 "Jute imports up by 24%, exports dip by 22% in April-Jan FY15")
The country's jute sector continues to face double whammy as imports of finished goods have jumped by 24%, while exports have declined by 22% in the April to January period of financial year 2014-15.
"According to National Jute Board estimates, jute exports for the period April-January of FY15 have declined sharply to Rs 1,115 crore, down 22% in rupee terms and 20% in dollar terms as compared to corresponding period of FY14," said a senior official of Indian Jute Mills Association (IJMA).
In terms of quantity, the decline was 37%, or 98,500 tonnes, during the April-January period over the corresponding period of FY14.
Regarding import of jute products, there was a jump of 24%, or Rs 511 crore, in value terms for such products in April-February period of FY15.
The unfavourable trend seems to be gaining momentum as in February 2015 alone, imports were higher by 75% in value terms and 79% in volume terms as compared to the corresponding month of the previous year.
IJMA sources have attributed higher imports to lack of monitoring and check in end-use of jute products.
On top of this, a subsidy of 7.5% by Bangladesh for export, has resulted in flooding into Indian market. When the government rate is Rs 63,000 a tonne for jute, the same product is available at Rs 53,000 a tonne in the open market, they said.
"According to National Jute Board estimates, jute exports for the period April-January of FY15 have declined sharply to Rs 1,115 crore, down 22% in rupee terms and 20% in dollar terms as compared to corresponding period of FY14," said a senior official of Indian Jute Mills Association (IJMA).
In terms of quantity, the decline was 37%, or 98,500 tonnes, during the April-January period over the corresponding period of FY14.
Regarding import of jute products, there was a jump of 24%, or Rs 511 crore, in value terms for such products in April-February period of FY15.
The unfavourable trend seems to be gaining momentum as in February 2015 alone, imports were higher by 75% in value terms and 79% in volume terms as compared to the corresponding month of the previous year.
IJMA sources have attributed higher imports to lack of monitoring and check in end-use of jute products.
On top of this, a subsidy of 7.5% by Bangladesh for export, has resulted in flooding into Indian market. When the government rate is Rs 63,000 a tonne for jute, the same product is available at Rs 53,000 a tonne in the open market, they said.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%