‘Modernise jute sector, restructure Board’

The General public Accounts Committee (PAC) of Parliament has urged the Union Ministry of Textiles has recommended modernisation of existing industrial manufacturing methods in the sector.

In a report tabled on the “failure to carry out scheme targets on disbursement of capital subsidy”, the PAC, headed by Congress leader Adhir Ranjan Chowdhury, questioned the Ministry to take necessary methods with a futuristic perspective by bringing far more land underneath jute manufacturing, stimulate jute cultivation and encourage the products and solutions.

“The entire jute sector, together with the National Jute Board (NJB), requirements to be restructured to meet up with these targets,” the report explained.

Extensive employment

The report observed that the jute industry offers direct employment to 3.7 lakh folks in the organised mills and in diversified units together with the tertiary sector and allied routines, and supports the livelihood of many lakhs of farmers’ households.

“The whole turnover of jute industry is close to ₹10,000 crore, with somewhere around 40 lakh farmers engaged in jute farming and the state contributing about 70 per cent of the world’s jute manufacturing and products and solutions. The important to achievement and growth of the jute industry is modernisation and diversification. Good quality jute has to be manufactured, potential has to be crafted, cultivators have to be incentivised and the demand for uncooked jute has to be satisfied properly,” the panel explained.

The Committee visualise and aspire for a robust jute sector in long term with diversified jute products and solutions, elevated exports as effectively as domestic intake. Shrinking land underneath jute manufacturing is a matter of issue for the Committee.


The panel explained underneath the National Jute Policy 2005, the Jute Technological know-how Mission (JTM) was operationalised through 4 Mini-Missions (MM) during 2007-fourteen with an outlay of ₹100 crore. A thematic audit was carried out in 2015, suspecting irregularities in implementing the scheme.

The irregularities integrated disbursal of subsidy for outdated equipment, cotton developing equipment, consistently extending subsidy on the same equipment, equipment procured with the help of subsidy not remaining located on the mill’s flooring, etc.

“The Committee is dismayed to notice thatthe targets of the capital subsidy scheme could not be achieved because of to deficiency of checking by the NJB. They are astonished to notice that the irregularities went unnoticed at distinct ranges of administrative hierarchy. There was no method of internal controls to look at the mismanagement of the government cash and misappropriation in spite of acquiring a Chief Vigilance Officer for the NJB. There was also no method to cross look at and counter look at the violations at the apex level, i.e. at the level of the Ministry,” the panel added.