In wake of the adverse impact frequent strikes, coupled with economic slowdown, the jute industry has sought resumption of Export Market Assistance (EMA) scheme, which was withdrawn by the Union ministry of textiles in 2007.
The Indian Jute Mills Association (IJMA) has expressed concerns over the near stagnancy of export of jute goods from India. The average annual export is stagnating at around Rs 1,000 crore over the last five years, according to a press release by IJMA.
"The Bangladesh jute industry, with heavy dose of subsidisation from the government of Bangladesh, has virtually reduced India to the position of a residual seller in the international market," said Sanjay Kajaria of IJMA.
The National Jute Policy 2005 has laid special stress on export of jute goods, with the objective of improving the ratio of domestic consumption to export from the existing 82 : 18 per cent to 65 : 35 per cent in the next ten years, and had set an export target at Rs 5,000 crore by the year 2010.