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[🇧🇩] Jute Industry in Bangladesh

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[🇧🇩] Jute Industry in Bangladesh
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Fresh focus on jute packaging
Wasi Ahmed
Published :
Sep 17, 2024 22:08
Updated :
Sep 17, 2024 22:08

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The directive of the interim government to halt use of poly bags in the super shops looks like a first step in materialising the mandatory jute packaging law that seemingly lost its urgency despite sporadic moves to enforce it in the past. Obviously, the only viable alternative to poly bags is jute-made packaging stuffs.

Environment, forest and climate change adviser to the interim government announced the ban of polythene and polypropylene shopping bags across all superstores in the country starting October 1. She made the announcement during a meeting with stakeholders. A press release issued in this regard says the government will require superstores to offer jute and fabric bags as eco-friendly alternatives. There will also be an emphasis on engaging young people and students in the initiative. A detailed action plan has reportedly been formulated to enforce the upcoming ban, including steps to raise public awareness through a nationwide media campaign. To ensure the availability of jute and fabric shopping bags, the Ministry of Textiles and Jute will hold meetings with superstore operators within a week to secure a steady supply of alternative bags.

The decision, one may recall, is not new. A ban on the use of poly bags or other non-biodegradable materials for packaging was imposed as early as 2002, first of its kind in the world to curb pollution and water-logging, and also as a breakthrough in the increased consumption of jute materials domestically. Following the restrictions, there was a surge for a while in the use of paper and other biodegradable materials (in the absence of sufficient jute bags) for packaging, and no doubt it did signal a shift that further needed to firm up actions in a sustained manner.

Unfortunately, that did not happen. What is surprising is that the authorities had backtracked from the restrictions on the use of polythene or synthetic materials for packaging all kinds of groceries in the shops, kitchen markets and super stores. So, what promised like a good prospect had gone into oblivion. There were quite a few moves including framing of a law, and a verdict by the Appellate division of the High Court, to make jute packaging mandatory in respect of a variety of commodities. These, though reinforced later by law enforcers' drives in the market places, fell flat as the then government's effort to replace packaging by plastic or synthetic materials with jute sacks/bags remained unheeded.

The law on the mandatory use of jute sacks was enacted in 2010, but in the absence of rules to be followed, it was largely ignored. Subsequently, a set of rules for implementation of the law had been formulated which among others sought to ensure use of jute sacks in packaging a number of products, including rice. The ministry of textiles and jute on September 26, 2013 issued a Circular on mandatory use of jute bags for commercial packaging of rice by the private rice millers, husking millers and rice traders. It had also asked them to stop using polythene/plastic bags by December 2014. But the millers and traders did not comply with its instructions. Subsequently, some rice mill owners filed a writ petition with the High Court seeking a stay order on the enforcement of the Circular. In response, the High Court in an ad-interim order stayed the government directive relating to mandatory jute-bag use. However, following the government's move in the form of Appeal, the Appellate Division vacated the stay order upholding the government' directive on mandatory jute packaging.

It may be noted that while making jute packaging of rice mandatory, the directive of the government had included a number of other products. These were - paddy, wheat, maize, fertiliser, sugar, spices, turmeric, onion, ginger, garlic, coriander, pulses, potato, flour, crude flour (ata) and rice bran. Later, two other products-poultry and fish feed were also included in the list.

It was not the lack of compliance alone but dearth of sufficient and cost-effective jute bags/sacks that stood in the way of enforcement. Now that the interim government is set to revive the issue-- much to the relief of conscious citizens, it is important to go by phases. Starting with the super stores, the ban should gradually extend to other areas such as kitchen markets, shops, restaurants. Eventually, it would be important to make use of jute sacks compulsory for packaging food grains.

Packaging of food grains has for long been viewed crucially important for a variety of reasons. In the wake of the global campaign on the use of environmentally friendly, biodegradable natural materials in as many areas as possible, it is highly likely that Bangladesh being the producer of world's finest variety of natural fibre - jute, would make the best use of it to draw benefits in tangible economic terms. Experts are of the opinion that if enforced strictly, use of jute sacks will no doubt go beyond environmental security as it will ensure better price for jute growers and jute goods manufacturers, who are currently facing a lingering slump in view of receding demand.

It is expected that the authorities will take lesson from the past. The success of the move depends on availability of biodegradable materials and enforcement of the law. As the authorities will proceed to bring other areas under non-polythene packaging, shortage of required materials, say jute bags/sacks, may be a problem, which had been the case in the past. It is thus important to ensure availability first.​
 

No respite for jute goods makers from export fall

Bangladesh's exports of jute and jute goods have been falling continuously as many buyers have switched to synthetic and regenerated cotton yarn due to high prices of the golden fibre in the domestic market.

In the absence of adequate domestic demand, the country, the second-largest producer of jute after India, is reliant on global buyers for jute yarns, sacks, and bags.

However, shipments of jute and jute goods have been falling since exporters logged $1.16 billion in fiscal year (FY) 2021-22.

Earnings from the sector fell 6 percent year-on-year to $925 million in FY24.

In the July-September quarter of FY25, exports of raw and processed jute fell 20 percent year-on-year to $178 million, according to the data unveiled by the Export Promotion Bureau.

In the absence of adequate domestic demand, Bangladesh is reliant on global buyers for jute yarns, sacks and bags

Raw jute exports fell 31 percent in the period while shipments of jute yarn and twine, the biggest export item in the sector, declined by a fifth.

Industry stakeholders said the demand for jute yarn began to decline after the Covid-19 pandemic, when prices of locally grown raw jute shot up to Tk 5,500-Tk 6,000 per maund (around 37 kilogrammes).

"Our closest competitor is polypropylene yarn and demand for that has increased among buyers. This is also because demand for recycled carpet has increased in the West," said Md Mamunur Rahman, director of Rahman Jute Spinners Private Ltd.

Besides, the use of regenerated cotton yarn in carpet-making has seen an uptick as rugs made of cotton yarn are easy to fold.

Locally, an unhealthy competition to grab buyers among jute millers worsened the situation.

Of late, spiralling prices of raw jute in the domestic market have also cast a shadow over export prospects.

Helal Ahmed, chief operating officer of Janata-Sadat Jute Mills, one of the leading jute exporters, said inclement weather affected jute cultivation.

The Department of Agricultural Extension (DAE) estimates that Bangladesh's jute production fell to 75.65 lakh bales in the FY25, down 18 percent year-on-year.

Alongside that, stockists have become active in buying raw jute. So, prices jumped to around Tk 3,800-Tk 4,000 each maund, he said.

