Jute sector showing new promise of revival
Wednesday, 26 September 2007
AMID recent negative developments relating to a good number of public sector jute mills that are saddled with the problems of staggering amounts of losses, the piece of news about investment in jute mills under private ownership increasing in the northern districts of the country is certainly heartening. All hopes are not lost about the jute sector and there are now promises about its revival. A report published in this paper last Sunday said about Taka 1.0 billion was invested in private jute mills in Rangpur, Kurigram, Panchagarh and Nilphamari districts in the last five years. What is more welcome is that all those jute mills are running profitably. New private investments in jute sector in the northern districts also cover at least three more units that are awaiting formal inauguration. Investors in the jute sector, according to the report, have procured their machinery and equipment from the former Adamjee Jute Mills, the operations of which were earlier shut down for avoiding the recurrent losses of high order in the public sector jute mills. New capital machinery have also been imported particularly from India for setting up jute mills in the private sector in the northern districts of the country.
All these developments do provide the ground to dispel misgivings about the future of the jute industry. If new mills, being unencumbered by the burden of past losses, surplus manpower and all other inefficiencies, can run their operations profitably, that will certainly disprove the views of those who have likened the situation in the country's jute mills to that of 'sunset industries'. Entrepreneurs who have taken the lead in setting up new jute mills and ensuring their profitable operations deserve congratulations for showing the way for revival of the sector. New job opportunities have been created for the workers in the process and such workers have been contributing their best to cost-effective operations of the units in which they are employed. Reportedly, at least 3000 workers and employees are already working in all such new private jute mills in the country's northern districts and each skilled worker there has been earning a minimum of Taka 3,000 on an average monthly basis. When more such mills will go into commercial production upon execution of related investment plans in the region, job opportunities for at least 5,000 workers will be created. The fact that most new private jute mills, already in operation or awaiting formal inauguration, are located in the northern -- and relatively more backward or disadvantaged -- districts of the country, augurs well for promoting a balanced regional development.
With profitable jute mills now in operations, prospects for jute to regain its lost glory as the golden fibre have brightened. Environment-friendly traits of jute are its main attractions in to-day's world. There can be multi-dimensional uses of jute, besides the traditional ones like jute bags, rope etc. Thus, wall-mats, carpets, rugs, window certain, cushion cover, vanity bags, briefcase, suitcase and many other items of everyday use can be produced from jute. There is already a growing demand for such varied products of jute in the international markets. For harnessing the full potential for diversified uses of jute products, stable and increased supplies at cost-effective prices assume a great deal of importance. Technology is an important element here for quality control purposes and global buyers are very much quality conscious. Concerted efforts involving both the relevant government agencies and the private sector will be required to pave the ground well for sustained recovery of the country's jute sector. Now that new private investors in the country are showing their interest in exploiting the potential of the natural fibre under to-day's changed demand conditions, the government, on its part, should do the needful at the earliest through supportive policy measures that will enhance the competitive strength and efficiency of the jute industry on a sustained basis. Otherwise, the recovery path for the sector will remain no less challenging than before.
All these developments do provide the ground to dispel misgivings about the future of the jute industry. If new mills, being unencumbered by the burden of past losses, surplus manpower and all other inefficiencies, can run their operations profitably, that will certainly disprove the views of those who have likened the situation in the country's jute mills to that of 'sunset industries'. Entrepreneurs who have taken the lead in setting up new jute mills and ensuring their profitable operations deserve congratulations for showing the way for revival of the sector. New job opportunities have been created for the workers in the process and such workers have been contributing their best to cost-effective operations of the units in which they are employed. Reportedly, at least 3000 workers and employees are already working in all such new private jute mills in the country's northern districts and each skilled worker there has been earning a minimum of Taka 3,000 on an average monthly basis. When more such mills will go into commercial production upon execution of related investment plans in the region, job opportunities for at least 5,000 workers will be created. The fact that most new private jute mills, already in operation or awaiting formal inauguration, are located in the northern -- and relatively more backward or disadvantaged -- districts of the country, augurs well for promoting a balanced regional development.
With profitable jute mills now in operations, prospects for jute to regain its lost glory as the golden fibre have brightened. Environment-friendly traits of jute are its main attractions in to-day's world. There can be multi-dimensional uses of jute, besides the traditional ones like jute bags, rope etc. Thus, wall-mats, carpets, rugs, window certain, cushion cover, vanity bags, briefcase, suitcase and many other items of everyday use can be produced from jute. There is already a growing demand for such varied products of jute in the international markets. For harnessing the full potential for diversified uses of jute products, stable and increased supplies at cost-effective prices assume a great deal of importance. Technology is an important element here for quality control purposes and global buyers are very much quality conscious. Concerted efforts involving both the relevant government agencies and the private sector will be required to pave the ground well for sustained recovery of the country's jute sector. Now that new private investors in the country are showing their interest in exploiting the potential of the natural fibre under to-day's changed demand conditions, the government, on its part, should do the needful at the earliest through supportive policy measures that will enhance the competitive strength and efficiency of the jute industry on a sustained basis. Otherwise, the recovery path for the sector will remain no less challenging than before.