Jute industry seeks third party study on logistics issues

With a view to streamline the supply of jute bags, the Indian Jute Mills Association (IJMA) has sought third party study on logistics issues connected with the despatch of jute goods.

The association has pointed out that the third party study needs to be commissioned at the earliest by the Directorate General of Supply and Disposal (DGS&D) to overcome the problem. IJMA has written a letter to DGS&D in this regard.

"The Union textiles secretary has already suggested to DGS&D that a third party study on logistics issues connected with the despatch of jute goods needs to be commissioned. We would request that the third party study should be commissioned at the earliest", said Sanjay Kajaria, chairman, IJMA in a letter to DGS&D on Friday.

The issues pertaining to logistics of the dispatch of jute bags were taken up in a meeting held on Monday between VP Gupta, deputy director general (S&D) and the representatives of IJMA.

The DGS&D had earlier pointed out that the jute mills should not be penalised with demurrage by the Indian Railways if the mills failed to receive the railway receipts in time from the contractors.

Sometimes, the railway rakes carrying the jute bags reach the desired destination before the railway receipts reach the mills and the Railways levy demurrage due to non-receipt of these receipts in time by the mills.

Moreover, in the absence of correct name and pin code, the jute mills do not get the railway receipts on time. IJMA has suggested that the DGS&D should mention the correct address, pin code and contact number of the mills.

The association has also pointed out that since the terms of delivery is for the station of despatch, the jute mills should not be penalised for any transit loss or damage and the amount should not be recovered from the mills.

On the issue of rejection of goods, DGS&D has suggested that a representative of the jute mill should be present at the time of inspection of goods by the quality assurance officer.