"No miller has been able to buy jute as prices of jute goods have not risen in the international market," he said.

"Many mills have suspended production. A number have reduced production drastically."

Ahmed said increased freight costs also affected exports.

"We have to ensure domestic use of jute to protect the sector," he said.

Rahman said the implementation of the law for mandatory use of jute sacks and bags for certain commodities, including rice, is urgently needed to protect the sector, which employs four crore people directly and indirectly.

"The jute industry's situation is dire," he lamented.

"We are already at the bottom of export earnings. The problem now is that foreign buyers want to purchase but we cannot accept orders because our cost to make yarn has shot up due to soaring prices of raw jute."

Bangladesh produces roughly 80 lakh bales of raw jute annually, with jute millers and spinners processing 80 percent to make sacks, bags, yarn and twine, mainly destined to be exported.​
 

পাটের দাম বাড়লেও খুশি না কৃষক, চড়া বাজারে লাভ ব্যবসায়ীর
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লালমনিরহাটের সদর উপজেলার বড়বাড়ী হাটে মহাজনদের কাছে পাট বিক্রি করছেন ক্ষুদ্র ব্যবসায়ীরা | ছবি: এস দিলীপ রায়/স্টার

অন্তর্বর্তী সরকার পলিথিনের ব্যবহার নিষিদ্ধ ঘোষণা করার পরে বাজারে বেড়েছে পাটের চাহিদা। সেই সঙ্গে বেড়েছে পাটের দাম। কুড়িগ্রাম, লালমনিরহাট ও রংপুরের কয়েকটি বাজারে গত দুই সপ্তাহে মণ প্রতি পাটের দাম বেড়েছে এক হাজার থেকে এক হাজার ১০০ টাকা পর্যন্ত।

এসব বাজারে বর্তমানে তিন হাজার ২০০ থেকে তিন হাজার ৬০০ টাকা দরে প্রতি মণ পাট বিক্রি হচ্ছে।

পাটের দাম হঠাৎ বাড়লেও খুশি না কৃষক। তারা বলছেন, এতে লাভবান হবে ব্যবসায়ীরা।

এই তিনটি জেলার একাধিক কৃষকের সঙ্গে কথা বলেছে দ্য ডেইলি স্টার। তারা জানিয়েছেন, অধিকাংশ কৃষক আগেরই উৎপাদিত পাট বিক্রি করে দিয়েছেন। সে সময় পাটের দাম ছিল প্রতি মণ পাট দুই হাজার ২০০ থেকে আড়াই হাজার টাকা।

বাড়তি লাভের অর্থ পাচ্ছেন ক্ষুদ্র ব্যবসায়ী ও মহাজন।

লালমনিরহাটের সদর উপজেলার বড়বাড়ী হাটে কথা হয় পাট ব্যবসায়ী আলতাফ হোসেনের সঙ্গে। তিনি ডেইলি স্টারকে বলেন, 'প্রায় এক মাস আগেই কৃষকরা তাদের উৎপাদিত পাট বিক্রি করেছেন। আনুমানিক আট থেকে ১০ শতাংশ কৃষকের ঘরে সামান্য কিছু পাট সংরক্ষিত আছে।'

আলতাফ বলেন, 'যারা পাট ঘরে রেখেছিলেন, তারা এখন বাড়তি দাম পাচ্ছেন। মূলত যেসব ক্ষুদ্র ব্যবসায়ীরা কৃষকের কাছ থেকে পাট কিনে গুদামজাত করেছিলেন, তারাই এখন বাজারে পাট বিক্রি করছেন।'

দুই হাজার ২০০ থেকে আড়াই হাজার টাকা মণ দরে মোট ১০০ মণ পাট কিনে গুদামে রেখেছিলেন বলে জানান আলতাফ।

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ছবি: এস দিলীপ রায়/স্টার

কুড়িগ্রাম সদর উপজেলার যাত্রাপুর হাটের মহাজন সুনীল চন্দ্র ডেইলি স্টারকে বলেন, 'পলিথিনের ব্যবহার নিষিদ্ধ ঘোষণার পরেই বড় কোম্পানিগুলো বেশি দরে পাট কিনতে শুরু করেছে। পাটের চাহিদা বাড়ায় আমরা স্থানীয় ক্ষুদ্র ব্যবসায়ীদের কাছ থেকে পাট কিনছি। তারাও সরাসরি কোম্পানিগুলোতে পাট বিক্রি করছেন।'

কুড়িগ্রামের চর রাজিবপুর উপজেলার কোদালকাটি গ্রামের কৃষক নুরু মিয়া জানান, তিনি এ বছর ছয় বিঘা জমিতে ৪৯ মণ পাট উৎপাদন করেছিলেন। প্রতি মণ পাট উৎপাদনে তার খরচ হয়েছিল দুই হাজার ৩০০ টাকা। একমাস আগে দুই হাজার ৪০০ টাকা মণ দরে তিনি ৪৪ মণ পাট বিক্রি করেছেন, ঘরে রেখেছেন পাঁচ মণ পাট।

তিনি বলেন, 'পাটচাষ এখন আর লাভজনক না। আমরা কেবল পাটকাঠির জন্য চাষ করি। যখন বাজারে পাটের দাম বাড়লো, তখন আমাদের ঘরে বিক্রির জন্য পাট নেই। পাটের দাম বাড়ায় ব্যবসায়ীরা লাভবান হয়েছেন।'

রংপুরের গংগাচড়া উপজেলার মহিপুর গ্রামের কৃষক সন্তোষ চন্দ্র বর্মণ বলেন, 'প্রতি মণ পাট উৎপাদনে খরচ হয় দুই হাজার থেকে দুই হাজার ৩০০ টাকা পর্যন্ত। প্রতি বিঘা জমিতে পাওয়া যায় আট থেকে ১০ মণ পাট। বিক্রি করতে গেলে সে অনুযায়ী লাভ হয় না। যে কারণে পাটচাষ অনেক কমে গেছে।'

এক যুগ আগেও সন্তোষ ১২ থেকে ১৫ বিঘা জমিতে পাটচাষ করতেন। এখন তিন থেকে চার বিঘা জমিতে পাটচাষ করেন। বাড়িতে পাট ও পাটকাঠির প্রয়োজন হয়। সেই কারণে তিনি পাটচাষ ধরে রেখেছেন।

কৃষি সম্প্রসারণ অধিদপ্তরের তথ্য অনুসারে, রংপুর অঞ্চলের প্রায় ৯০ হাজার কৃষক পাটচাষ করেন।

