Raw jute export deserves to be treated as agro-based activity
Thursday, 29 November 2007
Md. Rezaul Karim
JUTE is an agricultural product, produced in cultivable land by the farmers. In all stages of the production of jute, a large number of people is required. Bangladesh is densely populated. So, the cultivation of jute is invariably favourable here as labour is cheap. Rather the climate does not disqualify Bangladesh from putting the plough in the cultivable land during monsoon.
Jute has lost its past glory because of the wrong policies of different regimes. But the untiring attitude of the private shippers and exporters extended a great help for survival of jute at both national and international levels under the guidance of Bangladesh Jute Association (BJA) which is the national representative body of raw jute traders and exporters in the private Sector. The BJA being the pivot of raw jute business has been steering the export of raw jute to overseas countries in the face of the poor performance of the public sector. Its member-exporters, despite their multifarious problems, have been working to create a platform to develop the jute sector. They have been earning foreign exchange on an average between Taka 8.00 billion(800 crore) and Tk. 10 billion(1000 crore) every year by exporting 2.4 or 2.5 million bales of raw jute.
Raw jute is also an export-oriented item and it earns valuable foreign exchange for the nation. Once jute was the main source of foreign exchange earning. But with the passage of time and the sudden rise of apparels and garments through additional incentives has crowded out jute in the international market.
The emergence of synthetic sector has had an adverse effect on development of the jute sector. As soon as the synthetic occupied the market, the demand for jute in the international market was believed to have been declined. But recently the demand for jute has resurfaced in the global market due to relentless efforts of the shippers and exporters.
Jute is a natural fibre, it is durable and eco-friendly. Since the jute goods are perishable and the worldwide demand for jute has increased because of its eco-friendly character. Bangladesh that once produced quality jute in large volume was branded as the land of Golden Fibre. In the face of the worldwide demand, the UNO has endorsed the proposal of FAO and declared 2009 as the year of natural fibre.
We consider that raw jute should be considered an agricultural product and the export of raw jute as an agro-based industrial activity. Since the exporters of raw jute purchase jute from the growers in the interior market and after processing the same in different grades, pack the same in pucca bales weighing about 180 Kgs. each for export. Between procurement at the growers' level and export, there are various stages and those cost more money after purchase of loose jute. Because of different processing stages value addition is indispensable. Hence it falls under semi-processing industry.
Our demand is genuine and for that reason, raw jute should be recognised as an agricultural product and raw jute export operations should be treated as agro-based industrial activity. All facilities as applicable for agro-based industry should be given to the raw jute exporters to help boost export further and, thus, to earn more foreign exchange. The caretaker government does need to look into the matter on a priority basis.
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The writer is Chairman, Bangladesh Jute Association
JUTE is an agricultural product, produced in cultivable land by the farmers. In all stages of the production of jute, a large number of people is required. Bangladesh is densely populated. So, the cultivation of jute is invariably favourable here as labour is cheap. Rather the climate does not disqualify Bangladesh from putting the plough in the cultivable land during monsoon.
Jute has lost its past glory because of the wrong policies of different regimes. But the untiring attitude of the private shippers and exporters extended a great help for survival of jute at both national and international levels under the guidance of Bangladesh Jute Association (BJA) which is the national representative body of raw jute traders and exporters in the private Sector. The BJA being the pivot of raw jute business has been steering the export of raw jute to overseas countries in the face of the poor performance of the public sector. Its member-exporters, despite their multifarious problems, have been working to create a platform to develop the jute sector. They have been earning foreign exchange on an average between Taka 8.00 billion(800 crore) and Tk. 10 billion(1000 crore) every year by exporting 2.4 or 2.5 million bales of raw jute.
Raw jute is also an export-oriented item and it earns valuable foreign exchange for the nation. Once jute was the main source of foreign exchange earning. But with the passage of time and the sudden rise of apparels and garments through additional incentives has crowded out jute in the international market.
The emergence of synthetic sector has had an adverse effect on development of the jute sector. As soon as the synthetic occupied the market, the demand for jute in the international market was believed to have been declined. But recently the demand for jute has resurfaced in the global market due to relentless efforts of the shippers and exporters.
Jute is a natural fibre, it is durable and eco-friendly. Since the jute goods are perishable and the worldwide demand for jute has increased because of its eco-friendly character. Bangladesh that once produced quality jute in large volume was branded as the land of Golden Fibre. In the face of the worldwide demand, the UNO has endorsed the proposal of FAO and declared 2009 as the year of natural fibre.
We consider that raw jute should be considered an agricultural product and the export of raw jute as an agro-based industrial activity. Since the exporters of raw jute purchase jute from the growers in the interior market and after processing the same in different grades, pack the same in pucca bales weighing about 180 Kgs. each for export. Between procurement at the growers' level and export, there are various stages and those cost more money after purchase of loose jute. Because of different processing stages value addition is indispensable. Hence it falls under semi-processing industry.
Our demand is genuine and for that reason, raw jute should be recognised as an agricultural product and raw jute export operations should be treated as agro-based industrial activity. All facilities as applicable for agro-based industry should be given to the raw jute exporters to help boost export further and, thus, to earn more foreign exchange. The caretaker government does need to look into the matter on a priority basis.
........................................
The writer is Chairman, Bangladesh Jute Association