Jute producers demand withdrawal of ban on raw jute exports

YarnsandFibers News Bureau 2018-01-23 16:00:00 – Dhaka

The Bangladesh government imposed the ban on raw material exports on January 18 without any consultation with the Bangladesh Jute Association which they said that it should be withdrawn soon for the sake of the jute industry.

The Association yesterday strongly protested the ban on raw jute exports, stating that the move would restrict overseas sales of the natural fibre and discourage growers.

Moreover, the relationship between buyers and local exporters will also face a blow, as the ban would restrict jute exports, which are supposed to be made under the letters of credit and shipment deals signed earlier.

It said that a huge amount of Bangla Tossa Rejection (BTR) and Bangla White Rejection (BWR) categories of jute, which are exported as raw jute would remain unsold because of the ban.

Bangladesh mostly produces high-quality jute and a small portion is of low quality. Every year, they grade and export raw jute. After the grading, another segment of low quality raw jute remains uncut, which finds no buyers in Bangladesh.

They have to export the uncut BTR and BWR categories of jute, to avoid chances of the jute remaining unsold and facing price cuts in the local market. The ban would ultimately discourage jute growers from growing the natural fibre in the years to come.

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