এ বছর রংপুর অঞ্চলের পাঁচ জেলা—কুড়িগ্রাম, লালমনিরহাট, গাইবান্ধা, রংপুর ও নীলফামারিতে ৫০ হাজার ৮৪৪ হেক্টর জমিতে পাটচাষ হয়েছিল। উৎপাদন হয়েছিল এক লাখ ১৯ হাজার ৭৩৩ মেট্রিক টন পাট।

পাট উন্নয়ন অফিসার তৈয়বুর রহমান ডেইলি স্টারকে বলেন, 'আমরা কৃষকদের একসঙ্গে সব পাট বিক্রি করতে নিরুৎসাহিত করি। কিন্তু টাকার প্রয়োজনে তারা উৎপাদিত সব পাট একসঙ্গে বিক্রি করেন। যারা কিছু পাট বাড়িতে রেখেছিলেন, তারা এখন বেশি দর পাচ্ছেন।'

তিনি আরও বলেন, 'পাটজাত পণ্যের ব্যবহার বাড়তে থাকলে আগামীতে পাটের দাম আরও বাড়বে এবং কৃষক লাভবান হবেন।'​
 

Jute millers struggling amid export slump

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Jute millers are struggling as exports show no sign of recovery and demand in the domestic market remains lukewarm amid slack implementation of the mandatory jute packaging act.

Industry operators say falling demand for jute -- once dubbed the golden fibre of Bangladesh -- has forced jute yarn makers to slash production by up to 40 percent, with only two dozen of a total of 77 spinners under the Bangladesh Jute Spinners Association (BJSA) operating at full capacity.

"The health of the sector is dire. We are struggling too much. Only a few mills are solvent now," said BJSA Chairman Tapash Pramanik.

Jute yarn is the main export item within the sector, and shipments of jute yarn and twine have been falling since their peak of around $800 million recorded in 2020-21 fiscal year.

Many foreign buyers have switched to cotton yarn and polypropylene (PP) due to the high prices of jute yarn caused by increases in raw jute prices.

Overall earnings from the natural fibre-based yarn slumped to $492 million at the end of FY24, according to the Export Promotion Bureau (EPB).

Shipments of jute sacks and bags also declined during these years, bringing total receipts to $855 million in FY24 -- a 6 percent year-on-year decrease.

During the July-November period of the current FY25, exports of jute and jute goods slipped 10 percent year-on-year to $341 million.

"The situation of composite mills is not good either," Pramanik said.

"We are gradually losing competitiveness in the global market. We used to export to India, but exports there have declined after the imposition of anti-dumping duty by the Indian authorities."

The sector has not received the same level of policy support as it did in the past, while the cost of production has surged due to increased raw jute prices, according to Pramanik.

"We could have navigated this turbulent time had the mandatory jute packaging act been implemented effectively in the local market," he said.

The government enacted a law in 2010 making jute sacks mandatory for packaging 19 essential products, including rice, wheat, maize, pulses and flour.

This was aimed at stabilising the sector amid fluctuating international demand and promoting the use of biodegradable bags.

However, it took five years for the rice millers to start complying with the law, and many have since switched to plastic bags.

"We are facing competition from plastics in the domestic market," Pramanik said.

An industry insider said most mills have significantly scaled down production to maintain minimal operations because of bank loans.

"We have fixed costs despite the decline in exports. Our current income is barely enough to cover interest payments on bank loans," said Abdul Barik Khan, secretary-general of the Bangladesh Jute Mills Association.

Besides, jute hoarders are driving up raw jute prices, making the situation complicated further.

Industry operators previously blamed a poor jute yield for higher prices.

Bangladesh's jute production fell 18 percent year-on-year to 75.65 lakh bales (one bale is around 182 kilogrammes) in FY25, according to the Department of Agricultural Extension (DAE).

Jute millers and spinners process nearly 80 percent of the natural fibre to produce sacks, bags, yarn and twine, mainly for export markets.

Helal Ahmed, chief operating officer of leading jute exporter Janata-Sadat Jute Mills, said raw jute used for yarn production is selling for around Tk 4,000 per maund.

"However, export prices are declining. Demand for yarn from Turkey and Uzbekistan has decreased, as carpet makers there are exploring alternatives to jute yarn," he said.

"The overall jute industry is not in good shape," Ahmed said.

Helal said the demand for jute bags has increased in the domestic market recently following the government's move to discourage the use of plastic bags in shopping. But the government should come up with a solid plan to restrict the use of plastic bags, enabling local mills to be ready to meet the local demand.

"Many factories that once operated three shifts a day have reduced production to a single shift. We expect a positive outlook after the next harvest in August, as production is expected to increase," he added.​
 

Reopening of state-owned jute mills demanded
Staff Correspondent 22 December, 2024, 22:33

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The Jatiya Sramik Karmachari Sangram Parishad on Sunday called for the reopening of 26 closed state-owned jute mills and other mills after modernisation.

The platform made the demand at a press conference at the National Press Club.

Abdullah Kafi Ratan, a member of the parishad who presented the keynote speech, said that the ousted fascist Awami League government, without considering the livelihoods of 50,000 workers and thousands of jute farmers, shut down 26 state-owned jute mills on July 2, 2020, during the COVID-19 pandemic.

In the same year, on December 1, the Awami League government shut down six out of 15 state-owned sugar mills, citing losses as the reason.

Mentioning that the Professor Muhammad Yunus-led interim government, upon the recommendation of an 11-member task force formed on September 30, agreed to reopen the closed sugar mills in phases, the labour leader described this decision as ‘a historic victory for the movement to reopen closed mills.’

He said that the aim of the ruling class’s imperialist-dependent neoliberal policies was to hand over state-owned industrial enterprises to private ownership, which is a direct attack on workers, farmers, and the toiling masses.

‘It is a high time to build a national movement to resist the anti-people policies of the government, which serves the interests of imperialism and the exploitative ruling class,’ he added.

Manos Nandi, president of the central committee of the Bangladesh Sramik Karmachari Federation, emphasised the need for a fair policy to make sugar mills viable and profitable.

Jatiya Sramik Karmachari Songram Parishad convener Md Harunur Rashid Bhuiyan presided over the event.​
 

Initiatives taken to diversify jute products: Bashir
Bangladesh Sangbad Sangstha . Dhaka 05 February, 2025, 22:31

Textiles and jute adviser Sheikh Bashir Uddin on Wednesday said that initiatives had been taken to diversify jute products while the problems surrounding the jute sector would be resolved very soon.

