The standing advisory committee on jute under the ministry of textiles has recommended a relaxation in the Jute Packaging Materials Act for 2011-12.
Sources close to the development said the proposal was under the consideration of the Cabinet and a decision would be taken soon.
This assumes significance for the plastic industry, as any relaxation in the Act for this year will enhance the use of plastic bags for packaging of food grains. Under the Act, it is mandatory to pack food grains and sugar in jute bags. While the chemicals and fertilisers ministry has been demanding the Act be repealed to increase the use of plastic bags, at present it resorts to annual amendment of the Act to facilitate the use of plastic bags.
However, officials say, jute production in the current year has been robust, unlike last year. Therefore, the relaxation will not be as high as last year. Last year, it was in a proportion of 75:25 (a user could use plastic or any other material only for 25 per cent of the produce and the rest had to be packaged in jute).
“Along with robust jute production, the food grain harvest is also quite strong. Therefore, the relaxation may be done for only 10-15 per cent of the produce,” explained an official. The cabinet is likely to take a decision on this soon.
The chemicals and fertilisers ministry is of the view that in a market economy, manufacturers should have the liberty to use the material they find convenient. At present, it is mandatory to use jute bags for sugar and food grains.
However, according to the proposed relaxation, other materials might be allowed to be used for packaging some food grains up to a certain quantity.
Backed by favourable weather and adequate availability of seeds in the market, the sowing of raw jute is estimated to be higher, at 11 million bales in 2011-12, as against one million bales last year. Jute sowing usually starts by the end of March and continues till the end of May. Raw jute production in 2010-11 was slightly lower in spite of good sowing as harvesting was hampered because of lower-than-anticipated rainfall last year.
The Directorate of Jute Development had estimated sowing coverage of 8,65,000 hectares for jute and allied fibres during 2011-12.
The industry requires about 5,500-6,000 metric tonnes of seed to cover the jute growing areas on an annual basis.
