute bags worth approximately 8,000 Crore every year for packing of foodgrains, ensuring a guaranteed market for the produce of jute farmers and workers. In 2020-21, the reservation for packaging in jute packaging material helped in the consumption of around 66.57 per cent of raw jute produced in the country.

The Centre said its new decisions will give relief to 0.37 million workers employed in jute mills and ancillary units as well as support the livelihood of around 4 million farm families.

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The total production of jute industry is jute sacking bags, of which 90 per cent is offered to the Food Corporation of India FCl and state procurement agencies SPAs, while the remaining is exported or sold directly.

It said that the average production of jute sacking bags is about 30 lakhs mobiles 9 lakh and government is committed to ensure the full off- take of the jute bags in order to protect the interest of jute farmers, workers and persons engaged in the jute industry.

The Cabinet approved the price support of Rs 17,408. The Cotton Commission of India will give 85 Crore for the cotton seasons from 2014 - 15 to 2020 - 21. Price support operations help stabilise cotton price.

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