He came up with such remarks at the inauguration of the four-day multipurpose jute products fair organised jointly by the Department of Jute and the Jute Diversification Promotion Centre (JDPC) held at Laboni Point in Cox’s Bazar sea beach on Tuesday, said a commerce ministry press release on Wednesday.

The fair is being organised with the slogan ‘Come and change the country, change the world.’

Bashir said that the government had been organising diversified jute fairs at different places of the country while the month-long Dhaka International Trade Fair 2025 ended successfully a few days back.

Being inspired from that, the fair on jute products is being organised in Cox’s Bazar. The participants at the fair are happy and they are hoping for growth. The government is also making necessary arrangements for imparting them training.

Mentioning that more fairs will be organised at the divisional and district levels, Bashir mentioned that the problem related with the materials for manufacturing jute products would be resolved.

Reassuring that the prices of commodities would not increase during the ensuing holy month of Ramadan, Bashir, also in charge of the Ministry of Commerce, said that a detailed discussion was held recently in this regard at a business conference.

‘Everyone is working together. So, I hope that the prices of goods in the market will not increase by any means during Ramadan. The supply of oil, sugar, dates, chickpeas, fish, chicken, eggs and seasonal vegetables will remain intact,’ he added.

Director (administration) of the Department of Jute Satyakam Sen, deputy commissioner Mohammad Salahuddin and superintendent of police Muhammad Rahmat Ullah were present on the occasion.

Earlier, the adviser visited various stalls at the fair and talked to entrepreneurs about the potentials of jute products. There are some 33 stalls at the fair while the fair will remain open from 4:00pm to 8:00pm every day until February 8.​
 

Govt to lease out closed jute mills to pvt sector: Bashir
Bangladesh Sangbad Sangstha . Dhaka 10 February, 2025, 19:56

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The adviser to the Ministry of Textiles and Jute, Sk Bashir Uddin, inspects operations of the Daulatpur Jute Mills under the BJMC in Khulna on Monday. | PID/ BSS photo.

Government is to lease out the closed jute mills to private sector to pave the way for reopening those, said adviser to the Ministry of Textiles and Jute Sk Bashir Uddin on Monday.

‘Steps have been taken to re-open the closed down jute mills in the country through leasing those out,’ he told a media briefing after inspecting operations of the Daulatpur Jute Mills under the Bangladesh Jute Mills Corporation in Khulna.

In this connection, he said that as leaseholders, businessmen were getting scope to invest in the closed down jute mills to reopen those and as a result fresh employment opportunities would be generated there.

Daulatpur Jute Mills are being operated under private management, according to a commerce ministry press release.

Bashir, also commerce adviser, said that the closed down government textile mills in Kurigram were leased out to the private last week. It is expected that the process of leasing out three more mills would be completed by this week, he added.

In case of running jute mills under government management, he said that nothing became fruitful in the long-term except for incurring losses of a thousand crore taka. Therefore, he said that there was a plan to lease out the government-owned jute and textile mills to private sector.

To keep all the existing jute mills in the country running, about 4 million tonnes of jute is required annually, but the country’s jute production is only 1.2 million tonnes.

In addition, the annual production of jute worldwide is only 2.5 million tonnes. In that case, it is not realistic to keep so many mills running with jute alone.

Therefore, the adviser said that the conditions for leasing out jute mills to the private sector were being relaxed side by side opportunities were being provided to set up other industries along with jute-based industries.

The adviser further said that the Daulatpur Jute Mills in Khulna after reopening its operations under private initiative had so far created about 700 employment opportunities. Employment opportunities for 3,000 more people will gradually be created there, he added.

Mentioning that such successful initiatives and investments will open up the path for employments, the adviser said that efforts were on to move forward the mills under private initiative in a positive and profitable process by continuing the production of jute products and shoes simultaneously.

Such innovative initiatives are not as effective when implemented by the government, he opined.

Responding to questions, the adviser further said that the existing syndicate in the market was not stronger than the government.

Bashir said that the government had been strictly monitoring the stockpile and supply of various commodities in the country. Temporary crisis to some extent in the edible oil market would be over in a few days, he added.

Deputy commissioner of Khulna Mohammad Saiful Islam and officials of Daulatpur Jute Mills were present on the occasion.​
 

BB eases loan rescheduling policy for raw-jute exporters
United News of Bangladesh . Dhaka 16 February, 2025, 22:52

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The Bangladesh Bank has eased loan rescheduling policy for raw-jute exporters for the next two years.

The central bank on Sunday in a circular stated that raw-jute exporters could reschedule loans with a 2 per cent down payment of their outstanding loans. The loan outstanding will be calculated based on March 31, 2024.

As a result, the traders can get loans from scheduled banks as their moratorium will be accepted by banks.

Though Bangladesh is the global top raw jute exporter country, the traders have faced difficulties in exporting the item in the past few years.

The traders of this sector said that production costs had increased while export prices had stagnated on the global market.

‘Out-dated technology and old machinery have decreased the efficiency of the industry. Inefficient management and corruption have led to operational losses,’ said Abu Sufiya, a raw-jute exporter.

A lack of investment in modernisation and innovation has made the industry less competitive, he said.​
 

Is jute the answer to our plastic problem?

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File photo: Habibur Rahman

Plastic bags, particularly single-use plastics, have become a major cause for environmental pollution in Bangladesh. Additionally, in urban areas, plastic waste accumulates on the roads, in footpaths, and public places. It also clogs drainage systems, leading to waterlogging and flooding during the monsoon. Plastic waste is polluting rivers and canals, too, harming aquatic ecosystems.

Rural areas, often overlooked in discussions about plastic pollution, are also severely affected. Plastic bags and other waste are frequently discarded in fields and open spaces, leading to the degradation of soil quality, which affects agricultural productivity. Moreover, plastic waste can contaminate water sources, posing serious health risks to the rural populations. This underscores the urgent need for sustainable alternatives like jute packaging.

In recent times, the interim government of Bangladesh has prioritised the production of environmentally sustainable jute bags to replace plastic bags in transportation and marketing. The feasibility of mandatory jute packaging has been dependent on consumer awareness and economic factors. Despite its eco-friendly nature, jute's practical application and cost-effectiveness in modern packaging solutions are essentially considered.

The introduction of mandatory jute packaging is not just an environmental initiative, but also a significant economic opportunity. It will positively impact the economy by creating employment, particularly in rural areas, and potentially reducing poverty. The Export Promotion Bureau (EPB) reported that the export of jute and jute products earned $912 million in FY2022-23. This indicates that a rise in demand for jute sacks will not only promote production, but also safeguard the jute industry, thereby protecting the environment.

