BSS-51 Jute mill owners for imposing tariff to discourage raw jute export

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ZCZC

BSS-51

JUTE-EXPORT-TARIFF

Jute mill owners for imposing tariff to discourage raw jute export

DHAKA, Sept 9, 2020 (BSS) – Private jute mill owners today urged the government to impose US$ 250 tariff on exporting per metric ton of raw jute to discourage jute export to meet the demand for raw jute in the country’s jute industry.

The mill owners came up with the call at a press conference at Lakeshore Hotel in the city’s Gulshan area.

“Country’s internal raw jute demand is at least 65 lakh bales, including 60 lakh bales for jute industry and 5 lakh bales for households. But in the first two months of the current fiscal year, raw jute export has been increased by 50 percent,” Bangladesh Jute Mills Association (BJMA) President Mohammad Mahbubur Rahman Patwary said in his written speech at the press conference.

If raw jute is exported in this way, the raw jute crisis will increase which would lead to closure of the jute mills due to jute scarcity, he said, adding therefore, the jute industry in the country will face severe losses if the government immediately does not take steps to discourage the raw jute export.

Noting that jute production will be about 30 percent less this year than the last year as the yield of raw jute has been severely damaged due to drought and extreme floods, the BJMA president said, “The jute market has already been affected adversely in this full season. It has been estimated that 55 lakh bales of jute would be produced this year due to the impacts of corona, cyclonic storm “Ampan” and floods while the country witnesses 75 lakh bales of jute production every year.”

Mahbubur Rahman said, “It was seen in July and August last that the best quality jute of the country named ‘Bangla Tosa’ was exported. This kind of jute is mainly used for making exported products.”

If the jute mills are shut down due to shortage of raw jute supply, he said, domestic and international buyers would refrain from using jute products, which would cause long-term damage to the jute industry.

Bangladesh Jute Spinners Association (BJSA) Chairman Md Zahid Mia and Bangladesh Multipurpose Jute-product Production and Exporters’ Association President Md Rashidul Karim Munna were present at the press conference, among others.

BSS/Asg/RI/SAH/KU/2037hrs