Jute mills to be privatized

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Saturday, 19 April 2008

State-run jute mills incurring heavy losses will be privatized in phases, said a draft jute policy-2008 discussed at a daylong workshop in the city, reports UNB.

Jute and textile Adviser Anwarul Iqbal opened the workshop at the International Jute Study Group office that was participated by jute experts, private mill owners and farmers.

"Efforts are underway to revive the past glory of jute," assured the Adviser. Jute is environment friendly and has demand across the world.

The draft policy envisaged incentives to jute growers in the shape of easy loan, improved seeds and necessary inputs for intensive cultivation. This is intended to reduce the cost of jute production. Besides, interests of workers of the offloaded mills will be protected.

The Adviser assured that investigation committee would be formed soon to probe into alleged corruption and mismanagement resulting colossal loss and closer of state-run jute mills one after another.

The world''s largest jute mill, Adamjee Jute Mills, that had earned fame and huge foreign exchange was closed down under the pressure of donors when it incurred heavy loss.

The draft policies also envisaged promotion of extensive research in jute for multifarious use of the golden fire and create demand of its goods in the world market.

Iqbal informed the workshop that cultivation of jute and production has declined. He estimated the last year''s production at around 55 lakh bales as against 70 lakh bales in 60s.

Laying significance of jute a recent UNCTAD report said one dollar earned from jute sector is equivalent to four dollars earned from readymade garments.

Farmers present at the workshop blamed the government indifference for the debacle of the jute sector. Large-scale corruption by officials has ruined the mills. Growers were deprived of fair price. State run jute mills still owe millions of taka to jute suppliers.

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