Export of raw jute, goods fetch $242m in July-Nov
Sunday, 24 January 2010
Monira Munni
The country fetched US$242 million from export of jute goods and raw jute during the July-November period of the current fiscal year marking a return to its past glory.
According to Export Promotion Bureau (EPB), raw jute export from the country marked a 33.18 per cent growth to fetch $86.58 million from $65 million in the same period a year ago.
Similarly, jute goods export rose to 27.39 per cent earning $156 million against $122 million last year.
The government has set a target of earning $155.58 million and $282.71 million from raw jute and jute goods export in 2009-10 fiscal year.
The global demand of raw jute and jute goods has increased largely because more and more people were choosing products made of environment-friendly natural fibres to minimise the affect of climate change, an EPB official said.
The robust growth in raw jute and jute goods export came while the country's overall export earning plunged 6.93 per cent to fetch $6.09 billion in the July-November period due to global recession.
The country's private jute mills were severely hit by raw jute scarcity while its price has already marked an abnormal rise in recent times mainly due to inadequate supply, Bangladesh Jute Mills Association leaders said.
Following the scarcity, jute mills operators reportedly said the raw jute price has now jumped to Tk 2,000 per maund from Tk 1,200 to Tk 1,250 per maund just a couple of months back.
The country is expected to produce 5.5 million bales of raw jute this season.
Presently, the jute mills -- both private and state-run -- consume 3.0 million to 3.2 million bales of raw jute per annum while the country's raw jute export is estimated at 1.8 million bales a year.
"We will face a huge loss because of the government's restriction on raw jute export" Sheikh Farook Hossain, chairman of Bangladesh Jute Association (BJA) told the FE.
"Already we have a large number of export orders from foreign buyers," he said. Though the government had partially withdrawn a ban on raw jute export, the country would miss an opportunity to establish jute in the global market, if the ban was not totally withdrawn, he added.
The BJA leader said prices of both raw jute and jute goods have gone up significantly in the global market, mainly due to increased global demand for the environment-friendly natural fibre.
But the association officials said a section of hoarders have created an artificial crisis of the golden fibre in the market to make extra profit which is also a reason for such demand-supply mismatch.
The country fetched US$242 million from export of jute goods and raw jute during the July-November period of the current fiscal year marking a return to its past glory.
According to Export Promotion Bureau (EPB), raw jute export from the country marked a 33.18 per cent growth to fetch $86.58 million from $65 million in the same period a year ago.
Similarly, jute goods export rose to 27.39 per cent earning $156 million against $122 million last year.
The government has set a target of earning $155.58 million and $282.71 million from raw jute and jute goods export in 2009-10 fiscal year.
The global demand of raw jute and jute goods has increased largely because more and more people were choosing products made of environment-friendly natural fibres to minimise the affect of climate change, an EPB official said.
The robust growth in raw jute and jute goods export came while the country's overall export earning plunged 6.93 per cent to fetch $6.09 billion in the July-November period due to global recession.
The country's private jute mills were severely hit by raw jute scarcity while its price has already marked an abnormal rise in recent times mainly due to inadequate supply, Bangladesh Jute Mills Association leaders said.
Following the scarcity, jute mills operators reportedly said the raw jute price has now jumped to Tk 2,000 per maund from Tk 1,200 to Tk 1,250 per maund just a couple of months back.
The country is expected to produce 5.5 million bales of raw jute this season.
Presently, the jute mills -- both private and state-run -- consume 3.0 million to 3.2 million bales of raw jute per annum while the country's raw jute export is estimated at 1.8 million bales a year.
"We will face a huge loss because of the government's restriction on raw jute export" Sheikh Farook Hossain, chairman of Bangladesh Jute Association (BJA) told the FE.
"Already we have a large number of export orders from foreign buyers," he said. Though the government had partially withdrawn a ban on raw jute export, the country would miss an opportunity to establish jute in the global market, if the ban was not totally withdrawn, he added.
The BJA leader said prices of both raw jute and jute goods have gone up significantly in the global market, mainly due to increased global demand for the environment-friendly natural fibre.
But the association officials said a section of hoarders have created an artificial crisis of the golden fibre in the market to make extra profit which is also a reason for such demand-supply mismatch.