The Financial Express

Private millers urge govt to take steps to keep jute prices stable

| Updated: November 25, 2021 19:22:30

Private millers urge govt to take steps to keep jute prices stable

Private jute millers have sought the government's intervention to keep the prices of raw jute stable on the domestic market.

Due to the prevailing crisis of raw jute and high prices, most millers were struggling hard to survive, they said.

Bangladesh Jute Mills Association (BJMA) made the appeal in a letter sent to the Ministry of Textiles and Jute last week.

The association leaders also suggested launching a drive against the hoarders who have stocked up on raw jute illegally.

Abdul Barik Khan, secretary general of the BJMA, said although the production of raw jute was satisfactory, the supply situation remains volatile due to illegal hoarding.

And the high prices of the raw jute pushed many mills on the verge of closure, he mentioned.

Of the 203 jute mills in the country, 62 have already been closed down in the last six to seven years because of a declining trend in the exports earnings while some running units have become sick recently, he added.

About 7.0 to 8.0 million bales of raw jute are produced in the country each year. Bangladesh exports jute goods to 135 countries including China, Turkey, India, Sudan and Zimbabwe.

According to the data of Export Promotion Bureau (EPB), the earnings from the exports of jute and jute goods dropped by more than 24 per cent during the July-October period of the current Fiscal Year (FY) 2021-22.

Bangladesh earned US$ 332.98 million in the past four months of the current fiscal year. The earnings were $438.78 million in the same period of the previous fiscal year.

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