Centre tightens raw jute stock norms and raises jute bag prices amid supply crunch.

New Delhi: Union Minister for Textiles Giriraj Singh has reviewed the availability of raw jute and announced a series of measures to support the jute industry and farmers amid tight supply conditions in the current season, officials said.
Singh assessed market conditions and directed steps to improve the availability of raw jute for environment-friendly foodgrain packaging. As part of the measures, the government has raised stock limits for jute mills and increased the prices of B-twill jute bags to help the industry manage rising raw material costs.
The Centre has also decided to intensify the ongoing dehoarding drive led by the Office of the Jute Commissioner to detect and act against entities holding raw jute beyond permissible limits. Raw jute prices have surged to around Rs 13,000 per quintal, prompting tighter regulatory action.
The Jute Commissioner has revised stockholding norms with immediate effect, partially modifying an earlier order issued in December 2025. Under the new rules, registered balers can hold a maximum of 1,200 quintals of raw jute, while other registered stockists are capped at 25 quintals. Unregistered traders are limited to holding no more than five quintals. Jute mills have been allowed to maintain stocks equivalent to 45 days of consumption, based on current production levels.
All entities holding stocks beyond the revised limits have been directed to liquidate excess quantities within 10 days. State police and enforcement agencies have been authorised to inspect premises, verify stock declarations and seize raw jute held in violation of the order.
To cushion the impact of high raw jute prices, the Centre has raised B-twill jute bag prices in phases, from Rs 58–60 per bag in September 2024 to Rs 74 in September 2025, and further to Rs 87.20 per bag in January 2026.
Officials said the measures reflect the government’s commitment to protecting the interests of jute farmers and workers, nearly 80 per cent of whom are based in West Bengal.
The Jute Balers’ Association (JBA), however, expressed concern over the tightening of stockholding norms, describing claims of raw jute scarcity as misleading. In a letter to the Ministry of Textiles, the association said balers were excluded from recent consultations chaired by West Bengal Labour Minister Moloy Ghatak and warned that suggestions such as banning private trading could disrupt livelihoods across the jute value chain.
The association also cautioned that such measures, coming close to the sowing season, could discourage farmers. It urged authorities to adopt a compassionate approach towards small traders, particularly in remote areas, and said raw jute arrivals between July and December 2025 were about 30 per cent higher than during the same period last year.
PTI
Published: 21 Jan 2026, 02:59 pm IST
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