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EquityWireJute Packaging: Govt directs mills to pack 20% sugar output in jute bags
Jute Packaging

Govt directs mills to pack 20% sugar output in jute bags

This story was originally published at 16:09 IST on 28 October 2024
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Informist, Monday, Oct. 28, 2024

 

NEW DELHI – The Centre has directed sugar mills to pack 20% of their output in jute bags in the current sugar season 2024-25 (Oct-Sep), according to an order issued by the food department Monday. Mills are also mandated to furnish information on jute packaging monthly starting October.

 

In 2023, the government had extended mandatory jute packaging of sugar as per the Ministry of Textiles under the Jute Packaging Material (Compulsory Use in Packing Commodities) Act, 1987. The act aims to support the domestic jute industry and the livelihoods of jute farmers and workers involved.

 

Strict action will be taken against non-compliant sugar mills in the form of deduction of the monthly domestic release quota of sugar, the order said. The government sets monthly sales quotas for each sugar mill. A lower quota means the mill being unable to sell the sugar it has produced.

 

The sugar industry argues that jute packaging leads to increased costs and other operational challenges. The price of jute bags is much higher than that of polypropylene bags, which are commonly used by sugar mills, according to The India Sugar & Bio-Energy Conference. The delivery of jute bags may also be delayed due to challenges in the jute industry, which in turn may delay the packaging process of sugar mills, the Indian Sugar Mills' Association added. End

 

Reported by Afra Abubacker

Edited by Rajeev Pai

 

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