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Only 65 mills are supplying gunny bags now, against about 100 earlier..

The transportation of gunny bags in containers from Kolkata to North India, mainly Punjab, is showing a downward trend. The throughput used to be more than 9,000 TEUs annually a few years ago, since dropped to 5,400 TEUs in 2006-07 and unlikely to be very different in 2007-08. Earlier, about 100 mills used to supply the bags, but now only 65 mills are supplying. The bags are used for packing foodgrains. Interestingly, there has been no significant drop in the volumes trans ported in railway wagons. While Food Corporation of India opts for transportation of the bags in containers, the various State Governments in the North opt wagons and the requirement of the State Governments are three times that of the FCI. About 25 per cent of the total movement is directed towards the West coast ports of Mundra and Kandla — two major grain-importing ports. There are many reasons for the drop in containerised movement of gunny bags. One of them is that there is a large carryover stocks with FCI. Also, there have been complaints on the quality of bags supplied by some mills.

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