Question

What factors we need to setup a jute industry

Answer 1

Jute Textile Industry is one of the major and earliest Industries in the Eastern India, particularly in West Bengal. Jute for long was the greatest foreign exchange earner because of which it was called golden fiber.

Being a labour intensive sector, it has social relevance too. Jute supports around 40 Lakh farm families and provides direct employment to 2.6 Lakh Industrial Workers and 1.4 Lakh in the tertiary sector.

Traditionally jute was important in packaging industry and military purposes. India had the monopoly in jute production.

Jute export started declining from 1920 onwards as India lost the export market of axis countries after WW-I. Germany was able to develop synthetic fibre. With the decline in jute products demand, machinery used in jute industry were not developed elsewhere and India continued to use obsolete and old technology which are not cost effective and efficient. This industry suffered a great setback as a result of partition in partition around 80% jute output went to Bangladesh while more than 80% of jute mills remained in India. I hope it may helps u......