Textile Ministry moots study on jute logistics issue

04 Sep '09

2 min read

The textile ministry has responded to an appeal made by the jute sector by suggesting a third party study by the Directorate General of Supply and Disposal (DGS&D) to put the logistics related issues of the sector in order.

Earlier, the Indian Jute Mills Association (IJMA) had represented to the ministry to examine and recommend one of the benefits to be allowed, between staggered indenting and rake wise orders, for the individual jute mills.

IJMA had also suggested introduction of a long-term procedure of system inspection and the need for a bilateral agreement between the Government and the other procuring agencies of jute bags.

IJMA also had put forth a proposal of a third party study, to be conducted by the DGS&D, to work out a scientific model for dispatch of jute goods through road and railways and also stressed on revising handling and branding charges of jute goods.

The textiles ministry on its part has said that procurement of jute bags by the government procuring agencies which used to be 1.6-1.7 million bales per annum has now gone up to 2.4-2.5 million bales every year.

The ministry has assured the sector that it is also taking necessary steps to ensure adequate production capacity to meet requirements and is of the opinion that logistics, dispatch and procedural system need to be smoothened out to overcome the prevailing bottlenecks.

Fibre2fashion News Desk - India

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