A presentation on Jute/Kenaf Diversified Products other than traditional use – An Indian Experience

1. A presentation on Jute/Kenaf Diversified Products other than traditional use – An Indian Experience by R. K. Pathak, IP&TAFS Deputy Jute Commissioner Ministry of Textiles Government of India

2. Topic of Discussion • The March of the Golden Fibre – photograph of Jute/Kenaf Diversified Product. • How did it happen – Indian Experience • Achievements at a Glance Govt. of India, Ministry of Textiles

3. How did it happen – Indian Exp. • History, • Threat from Synthetic, • Turning Point, • Initial Apprehension, • Threefold Diversification Strategy, • Product Development linked with Entrepreneurs • Policy Support by Govt. of India • National Centre for Jute Diversification Govt. of India, Ministry of Textiles

4. History • Early use dates back to 16th Century • Mostly for household items like ropes, matting etc. • 1873: first export of raw jute from India • 1855: first jute mill at Rishra, WB, Oldest Industry • Two World War – demand increased • 1947: Partisan – Shock for Indian jute Industry • 1960’s: The golden era of Indian Jute Govt. of India, Ministry of Textiles

5. Threat from Synthetic • Late 1960’s & early 70’s: Emergence of Synthetic as new packaging material • Modern production pattern • Jute Mills – stagnated technology • Huge unionised workforce • By 1980’s Jute Industry considered as crisis ridden industry with no scope for salvaging • Sunset Industry Govt. of India, Ministry of Textiles

6. Turning Point • 1986: Watershed year – Two important events • Change of Mindset : battle to save jute should not be fought from the platform of traditional industry • Short term : Promulgation of The Jute Packaging Material (Compulsory Use in Packing Commodities) Act 1987 • Long Term : Jute diversification • From 1986-87 onward the intention and Objective of the policy maker at the highest level became clear. Govt. of India, Ministry of Textiles

7. Initial Apprehension • Initial Phase : Interaction to explore the possibility to use jute fibre in textiles & non-textiles areas. • Initial apprehension – Not many takers • First Challenge: to convince the stakeholders (JMDC,IJIRA,Industry,TRA) • Series of Seminars & Workshop arranged • JMDC played a crucial role Govt. of India, Ministry of Textiles

8. Threefold Diversification Strategy • Diversify product of the jute mills from the traditional items to a mix of variegated non-traditional items such as floor covering, carpets, furnishing fabrics, upholstery materials etc. • Diversify utilization of jute fibre by diverting it from the composite jute mills to the vast handloom, power loom, textiles processing & handicraft sector, • Diversify utilization of jute in non-textile sectors of the economy such as paper making, composite applications, and geotextiles etc. Govt. of India, Ministry of Textiles

9. Product Development linked with Entrepreneurs • What product? Are they profitable? What about Machinery & Equipment? • Jute Yarn Technology Mission – first objective – to produce jute fine yarn & blended yarn • UNDP assisted National Jute Programme – 1992 • It was demonstrated that if jute properly treated, spun and woven; it can add lustre and value to other fibre. • Major Spin-off of JYTM – indigenise imported technology & machinery Govt. of India, Ministry of Textiles

10. Product Development Contd… • Handloom Sector played a very crucial role in transmitting the usage of jute for jute based handloom products through its nationwide network of Handloom Weavers Service Centers. • Government supported powerloom weavers of Tamil Nadu, West Bengal, Assam, Delhi etc started utilising jute yarn in blends with cotton, viscose, wool etc • Remarkable contribution made by 3 HRD institute (IJT, PSG College, & TTIS) for development of new jute product. Govt. of India, Ministry of Textiles

11. Policy support by GOI • Two pronged strategy adopted by GOI • Excise duty exempted on diversified jute product & Custom duty exempted for capital goods & machinery & • Subsidy offered for internal (IMA) & external market (EMA) • Setting up of National Centre for Jute Diversification (NCJD) in 1995. Govt. of India, Ministry of Textiles

12. Objectives of NCJD Act as a nodal agency for countrywide promotion of the jute diversification activities through • Commercialization of Technologies • Proliferation, propagation & promotion of JDPs across the country Govt. of India, Ministry of Textiles

13. Functions of NCJD • Linkage & transfer of technology • Entrepreneurship development • Financial assistance to entrepreneurs • Support for small & rural industries • Diversification in organised mill sector • Support for raw materials, HRD, Design & product development • Provide market linkage • Dissemination of information Govt. of India, Ministry of Textiles

14. Schemes of NCJD Financial Assistance Schemes : A. Jute Entrepreneurs Assistance Scheme (JEAS) – Erstwhile B. Jute Entrepreneurs Assistance [Capital Subsidy] Scheme General Schemes : • Jute Service Centre Scheme • Jute Raw Material Bank Scheme • Design / Product Development Scheme • Market Support Scheme • Micro Finance Scheme Govt. of India, Ministry of Textiles

15. Achievements at a glance • Spread of Jute Diversified Products into several non-jute growing areas • No. of JDP Unit: over 1300 • Employment : Nearly 0.2 million (direct + indirect) • Export : 26% of total export in value terms • Involvement of women in large numbers especially in rural areas • Innovative product range and designer products developed with jute • Creativity given an impetus thereby opening new market opportunities • Design introduction making it not only marketworthy, but even exportworthy • “ECOPAC” – a scheme on product standardization is being implemented • Jute being introduced in high-value footwear & natural rubber coated fabric Govt. of India, Ministry of Textiles

16. Growth of Jute Diversified Decentralized Sectors Govt. of India, Ministry of Textiles

17. Employment Growth Govt. of India, Ministry of Textiles

18. GROWTH OF EXPORTS OF JDPS (VALUE IN MILLION OF RUPEES) Index Last Slide Govt. of India, Ministry of Textiles

19. Thank You Govt. of India, Ministry of Textiles