Bangladesh enacted the Mandatory Jute Packaging Act, 2010 to address this situation. This law is aimed at reducing the use of single-use plastic bags and protect against environmental pollution. Section 4 of the act states that no product prescribed under this act can be sold, distributed or supplied without being wrapped in jute packaging.

As per Section 12 of the act, any product packaged violating the law will be confiscated. And according to Section 14, if any person who violates the law and instead uses artificial wrapping for selling, distributing or supplying products prescribed under the law, they will be subject to imprisonment not exceeding one year or a fine not exceeding Tk 50,000 or both.

The Mandatory Jute Packaging Rules, 2013, meanwhile, aims to promote the jute industry and reduce environmental pollution by requiring the use of jute packaging for specific products. This rule stipulates the mandatory use of jute packaging for products like paddy, rice, wheat, corn, fertiliser, sugar, chilli, turmeric, onion, ginger, garlic, pulses, coriander, flour, potatoes, and bran. Legal action can be taken against those who use plastic bags for these products.

In 2002, Bangladesh banned the production, use, marketing, and transportation of polythene bags under the Environmental Conservation Act, 1995, due to their harmful environmental impact. Subsequently, initiatives were undertaken to promote eco-friendly jute bags as an alternative.

However, despite all these efforts, the desired results have yet to be achieved due to inadequate enforcement of the rules and law. Due to widespread availability of plastics, many traders resist switching to jute packaging, often perceived as less convenient and more expensive. Unfortunately, harmful polythene remains prevalent, from street vendors to shopping malls. Even small items purchased from the local groceries are frequently given in polythene bags, as are products such as rice, pulses, fish, meat, and vegetables.

Polythene is non-biodegradable; it damages soil quality. Burning polythene releases harmful carbon monoxide gas into the air. Weak enforcement and a lack of accountability have emboldened violators to continue disregarding the law. According to a World Bank report from December 2021, there was a significant increase in daily plastic waste generation in Dhaka, from 178 tonnes in 2005 to 646 tonnes in 2021. This surge occurred despite the ban on polythene production, which is still carried out by around 1,500 factories, mainly located in Old Dhaka.

Due to the influence of unscrupulous traders and polythene factory owners, these factories cannot be closed outright. They provide employment to many people, and sudden closure could lead to a spike in unemployment, which would be detrimental to the country's economy. Even if the government decides to close these factories, it must be done gradually and thoughtfully.

To ensure compliance, it is crucial that the government amends the existing law to require jute packaging for all mills and imposes stricter penalties, including licence revocation. Furthermore, to enforce the mandatory use of jute packaging, the authorities should increase the number of mobile courts conducting regular inspections. This will send a strong message to violators and deter future non-compliance.

It is imperative to revive the lost tradition of jute in our economy and encourage the widespread use of eco-friendly jute products. The Mandatory Jute Packaging Act, 2010 is a significant law, but its implementation needs to be improved. To ensure its success, it is imperative to raise public awareness and encourage active participation of the government, businesses, and citizens. By addressing these issues, Bangladesh can significantly reduce plastic pollution and promote sustainable practices.

Atiqur Rahaman is apprentice lawyer at the District and Sessions Judge's Court, Dhaka and a human rights activist.​
 

Reclaiming global competitiveness for jute
Simple solution for seemingly complex issues

Ajeyo Rohitashwo Al Quazi
Published :
May 07, 2025 23:48
Updated :
May 07, 2025 23:48

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There was a time when jute was called the 'Golden Fiber of Bangladesh' and was one of the major foreign currency-earning sectors. This was because Bangladesh produced-and still produces-65 per cent of the world's raw jute.

Moreover, the strength of the jute fiber produced in this land is 40 per cent higher than that of the remaining 35 per cent produced in other regions, such as West Bengal and Assam-not to mention its superior color quality. Tossa jute, one of the varieties produced in Bangladesh is considered to be the finest quality.

This reality turned into a fairy tale in the early 2000s when the Government of Bangladesh decided to shut down state-owned jute mills due to recurring annual losses, primarily caused by systemic failures.

As a natural consequence, a supply chain gap emerged in the international market, creating a dream-come-true scenario for neighbouring countries involved in jute product manufacturing.

And Bangladesh? From being a leading manufacturer of jute products, the country was reduced to merely a raw material exporter-a vicious cycle it has yet to break.

A paper published on the ResearchGate on Bangladesh's jute industry in 2021 showed the impact of the industry's decline that was visible both economically and socially. Bangladesh earned US$ 600 million from jute exports in 1990, a 5 per cent contribution to gross domestic product (GDP). But the numbers never grew from there and jute exports came down to US$ 150 million only in 2020, with less than 1 per cent contribution to the GDP.

In the same time period, jute industry employment came down from 3 million to less than a million.

Currently, Bangladesh exports approximately 40 per cent of its raw jute at an average rate of US$610 per ton. These same raw materials, once converted into jute products by other countries, are sold at around US$1,080 per ton to international buyers.

Despite producing 65 per cent of the world's raw jute-and of superior quality-Bangladesh has minimal stake in the global jute market. As a result, prices are dictated by countries that produce only 35 per cent of the total raw jute.

Although the Government of Bangladesh (GoB) has taken steps to provide cash incentives to jute mills, the damage was already done during the supply chain collapse of the early 2000s, and new major players emerged.

CAN THE TABLES BE TURNED: The answer is both simple and complex. Simple, because the decisive factor is the Government of Bangladesh itself. Complex, because the question remains: can the government remain firm in its decision, or will it create another policy blunder like the so-called 'Hilsa Fiasco'?

Turning the tables can be straightforward. Since Bangladesh still produces and exports more raw jute than any global competitors, priority should be claiming the global market position back.

First, the government has to focus on increasing raw jute prices. Since stopping raw jute exports may not be feasible, Bangladesh can impose an export tax on raw jute.

Second, the government needs to restrict export to sea routes only-any other mode should be considered smuggling, and the product should be confiscated and resold in the domestic market at a lower price.

Implementing both means Bangladeshi manufacturers would automatically gain a price advantage over foreign competitors.

Additionally, the government may consider reinvesting the levies collected to increase incentive rates for local jute manufacturers. This will enable Bangladeshi manufacturers to offer the most competitive prices globally, and the market will certainly open up. Bangladesh can also look at other Asian countries for good case studies of interesting and encouraging policies and initiatives.

