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Govt decision to rule out jute packaging hits industry
Apr '08
In order to ensure longer reservation, the Union Government has decided to undertake strategic reserves of grain through modern packaging modes which is exempted from the purview of Jute Packaging Materials Act (JPMA).

This act which demanded compulsory use of jute bags will expire by June 30, 2008 and the reservation of food grains by Food Corporation of India (FCI) will not come under the ambit of JPMA.

This has sent a wave of uproar among the jute industrialists who fear that they may loose 20 percent of its share in the country's sack production.

It really is very unfortunate that while the entire world is stressing on eco-friendly and bio-degradable for packaging, India, one of the major suppliers of natural fibre and raw materials is switching to other means.

Government authorities have resorted to means like silos and railway wagons for carrying food grains to various destinations across the country.

However, they fail to observe the disadvantages of large silos which not only require a huge investment but also get easily polluted by unhygienic conditions.

The jute industry will now concentrate on other alternatives for increasing its market share in the country and to prevent this fibre from becoming oblivion.

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