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The sowing of jute is yet to pick up this season despite a higher minimum support price and favourable weather conditions.
Jute sowing starts in the last week of March and continues up to end May. Harvesting begins in end June or in the first week of July.
Labour crunch
According to senior officials in the jute industry, there has been a 10-15 per cent decline in sowing in north Bengal, Bihar and Assam on account of labour problems. Sowing is yet to be completed in south Bengal.
South Bengal districts of Murshidabad and Nadia account for over 60 per cent of the country's total jute sowing and production. “Non-availability of labour is one of the biggest issues confronting the industry and this is affecting sowing in these areas,” a senior official said.
The production is likely to be either a tad lower or similar to last year. The production of raw jute was close to 110 lakh bales (1 bale – 180 kg) last year.
The Union Government recently announced a 31 per cent higher minimum support price for raw jute at Rs 2,200 a quintal (Rs 1,675 a quintal) for the TD-5 variety of jute ex-Assam for the 2012-13 crop year.
Area constant
Area under cultivation has remained constant at about nine lakh hectares over the last few years. Bengal accounts for almost 67 per cent of the total area under cultivation at 6 lakh hectare.
Of this , 4 lakh hectares lie in Murshidabad and Nadia, the senior official said. Hugli, Burdwan, Bankura, Howrah and Midnapore are some of the other jute producing districts of the State.
Balance sheet
The industry has a huge carryover stock of 30-35 lakh bales, coupled with an estimated production of 110 lakh bales, the total supply would be adequate to meet the country's total demand which stands at about 105 lakh bales, said Mr Manish Poddar, Chairman, Indian Jute Mills' Association.
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