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    <pubdata type="print" name="Hindustan" date.publication="20220103T000000+5.30" edition.name="RPAjmCity" edition.area="RPAjmCity" position.section="03012022-RPAjmCity-01-PAGE-03012022_RPAjmCity_01~WS4~" position.sequence="01" ex-ref="03012022-RPAjmCity-01-PAGE-03012022_RPAjmCity_01~WS4~" SectionName="" />
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        <hl1 id="Headline" class="1" style="Headline" MainHead="true">
          <lang class="3" style="Headline" font="Patrika18" fontStyle="Bold" size="15">Is IJO's Exit a Death Knell for Jute Economy?
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        <hl1 id="Byline" class="1" style="Byline" MainHead="true">
          <lang class="3" style="Byline" font="Patrika18" fontStyle="Bold" size="15">by Salahuddin Ahmed
</lang>
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      <p style=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">We may not have any remorse or cry for the premature and unceremonious exit of IJO which was created to help get HYV jute seeds, remove the bottlenecks of the jute industry, fight quota and other protective barriers against the entry of jute in the polypropylene fibre producing countries, help invent many other jute goods by-products like jutton, wool-lenised jute etc. IJO failed to live up to any such promises.
</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">Avery recent news-item announced an unceremonious exit of IJO, i.e. International Jute Organisation with Its headquarters in Dhaka. Not only unceremoniously, but also It is a very pre--mature death of the only unit in Bangladesh belonging to the United Nation's family, which was ushered In with a bang in 1982 — but only to die by 2000 AD. after a very sickly, shabby, colourless existence for 18 years.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">Let us recall its origin, birth and shortlived existence to brush up our memory, as proverbially public memory is very short. Isn't It? Some four decades ago. with so much exuberance. enthusiasm and a sense of urgency, the Jute Industry was carved out in this part of the world, now Bangladesh. The then Bengal Presidency till August 1947 was practically the monopolist producer of nearly all the raw jute of the world, including the finest "Golden Fibre" as well as the coarse raw Jute, white and Tossa variety et al. Even after the partition of Bengal Presidency, almost 80 per cent of the entire Jute as well as the finest quality of golden fibre came within the Jurisdiction of what was then known as East Pakistan.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">Nearly 120. i.e. all the existing jute mills at the time of partition fell in the share of what is known as West Bengal In India.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">The two parts of the then Pakistan had hardly any noteworthy commodity, minerals, or industrial goods to be able to earn substantial quantity of so much needed foreign exchange. Quickly came the realisation to the deciding authority in Karachi. Lahore. Rawalpindi and Islamabad that production of jute goods in the quickest possible time could be the saviour at our critical moment of shaky economic existence. Thus between 1950 and 1961-62 in 10/12 years the migrating affluent Muslim refugees from India, the Bawas, the Bawanis. the Adamjees and the Ispahanis etc. started establishing Jute mills one after another at an unbelievable speed in the proverbially marshy land of then East Pakistan, thus came the world's biggest jute mills, the Adamjee, Platinum. People's and many others. East Pakistan became a very proud owner of 76/77 jute mills producing sacking, hessian. CBC and-jute carpets. Bangladesh/ East Pakistan not only fed the rest of the world with raw jute including about 120 jute mills</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">located in Howrah. Calcutta. 24 Pargana, Diamond Harbour In India, but also another 100 Jute mills located in UK, Western Europe, some even In USA and Canada The undersigned, I he author of the write-up in his capacity as Chairman of Jute Mills Corporation between 1976-78 and Secretary. Ministry of Jute between 1980-82 got a unique opportunity to visit some of these mills outside the subcontinent in a very moribund state.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">As referred to earlier between 1950 and 60/'61. the then East Pakistan came to possess a very formidable jute industry enough to take the lion's share in the International Jute export trade, snatching away a good bulk of it from India which was the pioneer in the industry for about 100 years During 1969-70, we produced 50.60.507 tons, consuming 34.22 lakh bales of raw Jute and exporting almost 90 per cent of the jute products. Because of the War of Liberation and chaotic aftermath Its the total production gradually declined to 3.15.328 tons In 1972 consuming only 18.50 lakh bales of raw Jute. The Jute Industry was in a mess, indeed!</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">Then came the glorious phase of nationalised industrial sector when 1 1 big or medium size corporations were born. BJMC was one of them. From hardly three lakh tons in 1972. Bangladesh produced its highest quantum of Jute goods. 