Kolkata, February 11 An association of jute balers has written to the Union Ministry of Textiles, opposing the Indian Jute Mills Association's (IJMA) recommendation to ban the storage of raw jute, arguing that such a move would disrupt the supply chain and harm farmers' interests.
In a letter to the ministry, the Jute Balers' Association presented an alternative view to IJMA's proposal, which sought restrictions on the storage of raw fibre by balers and traders.
In its representation to the textile ministry, IJMA had urged the Centre to ban private trading of raw jute in order to control the unprecedented price of the raw material, which is causing mills to reduce production, shut down, and face job losses.
They have also sought a ban on jute seed exports to Bangladesh.
Union Textiles Minister Giriraj Singh was in the city on Sunday and held a meeting during which IJMA briefed him on the issue.
Balers play a crucial role in procuring raw jute from farmers, grading and storing it, and ensuring a steady supply to mills throughout the year.
Imposing a ban on storage would adversely affect this system and create unnecessary volatility in the market, the association argued.
The balers' body urged the textile ministry not to accept IJMA's recommendation, but instead to hold consultations with all stakeholders before making any decision on the matter.
According to the letter, restricting storage by balers could lead to distress sales by farmers during peak harvest season and concentrate control of the raw material in the hands of mills.
The association maintained that storage by balers helps stabilize prices and ensures the uninterrupted availability of quality jute to the industry.
It also emphasised that any abrupt regulatory change could have wider implications for the entire jute value chain, including farmers, traders, and downstream units that rely on timely raw material supplies.
