Home / Knowledge / News / Textiles / Finance Minister gung-ho on jute sector
Finance Minister gung-ho on jute sector
13
Jun '11
Finance Minister AMA Muhith, in his budget speech, revealed that the Government has already resolved to take-over all the liabilities and obligations of the Bangladesh Jute Mills Corporation (BJMC), which comes to around Tk 23.96 billion.

Mr. Muhith further revealed that the BJMC has taken up a business plan aimed at revival of the jute industry and that the Government has decided to transform BJMC into a holding company.

The Government had earlier proposed to provide Tk 11.7 billion to help the state-run jute mills to overcome losses and make the sector more rewarding. Of the proposed sum of Tk 11.7 billion, Tk 2 billion have been allocated to help BJMC to procure raw jute and Tk 5 billion to support its refinancing.

Besides, another Tk 1.05 billion have been allocated to restart production activities at Kawmi Jute Mill and People's Jute Mill which were closed down earlier. The mills would be restarted under Public Private Partnership mode under a new name.

The remaining balance of Tk 3.6483 would be utilized to clear the dues of jute, power, gas, wages, jute storage, and towards providing financial assistance to retired employees. BJMC presently operates 20 mills, four of which have been newly opened over the last two years.

The Minister stated that the Government has decided to clear all the outstanding dues of the Corporation of up to June 2010, as it is quite enthused by the popularity that the jute goods have gained on home front as well as abroad.

The Government's move of passing a law making jute packaging mandatory for goods like cement, sugar, fertilizer and grains, has greatly raised the prospects of jute products in the country.

The law has already become effective with the Ministry of Textiles and Jute directing the public sector agencies to make use of jute for packing foods, seeds and fertilizers, in place of polythene bags.

During July-April in the current fiscal year, the jute industry generated revenues worth US$ 924 million, which is reflective of a year-on-year rise of 42 percent.

The Minister hoped that BJMC would be able to shed its past losses and turn into a profit-making organization, regaining its lost glory.

Further, while talking about successful decoding of jute genome, he said that “the important discovery has unlocked a new opportunity for carrying out further experiments on new jute varieties that will be yielding high productivity, will be salinity-resistant, and will be even able to withstand insects, drought and diseases.”

Fibre2fashion News Desk - India


Must ReadView All

Vietnam’s textile & garment exports earn $7.3 bn in Q1

Textiles | On 20th Apr 2018

Vietnam’s textile & garment exports earn $7.3 bn in Q1

Vietnam earned $7.339 billion from textile and garment exports in the ...

Uganda yet to exploit AGOA benefits: US envoy Malac

Apparel/Garments | On 20th Apr 2018

Uganda yet to exploit AGOA benefits: US envoy Malac

Uganda is yet to take full advantage of the Africa Growth and...

Courtesy: KBR, Inc

Textiles | On 20th Apr 2018

KBR completes KPIC’s ethylene plant revamp project

KBR, Inc. has successfully completed the ethylene plant revamp...

Interviews View All

Headhonchos
Indian textile value chain

'One nation, one tax' is a great concept

Top executives
Textile & apparel bodies

Textile industry would like to see inclusion of cotton yarn under MEIS and ...

Rahuul Jashnani
Jashn

‘Online economy has changed the whole dynamics of buying habits.’

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Sandip Bhojani, Manthan Patel

Krypthm Tradelink LLP is a Surat-based manufacturer of westernwear....

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


April 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search