For example India's government buys about Rs 12,000 crore of jute sacks yearly for foodgrain storage, effectively guaranteeing demand. A similar state procurement policy could stabilise Bangladesh's jute mills. India's government likewise enforces a strict packaging law: in Dec 2023 it mandated 100 per cent of foodgrains and 20 per cent of sugar be packed in jute bags. These norms use approximately 65 per cent of India's jute output and support roughly 4 lakh workers and 40 lakh farmers. With more business opportunities comes more investment and investment generates employment opportunities. Jute being a labour-intensive industry, can generate employment for thousands at a stretch.

Though not a major jute producer, the Philippines offers a comparable case in its government-supported abaca-Manila hemp industry. The Philippine Fiber Industry Development Authority (PhilFIDA) provides subsidies, R&D, and quality certification schemes that allowed abaca fiber exports to thrive, contributing over US$130 million in 2022. Bangladesh could explore establishing a similar jute-specific authority with R&D and market access mandates.

The European Union's Green Deal and Circular Economy policies increasingly favour natural fiber packaging and biodegradable alternatives. While specific figures vary, there has been a notable rise in demand for jute-based goods, particularly in countries like Germany and the Netherlands. Bangladesh can align with these trends by branding itself as a climate-responsible jute producer and investing in green product standards. Additionally, Turkey stands as a significant importer of Bangladeshi jute. These markets present opportunities for Bangladesh to pursue more business opportunities, targeted product diversification and value-added jute manufacturing.

Just to cite an example: if daily production increases in our country by 500 tons, i.e., 13,000 tons per month (which is minimal), an additional 15,000 unskilled labourers from the marginal class will have employment opportunities. While automation is eating up low and unskilled people's jobs in many sectors, jute industry can be the one to accommodate a large number of such employees.

If the policymakers take these initiatives to gain global market price competitiveness for Bangladesh's raw jute, we can expect employment opportunities for approximately 45,000-55,000 unskilled people by 2027. And by 2030, jute might stand next to the RMG sector in employment.

If the GoB can sustain such policies and initiatives until 2035, the country could once again reclaim its position as the leader of the global jute market, having employed at least a million people as blue-collar workers.

But the question remains, will the GoB walk that path of claiming lost glories?

The author is a writer, novelist, business enthusiast and a pro-Bangladeshi thinker. He is the Chief Strategy Officer of Jute Alliance Limited.​
 

Massive plan afoot to grow jute in Khulna region

OUR CORRESPONDENT
Published :
May 27, 2025 08:31
Updated :
May 27, 2025 08:31

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KHULNA, May 26: Farmers have taken extensive plans to bring a vast tract of land into jute cultivation in Khulna region and grow the cash crop on a massive scale this season.

Jute is a cash crop which is known as 'golden fibre' in the country whose climate and soil are suitable for its production.

According to official sources, jute sowing began in Khulna region in the first week of April. In order to increase jute production, intensive cultivation is now underway.

They believe if weather is favourable, it will be possible to start harvesting jute in mid-July to the first week of September.

Farmers will be able to achieve the target, which will create interest among other farmers for jute production.

The huge jute production will play an important role in the country's economy.

According to sources from the Department of Agricultural Extension, Khulna region has set a target for jute cultivation and production in the current 2025-26 Kharip-1 season in order to increase jute production in this region.

Some 1,447 hectares of land will be brought into jute cultivation in Khulna district, 1,960 hectares in Bagerhat, 12,550 hectares in Satkhira and 23,900 hectares in Narail.

DAE sources the target has been fixed to grow jute on 38,078 hectares in Khulna region.

In the current Kharip-1 season, initiatives have been taken to achieve the target on 1,471 more hectares of land in Khulna region compared to last year's.

Shahbuddin, a farmer of Dighlia, said, "This year I have cultivated jute on 5 hectares of land. I have given water to the field."

Local upazila agricultural office provides overall assistance, he added.

Md Amirul Islam, deputy assistant agriculture officer of Kalia Upazila Agriculture Office, said jute has been cultivated on 150 hectares of land in different villages of Dhushati, Bil Bauch, and Baladanga blocks in my Salamabad Union.

Jute cultivation began in mid-April of this year, which has already been completed. After sowing, various works including weed control, thinning to increase the height of the trees, application of chemical fertilizers, and disease and insect control are underway.

Khulna's Dighalia Upazila Agriculture Officer Kishore Ahmed said that in order to increase jute production in Dighalia, 50 hectares of land have been brought into jute production. The upazila agriculture office is providing overall support for farmers to grow jute. Khulna Region DAE Additional Director Md Rafiqul Islam said that the target of jute cultivation and production has already been set for the current 2025-26 Kharip-1 season. The target of jute cultivation in the Khulna region has been set at 39857 hectares of land.

Against the production target, the cultivation in this region has already progressed by 38,078 hectares, which is 95.5 per cent.

This season, initiatives have been taken to achieve the target on 1,471 more hectares of land in Khulna region compared to last year's.​
 

Jute growers eye bumper yield

OUR CORRESPONDENTS
Published :
Jun 05, 2025 14:46
Updated :
Jun 05, 2025 14:46

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A farmer taking care of his jute in village Beroil under Magura district - FE Photo

Jute farmers of Magura and Gopalganj districts are expecting a bumper production this year, as weather for growing the 'golden fibre' of Bangladesh is favourable.

Our Magura Correspondent says adequate rainfall and quality seeds have made Magura jute growers optimistic of achieving a bumper production.

In the meantime, jute plant has taken a hopeful height and fresh look.

According to sources at the Department of Agricultural Extension (DAE) in Magura said farmers have brought 34,370 hectares of land this season with an output target of 463,995 bales jute.

This season jute growers in the district are blessed with adequate rainfall, which is 175mm from April 1 to May 31.

Earlier, 5,600 jute growers in the district were provided with free seeds as incentive.

Ali Reza, a farmer of village Ghoramara under Magura Sadar Upazila, said, "I have brought my 2 bighas of land under jute cultivation. I am expecting 20 maunds of jute this season. I have got free seeds from the DAE as incentive.

Another farmer, Moinul Hossen, of village Kullia under Magura Sadar Upazila said, "This year I have brought my 3 bigha land under jute cultivation. Due to adequate rainfall I have no irrigation cost for my jute land."

Moreover, due to adequate rainfall my jute plants have taken fresh look making me optimistic to achieve a bumper production.

Mukter Hossen, a farmer of village Beroil under Magura Sadar Upazila, said if such weather prevails, we get adequate water in water body for jute rotting we shall be able to sell quality jute counting handsome profit.

He also said that the government should adopt proper policy right now to ensure fair price of jute.

