Explore market for BD jute products in US
Jute sector's loss tops Tk 5.0b for turmoil
Dhaka, September 15 2015: Textiles and Jute Minister M Emaj Uddin Pramanik has urged the
US business leaders having Bangladesh origin to explore market for Bangladesh jute products in the USA. The minister also stressed
maintaining the international standard of Bangladeshi jute products, and bio-degradable nature of its fibre, and said an aggressive marketing
strategy for jute products could help make a niche in the US market if the local buyers could be effectively sensitised about its potential
role in reducing emissions.
The minister was speaking at an interactive meeting organised by the Consulate General of Bangladesh in New York on
Friday, according to a message received in Dhaka on Saturday. Consul General at the Bangladesh Consulate General, M Shameem Ahsan was also
present. A good number of leading Bangladeshi-American businessmen along with community leaders based in New York attended the event.
At the outset of the meeting, a one-minute silence was observed as a mark of
respect to the fallen persons of 9/11 as the event coincided with the day. While giving a historical perspective on the 'golden fibre' and its
importance on Bangladesh economy, Pramanik briefed the business leaders about the policy priority of the present government led by Prime
Minister Sheikh Hasina to expand its market globally.
The meeting generated huge interest among the participating business leaders and a
lively Q&A session followed the meeting. Later, he distributed various
jute-made products among the business leaders. The minister is currently leading a three-member delegation to the USA after the UAE as a second
leg of his 2-nation tour as part of government strategy to expand market
for jute and jute products, according to a news agency.
Ministry seeks facilities for jute goods
Dhaka, June 11 2015: The ministry of textiles and jute (MoTJ) has sought equal facilities for
jute goods like other agro products with a view to keeping employment of the sector unaffected, officials said.
The MoTJ recently sent a letter to the ministry of finance (MoF) seeking cooperation in this connection, they said.
The country earns a significant amount of foreign currencies by exporting jute and jute goods every year. The sector has long been
facing many difficulties. The prices of jute products have declined in the international market due to political unrest in the Middle East
countries and economic recession of the Euro zone nations, the sources said.
The government has declared jute goods processing as an agro-based industry. For this, the government should provide the same facilities in
favour of jute products like agro items, they said.
About 40 million people are involved directly and indirectly in the jute industry. So, it is necessary to provide equal treatment to the jute
products like the other agro products to keep the existing employment of the sector intact, they added.
Presently, all jute goods and goods made of jute yarn enjoy 10 per cent and 7.5 per cent cash subsidy respectively. Besides, Bangladesh Bank has
created a refinance fund worth Tk 2.0 billion for the jute sector. The fund is open for the exporters and traders concerned of the sector, a central banker said.
Some 16 banks have signed memorandum of understanding with the BB. Some Tk 610 million has been disbursed from the re-finance fund, he said. Source: thefinancialexpress-bd.com
Oporajeo jute bag factory caught fire
Bangladesh, March 18, 2015 : Fire gutted jute bag manufacturing factory Oporajeo, which was founded
in 2013 in Savar with the injured workers of Rana Plaza. The fire broke out around 9:45pm, Chief Executive Worker of the unique-styled factory Kazi Monir Hossain Rintu said. He, however, could
not confirm immediately how the fire had originated.
There were no worker inside the factory, located on the ground floor of a building in Anandapur of Thana Bus Stand area, at the time of fire, he added.
Fire fighters brought the blaze under control around 10:45pm. They confirmed that the fire had not originated from an electric short-circuit.
After the fire was put out, fire fighters found the back door of the factory broken. Monir suspect that it might a sabotage by miscreants.
Aroudn 15,000 pieces of finished jute bags, made for a Switzerland
buyer, raw matreials and most of the machines were damaged in the fire, Monir said adding that tehy also found the generator's fuel tank empty.
Oporajeo (undefeated) having 33 workers used to manufacture different jute bags for local and international clients with 48 different types of
machines. Of the workers, 31 are the survivors of the Rana Plaza building collapse.
The factory was founded under Songkolon Bangladesh Trust on June 24, 2013 with six plain sewing machines and seven workers. Here the workers,
mostly women, were labelled as owners. They were given congenial working environment, profit share, free lunch, medical assistance and
educational support for their children. A portion of profit from the factory was given to a primary school established udner the same trust. Source: dhakatribune.com
Dhaka, February 04 2015: Political turmoil has hit exports and local trade of jute hard by 20-30
per cent in the last 26 days, with the sector bleeding an estimated Tk 5.1 billion, insiders said.
According to businesses, August-March is the peak season for jute harvest, trading, mills' production and exports.
The Bangladesh Jute Mills Corporation (BJMC), Jute Mills Association (BJMA), Jute Spinners
Association (BJSA) officials said nearly 249 jute mills in the country have been forced to cut production by 42,000 tonnes owing to the blockade enforced by the BNP-led alliance since January 5.
Supply shortage of raw jute, Jute Batching Oil and diesel due to halt in transportation has hampered production and exports.
BJSA estimates that 96 mills under the association have cut production by 22,608 tonnes worth Tk1.7 billion since the blockade began.
BJSA chairman Md Shahjahan told the FE jute yarn factories need approximately 16,000 litres of JBO per day, but supply has almost halved.
He said exporters have also halted shipment as transportation cost from the factories to Benapole and Chittagong port increased by 100 per cent
while orders have also fallen significantly. He said many yarn factories have cut production by 20-30 per cent.
BJMA secretary A Barik Khan said 145 mills under the association have cut production by 20,000 tonnes worth Tk1.45 billion in the 26 days blockade.
Many mills have cut production by more than 30 per cent, he said. An official at state-run BJMC told the FE that stockpile of the government-owned factories increased further.
He said BJMC's 24 mills cut production to 400 tonnes a day from 700 tonnes last year for weak demand for jute goods, mainly sacks. He said the blockade has caused nearly a 10,000 tonnes additional to the stockpile worth Tk 700 million.
Bangladesh Jute Association (BJA) secretary Abdul Kaiyum said exports fell to 1.98 million bales
(bale=180 kgs) in 2013-14 from 2.05 million bales in FY'13. He said normally in October-March period, the association members export nearly 0.1-0.15 million bales per month.
The shipment of raw jute faced serious setback in January as export has decreased by more than by 80 per cent.He said jute and jute sector is highly fire-sensitive. "We can't take
risk in the highways," he said. Industry insiders said if political turmoil continues, jute factories will not be able to repay bank loans in time and many of them will become defaulters.
Presently, there are 249 jute manufacturing units in the country. Of them, 96 private spinning mills produce jute yarn, while 24 state-owned mills and 145 private jute mills manufacture hessian, sacks and bags.
Exports from the sector amounted to US$824 million in FY'14 marked, the Export Promotion Bureau data showed. Source: thefinancialexpress-bd.com