The once-thriving jute sector in India has been under duress for a while, and the golden fibre has been losing its sheen over time. New numbers indicate that the area under jute cultivation shrunk by around 20% in the last nine years alone. From 838,000 hectares in 2013–14, the cultivation area has dropped to 667,300 hectares in 2021–22. The shrinkage is to the extent of 170,700 hectares, and one of the prime reasons for this is the availability of higher yielding alternative options like real estate.
The revelation comes from the fifty-third report of the Standing Committee on Labour, Textiles and Skill Development on 'Development and promotion of jute industry'.
As Parliamentary Committee reports come, this one too is straight-jacket and most of the findings need to be ferreted out.
One key highlight is that the Indian government does not have a policy worth the name to revive closed jute mills. In the last three years, five new mills have been established, and an identical number have been shut down. The Committee has urged the Ministry of Textiles to draft a comprehensive policy on reviving closed mills.
The Committee wanted to know of there is any proposal to revive the closed mills by utilising the infrastructure and machinery already in place. The ministry’s responses was: “The Union Cabinet, in its meeting held on 10 October 2019 approved the closure of six jute mills (five in West Bengal and one in Bihar) of National Jute Manufacturers Corporation. Movable assets of these mills have already been disposed of and disposal of the immovable assets are going on.”
And surprisingly, job losses don't exist officially. The ministry's response to the Committee was "No such representation of workers job/employment loss has been reported to O/o Jute Commissioner." It did not seem to be a matter of concern. When asked about the reasons for closure of jute mills and the nature of assistance provided to the workers who lost their jobs, the ministry stated: “The mills in jute sector close due to problems in management, labour troubles and financial difficulties. Usually, the jobless workers of the closed jute mills are engaged in nearby working jute mills as jute mills are facing shortage of skilled workers.”