The Hindu Business Line : Jute mills hopeful of stepping up supply to meet kharif season needs

Kolkata, July 5 The shortage of sacking during kharif marketing season (KMS) 2009-10 will not be as large as earlier estimated, according to jute industry sources. The shortage, it is now estimated, will be about two lakh bales against the earlier estimate of 7.6 lakh bales, according to Mr Sanjay Kajaria, Chairman, Indian Jute Mills’ Association.

This shortage of two lakh bales could be met through the use of alternative jute bags such as hessian, old gunny bags etc., Mr Kajaria observed.

The earlier estimate of shortfall of 7.6 lakh bales was based on the calculation that the jute industry would be able to supply only 6.6 lakh bales by September against the demand for 14.20 lakh bales. Earlier in April, the demand was assessed at 10.47 lakh bales.

Supply plan

In its supply plan for KMS 2009-10, already submitted to the Ministry of Textiles, the jute industry has indicated to supply around 7.95 lakh bales by September 30, Mr Kajaria told Business Line.

Till June 23, the industry supplied only 1.54 lakh bales against the indents placed for 3.08 lakh bales, thereby, leaving a shortfall of more than one lakh bales till date.

However, Mr Kajaria seemed confident that the industry would be in a position to supply another 10.45 lakh bales by November. “We are hopeful of producing 2.25 lakh bales a month once conditions normalise and, therefore, will be within limits to meet supply targets for kharif 2009-10”, he observed.

New crop arrival

With the arrival of the new crop from mid-August, the present difficulties caused by high fibre price, crop starvation, labour shortage, shift reduction, mill-closures (currently 12 mills are closed in West Bengal) would not be there and the industry would be on a stronger ground to meet the kharif requirements, the IJMA Chairman observed. The supply projections for the coming months suggested that the industry would be in a position to supply even in December, Mr Kajaria said pointing out that the future supply might also include hessian bags for food grains, if approved by the Government.

At a recent meeting, under the chairmanship of the Joint Secretary (P &FCI) to review the supply of packaging material for KMS 2009-10, the IJMA also suggested the possibility of using alternate variety of jute bags for sacking. “Making use of alternate variety of jute bags such as hessian and old gunny bags can help mitigate the problem of shortage of gunny bales for sacking food grains,” he observed.

The B-Twill variety of jute bag is currently used for sacking food grains.

The industry also emphasised the need for the Textile Ministry’s intervention in the re-opening of the presently closed 12 mills by taking up the matter with the West Bengal Government on an urgent basis, he said.