Agriculturist Shushan Chowhan said jute farming has a positive impact on soil. The leaves fall from jute plant work to enhance fertility of soil.

When contacted, DAE additional deputy director Bishnupada Shaha said this year favorable weather is prevailing for jute cultivation. "We have provided growers with incentive and proper training. We are optimistic to see a bumper yield of jute this season."

Our Gopalganj Correspondent reports said the Gopalganj DAE has taken up the programme of jute cultivation on 24,859 hectares of land. Where probable production target at 16,15, 835 metrictons (MT) under five upazilas in the district, this current year.

According to the DAE, Khamarbari, Gopalganj official sources said Tosha 24,503 hectares, Masta jute 346 hectares & local 10 hectares, where about 1,29,270 farmers involved this farming, sources said.

Solayman Sikder (42), a jute farmer of village Tala under Suktail union of Sadar upazila, said he cultivated jute origin "Tosha" on 3 hectares of land this year, where expending cost about Tk 270,000 if the weather condition remains favorable. "But I will get 210 mounds of jute from it produce. Which market price is taka

735,000," he said.

Md. Mahbub, Sub-Assistant Agricultural Officer (SAAO) of Suktail union block No-9, Kuthibari under sadar upazila said, a total of 520 hectares of land have been brought under jute cultivation in the union. Which maximum origin is Tosha & about 800 farmers involved this farming. He more added, jute farmers in our areas are highly glad due to fair price of its & they are more interested on jute farming, SAAO Md. Mahabub said.

Tuku Molla (50), another jute farmer of village Bonbari under Suktail union of Sadar upazila, said he cultivated jute origin "Tosha" variety on 2 hectares of land this year & its growth condition is satisfactory. "I think if the weather condition remain unchanged but I will get 140 mounds of jute from my field, which current market price is taka 4,90,000. Where expending cost taka 1,80,000 only."

Mafroza Akter, Upazila Agriculture Officer (UAO), sadar told the FE that a total of 5,178 farmers of land have been brought under jute cultivation, this current year. She more added, jute is seasonal favorable cash crop for grows and they get a good economic support from its to sale the markets in crisis period (Rainy season). But jute is a financial helper crop for farmers in this region, UAO said.

Sakayot Sheikh, 45, a jute farmers of village Bonbari under Suktail union of sadar upazila, said he farming jute on one hectare of land origin "Tosha", but last year I got a good profit from this jute cultivation.

"I think this year I will get same profit from my jute farming too. Because my jute growth condition is satisfactory," he added.

Sanjoy Kumar Kundu, additional deputy director (ADD) crop, Khamarbari, Gopalganj, told the FE that constantly monitoring overall progress of jute farming and smoothly supply of agro inputs among the farmers to achieve a total success on jute cultivation.​
 

Exports of jute and jute goods keep falling

FHM Humayan Kabir
Published :
Jul 05, 2025 00:50
Updated :
Jul 05, 2025 00:50

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Bangladesh's jute and jute goods sector has become pale as year-on-year exports have slipped from the billion-dollar club even after huge government investments for sectoral development, analysts say.

Local manufacturers and jute processors exported goods worth $820.16 million in the just-concluded fiscal year of 2024-25, the Export Promotion Bureau (EPB) data shows.

The export of what was once Bangladesh's golden fibre failed to return to the billion-USD-mark after the fall from that position in FY23.

The earnings from the shipments of jute and jute goods were an impressive $1.16 billion in FY21, which then started falling, official data shows.

In FY22, export earnings slipped to $1.13 billion and maintained a steep fall to $911.51 million in FY23, $855.23 million in FY24, and $820.16 million in FY25, the EPB statistics show.

Meanwhile, the government has invested hundreds of billions of takas every year for the jute sector's development through the Ministry of Textiles and Jute.

Currently, the agencies of the ministry are implementing 21 development projects under the Annual Development Programme (ADP) at a combined cost of Tk 3317.17 billion.

Except for jute sacks and bags, the shipments of jute and all jute goods declined in FY25 compared to the previous fiscal year.

According to the EPB, Bangladeshi jute and jute goods exporters shipped $148.48 million of raw jute in FY25, 7.94 per cent lower than $161.28 million in the previous fiscal year.

The shipments of the highest export earners - jute yarn and twine - dropped by 6.22 per cent to $461.83 million in the last fiscal year from $492.45 million in FY24.

Meanwhile, the shipments of jute bags and sacks showed a better performance in FY25 as exporters sent products worth $125.96 million, 18.51 per cent higher than $492.45 million in FY24.

Economists and jute exporters said the low rate of value addition and the smuggling of jute goods affect Bangladesh's shipments.

Besides, India's anti-dumping duty on Bangladesh's jute and jute products is one of the reasons behind the low foreign exchange earnings, they said.

India imposed anti-dumping duties on Bangladeshi jute products in 2017, citing unfair pricing and market distortion.

The move significantly affected Bangladesh's jute industry, reducing exports and affecting thousands of workers who rely on the sector.

India's Directorate General of Trade Remedies (DGTR) carried out a sunset review investigation and recommended an extension of the anti-dumping duty on the import of jute products from Bangladesh and Nepal in September 2021.

The finance ministry of India extended the levy on December 30, 2022.

Local jute goods maker Rejaul Karim Pintu told The Financial Express the global economic slowdown, coupled with shrinking worldwide demand for jute products, significantly impacted exports.

"Raw jute prices increased significantly in recent years. So, the cost of production increased, impacting export competitiveness," Mr Pintu, also the senior vice chairman of the Bangladesh Jute Goods Exporters Association (BJGEA), said.

Besides, India's anti-dumping duties on jute products from Bangladesh and the smuggling of raw jute into India are affecting export earnings, Mr Pintu, the owner of Bico Jute Fibre Ltd, said.

Economist Masrur Reaz, also the chairman and chief executive officer of Policy Exchange Bangladesh, said Bangladeshi producers have mainly failed to add value to jute and basic jute goods, which is why export earnings have not grown.

India's anti-dumping duty is also a reason behind the falling trend of the export of jute and jute goods, he added.
 

Lives on hold: Workers await reopening of closed jute mills
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Photos: Habibur Rahman

Working at jute mills was somewhat of a family tradition for Nasima Akter.

Her father, Abdul Mannan, migrated from Noakhali's Companiganj to Khulna in the pre-independence era and took a job at Crescent Jute Mills, one of the oldest in the region. Later, Nasima and her two brothers, Shahadat and Al Amin, would follow him into the same line of work, reporting to their factory gates for more than a decade.

