Exports of jute and jute products, last fiscal, marked a new high, mainly attributable to the rise in prices of raw jute in the overseas market coupled with the globally rising demand for biodegradable goods.
As per the Export Promotion Bureau (EPB) data, country's jute and jute product exports went up by 76.43 percent during July 2009 to June 2010, thus generating a revenue worth of US $736.44 million.
Export figures for jute yarn and twine with a revenue worth $397.69 million posted a growth of 88 percent for the period under consideration, as against for same period last year.
Also, raw jute exports, as against earnings worth $148.17 million in 2008-09, grew by 32.46 percent in 2009-10 with earnings worth $196.27 million.
The recently released reports of EPB mention that, jute and jute products now stand second in Bangladesh's list of most exported items.
An expert said that, this hike in volume of jute and jute can mainly be assigned to three reasons vis-à-vis expensive raw material, revival of few Bangladesh Jute Mills Corporation (BJMC) mills that were previously closed and growth of privately owned mills.
Where Bangladesh sources raw jute and jute goods to almost 150 countries across the globe, it only supplies raw jute to Turkey, Belgium, Iran, Spain, Syria, Uzbekistan, China, India and Pakistan.
Price of raw jute in the domestic markets was recorded at Tk 2,700 per maund on July 18, 2010, while the same was recorded at Tk 1,200 per maund in June 2009.
According to the industry circles as against $600 last year, the prices of raw jute in the world markets were recorded at $1,200 per tonne this year.
The country, where it annually produces around 4.8 million bales (1 bale = 180 kg) of raw jute, churning around 360,000 tons of jute yarn per year, jute sack production, as against this figure, comes to merely 240,000 tonnes.
Fibre2Fashion News Desk - India