The production may decline as floods have damaged the jute crop in some areas of West Bengal and Assam.

• Both states are the major producer of Jute crop (known as golden fibre).

About Jute Industry 

• Status: India is the leading jute goods producing country in the world, accounting for about 70% of estimated world production.
  • One of the major industries in the eastern region, particularly in West Bengal (about 73%).
  • Around 90% of the production is consumed locally.
• Opportunities 
  • Provides direct employment to 0.37 million workers in organized mills.
  • Jute exports had the potential for ₹4,500 crore annually (in 2023-24 it was ₹3,000). 

Challenges 

• Declining area: Area under jute cultivation declined (1.7 Lakh ha between 2013-14 to 2021-22)
• Availability of Low-cost alternative: E.g. Synthetic Products.
  • Also, there is lack of impetus from states to procure jute products such as jute geo-textiles.
• Quality: More than 80% of raw jute grown is below average or poor quality.
• Other: Lack of Modernization, Shortage of skilled labour force, etc. 

Measures Suggested (as per Standing Committee on Labour, Textiles and Skill Development)

• Prepare comprehensive policy for setting up new mills. 
• Devise a suitable scheme to address the shortage of skilled workers, etc.