The jobs brought security, dignity and stability for the family, till July 2020, when it all came crashing down.

That monsoon, the then Awami League-led government announced the sudden closure of 25 state-owned jute mills across the country, citing years of losses, excessive production costs, and inefficiencies that had made the operations unsustainable.

More than 50,000 workers were laid off, including Nasima and her brothers, in three categories -- permanent, temporary, and substitute workers in the jute mills.

At that time, the then government said closed factories would be modernised and reopened soon through various arrangements, including joint ventures, public-private partnerships or government-to-government partnerships.

Five years on, that revival remains partial and uneven.

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THE SOUND OF SILENCE

Despite all the hurdles, the laid-off workers still hope for a return to their old days. For them, it was not just a job, but also social security and respect.

"When the mill was running, local shopkeepers gave us groceries on credit because they knew we would pay them back when we got our wages. Now they don't trust us anymore. They know we can't pay," said Nasima.

Her brothers, who also lost their mill jobs, survive by hawking goods on the streets of Khulna city.

Tajul Islam, a former worker of Platinum Jute Mills, now earns his bread by working as a helper on public transport.

"Back when the mill was open, we had three proper meals a day. I could afford to feed my three children."

"Back then, when the morning siren blew, we'd line up to enter the mill. Work gave us respect, routine, and joy. Thursdays were payday, our happiest day of the week," he recalled.

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"Now, I work all day, and still, I can't afford the minimum expenses. I don't know when we'll see better days again," he added.

Md Khalilur Rahman, former Collective Bargaining Agent (CBA) leader of the closed Platinum Jute Mills, said that since mill closures in 2020, thousands of families have been pushed into extreme poverty.

"Children dropped out of school, medical care turned into a luxury, and despair became widespread. Hope alone cannot feed a family," said Rahman.

"The collapse of the jute industry has affected every layer of the city, from small vendors to transport workers to landlords," he said, "When the mills were running, life had sound and rhythm. Now, everything is quiet. Hundreds pull rickshaws to survive, and they are hoping that one day it will be open," he added.

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BROKEN PROMISES

The government plan was to reopen the mills within three months. That didn't happen.

Later, in April 2021, the Bangladesh Jute Mills Corporation (BJMC), which manages all government-owned jute factories and industries in Bangladesh, called upon interested investors to submit expressions of interest for leasing out 17 of the mills for a period of five to 20 years.

As of now, only 13 have been handed over to the private operators under lease.

In the Khulna-Jashore region, once the beating heart of the country's jute industry, nine mills were shuttered. Four have resumed limited production under private management, collectively employing just over 3,100 workers, a fraction of the 34,000 who once relied on those jobs.

"After I lost the job, even landlords started to act reluctant to rent houses to us. They are afraid we won't be able to pay the rent on time," said 49-year-old Nasima, who now works as a seasonal labourer.

"You'll see hundreds of 'To-Let' signs all over Khalishpur, but they won't rent to jute mill workers like us."

She was forced to leave her rented home in Noyabati, Khalishpur, and move to the city's Bastuhara area with her children, Hasib and Rahima. Her dreams of educating her kids faded quickly.

Her son, Hasib, took a job at a private power plant. Her daughter, Rahima, was married off early -- a choice made in desperation. A year later, Rahima returned home with a child in her arms. Her husband had left.

"I worked at the mill for 16 years," Nasima said. "But I was never made permanent. When it closed, they gave me Tk 114,000 as part of the golden handshake. That money doesn't last long."

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BEATING HEART NOW SKIPS A PULSE

Of the nine mills in the southwestern belt, three mills -- Daulatpur Jute Mills, Khalishpur Jute Mills and Crescent Jute Mills -- have been leased out. Meanwhile, two others, Platinum Jute Mills and Star Jute Mills, are in the leasing process.

In the Khulna-Jashore region, Jessore Jute Industries (JJI), Carpeting Jute Mills and Eastern Jute Mills are currently in production.

Alim Jute Mills has remained closed due to legal disputes related to its lease.

Daulatpur Jute Mills was handed over to Fortune Group on September 4, 2023. On March 14, 2024, they launched a shoe manufacturing unit on a limited scale within the mill premises.

At its peak, the shoe factory had about 700 workers across two production units. The factory recently declared a lay-off, leaving around 450 workers unemployed.

Masum Billah, legal adviser to Fortune Group, told The Daily Star that the factory used to export 100 percent of its shoes. "Due to trade complications with India, exports and new orders have come to a halt. This forced us to lay off the shoe factory," he said.

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Currently, only 148 workers remain employed in the jute product section. But that unit, too, is under pressure due to the rising cost of raw jute and other operational challenges.

"We are producing just around one tonne of jute products daily. Over the last two years, our jute unit alone has suffered losses of nearly Tk 6 crore," Masum added.

However, Akij Group, which took over Jessore Jute Industries under lease in May 2023, has been producing jute goods. The monthly lease payment stands at Tk 15 lakh. Currently, around 2,000 workers are employed at the mill.

Abul Kalam, project head at the mill, said the group has installed new machinery, significantly increasing production.

The mill now produces between 65 and 70 tonnes of jute products daily, compared to a maximum of only 15 tonnes before its closure, he said.

Yet the number of jobs created is not enough to create opportunities for workers like Nasima.

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WHAT IS THE GOVT DOING?

Md Abdur Rouf, secretary at the Ministry of Textiles and Jute, told The Daily Star that efforts were underway to transfer the mills to the private sector.

"Today, (July 8) we finalised terms with four more mills," he said. "Many have already been leased out. Several mills began operations after taking leases but later withdrew. They cannot sustain the costs."

When asked why they were struggling or whether they wanted to diversify beyond jute, he replied, "We allowed and continue to allow them to venture into textiles beyond jute. These mills are very large in scale. They could utilise other sections of the premises for different purposes. Yet some lessees still terminated their agreements."

He added, "The jute mills are valuable resources. They must be utilised. That is only logical. The BJMC owns mills and factories across 13,000 acres of land. These sites are strategically important. They are being used in some form, and this must continue. Letting them sit idle is not an option."

"The BJMC or the government will not invest directly or run businesses here. They are stepping back from that. But there is no reason to leave these resources unused. The jute mills are resources," he said.

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In a visit to Daulatpur Jute Mills earlier this year, Textiles and Jute Adviser Sk Bashir Uddin said the conditions for leasing jute mills to the private sector would be relaxed, allowing for the establishment of other industries alongside jute-based industries.

He noted that the initiatives to reopen jute mills under government management have only led to the loss of thousands of crores of taka and produced nothing fruitful.

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