Jute bags fair price raised to Rs 86,700/tonne

The Jute Commissioner's office has raised the fair price of B-Twill sacking (jute bags) for government supply to Rs 86,789 a tonne, from Rs 80,000 announced in January.
Indian Jute Manufacturers Association (IJMA) had filed a case against the fair price of B-Twill sacking announced by the Jute Commissioner in January.
"The ex-factory fair price of 580 gms type A and B B-Twill bags for the month of March 2016 without any linkage of raw jute has been worked out to be Rs 86,789 and Rs 86,740," said the JC letter to Directorate of Supply and Disposals.
Revising the price gives clear indication that steps taken by the both state and centre has failed to stem continuous rise in the raw jute price since last few months.

Sources in the jute industry told PTI that JC may have revised the price to encourage IJMA to pull out of the case against the fair price order of January 2016.
"March price is revised to Rs 86,000-plus but pricing for other previous months is still pending. We will see after all issues are cleared," IJMA Chairman Manish Poddar said when asked if the association is planning to pull out from the case against the January order.
B-Twill sacking fair price was announced at Rs 80,000 per tonne by Jute Commissioner in January, which has been legally contested by the jute body as it feels supplying at this rate is not possible given the current raw jute price.

It is learnt that JC has reduced the stock limits of mills from 8 to 4 weeks of consumption and increased trader limits from 500 to 900 quintals.