The indefinite strike by jute mill workers in West Bengal continued to cripple work in the mills on the eighth successive day on Monday. The mill owners are yet to reach on an agreement with workers to end the deadlock.
The collective loss of the jute industry is likely to be around Rs 1,000 crore, according to rough estimates by the Indian Jute Mills Association (IJMA).
"The situation is likely to result in a loss of over Rs 1000 crore for the industry by way of plastics and other PP materials replacing it," said Sanjay Kajaria of IJMA. In a letter written to Binod Kispotta, jute commissioner, IJMA had informed that workers of two jute mills, Eastern Jute Mills and Howrah Jute Mills, have resumed work. However, Caledonian and Jagatdal jute mills, who had resumed work earlier have again joined strike from December 5, 2008. Nearly 2.5 lakh jute mill workers and four million jute growers have been hit by the strike, according to a statement issued by IJMA.
"The industry is confronted with an unwarranted and unpleasant situation where 18 trade unions, barring the Citu affiliate Bengal Chatkal Mazdoor Union (BCMU) , controlling the bigger part of the jute mill workers, have gone on strike on issues pertaining to enhanced dearness allowance and other worker benefits," said Kajaria. The jute industry is also facing threat of cheaper imports from the neighbouring countries.
"The biggest problem the industry might confront in future primarily concern a control of the domestic market along with the jute export market which is fast being over taken by countries like Bangladesh, Nepal and Pakistan," said Kajaria. Bangladesh, the biggest contender of Indian jute, has already established presence in overseas markets, with price discounts offered by their government and absence of Indian products in the European, African, Latin American and the US markets.