The Hindu Business Line : Jute Corpn to reduce price support operations

Jute Corporation of India Ltd (JCI), a Central public sector unit created to look after the interest of the raw jute farmers, wants to reduce its MSP (minimum support price) operations.

This was stated by Dr R.C. Tiwari, Chairman-cum-Managing Director of JCI. He was addressing the members of the East India Jute & Hessian Exchange Ltd at its 49th annual general meeting.

According to him, the prices of raw jute would be such that it itself is remunerative to the farmers. "We are notinterested in MSP operations. The market prices should be attractive for the farmers", Mr Tiwari said.

Output hopes dashed

Meanwhile, the hopes of a bumper raw jute production appear to be dashing because of the drought-like situation in the northern districts of West Bengal.

Last year, the production of raw jute was 85 lakh bales which was just sufficient to meet the total year's demand. As a result, there was no carry-forward stock. This year's production is likely to be 100-105 lakh bales.

"We are not sure as to what extent the production is affected. It could be either around 5-10 per cent. May be within a month we would understand the total shortfall", Mr Tiwari said.

Jute Corporation has also decided to modernise 20 out of its 171 departmental purchase centre with the latest infrastructure and information dissemination facilities.