6.07,000 tons, in 1981-82. For couple of years with the exception of a few well-known sick mills, the Industry as a whole including Adamjee Jute Mills made profits and the mill employees and workers got the benefit of production and profit bonus! In quick succession jute marketing offices were set up in Melbourne. Singapore. Kenya. Brussels and also in Atlanta in USA. These 5/6 jute marketing offices became the watchdogs and liaison offices and thus In 1981-82 Bangladesh succeeded in exporting 5,60.000 tons of jute goods — an all time high — leaving its biggest rival India wondering for a while. Our General Managers (Marketing) located abroad were indeed very dynamic; one or two of them later on became Secretaries of different Ministries.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">Then, unfortunately, a very myopic, short sighted and quixotic decision was taken by the government, the then Minister of jute to be precise, in the name of economy and saving of foreign exchange and all these offices were abolished with the</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">exception of Brussels. To make a long story short, from the glorious biggest exporter of Jute goods the situation now has come down to such a pitiable state that we could hardly produce even three lakh tons a year and much less of It Is being exported. There Is a huge stockpile and practically all the mills, nationalised or privatised. are incurring heavy losses with the exception of the mills owned by the Ispahanis In Chittagong.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">To go back to the history of the IJO, this was born as a felt -need of the Jute producing and exporting countries like Bangladesh. India. Nepal and Thailand. As a matter of fact some years back before the birth of IJO in 1982 an organisation called "Jute International" was (born or was It still born?) As a matter of fact, the then Secretary. Ministry of Jute, was nominated to become the first Executive Director of the Jute International with headquarters in Delhi. This was only to allure Bangladesh's decision making authorities to grab the bait. The concept, however, was sabotaged as soon as good senses dawned. An organisation with only the Jute producing and exporting countries could not be the panacea, if about 25/30 major Jute goods consuming countries were left out. Thus I remember from my days as Chairman of the Jute Mills Corporation in early 1976 that how the idea of having such an organisation was finally nullified.</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">The principal malaise which afflicted the Jute producing countries was their stagnation. Although very viable high yielding variety of seeds for rice and wheat were invented and introduced successfully, there was nothing like this for the jute sector. Synthetic substitute, polypropylene, a throwaway bye-product of synthetic substance came with a bang and fibres produced out of polypropylene were Indeed very cheap — avaiable almost at a throw-away price. The question comes to mind why jute goods from India and later on from East Pakistan/Bangladesh were easily exported throughout the world by their manufacturing mills? Because raw jute and jute goods were then the cheapest industrial commodity that could be thought of. So long the price of raw jute was Rs 15/20/30 or even 130 Taka per maund. sale of jute goods was not a problem. Cost of living not only in Bangladesh, but all</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">over the world was going up and up While the price of rice, wheat, potato and everything else was going up. hew could the price of raw Jute be left behind?</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">But when the actual price of Jute was 250/300 per maund for the low grade ("C-Grade"). and It Is fraudulently, dishonestly and artificially raised to 600/650 per maund showing the same jute as higher grade ("B-Grade"). how could then the sacking, hessian or CBC remain the cheapest packing material. In preference to polypropylene made fibre? If anybody cares to ask me having been a very ardent and humble student of economics and industrial economics. "why this sudden U-tum for the Jute economy". I will say with all the emphasis at my command, that it is not only the formidable threat from the synthetic, but the present debacle Is more because of the downright corruption in nearly all the mills — a kind of loot and plunder. The debacle is 90 per cent due to the state of corruption and hardly 10 per cent due to the threat of polypropylene. With a bit of honesty and earnestness, with a bit of determined management leadership, it was sufficient to curb down the hydra-headed monstrous performance of the so called Trade Unions and CBAs and the slide could be halted. The jute economy will die an untimely death because of corruption and not because of the polypropylene fibre threat</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">We may not have any remorse or cry for the premature and unceremonious exit of IJO which was created to help get HYV Jute seeds, remove the bottlenecks of the jute industry, fight quota and other protective barriers against the entry of jute in the polypropylene fibre producing countries, help invent many other jute goods by-fproducts like jutton. wool-enised jute etc. IJO failed to live up to any such promises. Perhaps only the retired or about to be retired Jute Secretaries. Chairmen of Jute Corporation or senior scientists from the BJRI might well lament because of the positions available in IJO provided the incumbents with a very comfortable cushion. But remnant of jute is still there, and can be rejuvenated because, after all. It is environment friendly natural fibre. Should any one' cafe for Its [wospect?</lang>
      </p>
      <p class=".Bodylaser">
        <lang class="3" style=".Bodylaser" font="Patrika15 Ultra" fontStyle="Bold" size="130">The author is a former Secretary. Govt of Bangladesh.</lang>
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