Production volume of jute goods India FY 2009-2023

In fiscal year 2023, India produced about 1.24 million metric tons of goods produced from jute. This was an increase in comparison to the previous year. Notably, the sharp decline in production in the financial year 2010 was the consequence of the high stock levels held by traders.  

Jute products

As a leading natural fiber producing country, India accounted for more than 50 percent of global jute production. The bulk of the manufactured jute goods is predominantly being used in packaging purposes in the domestic market. West Bengal leads jute cultivation, along with Bihar, Assam, Orissa, Andhra Pradesh, Tripura, and Meghalaya. It is one of the most affordable natural fibers that is manufactured into yarn, cloth, bags, geo-textiles, agro-textiles, and shopping bags. Gunny sacks, the traditional packaging material from these natural fibers has multiple uses from the agricultural sector to the construction sector.

Packaging industry

The future of the jute industry in packaging is bleak, mainly due to competition in the market with cheaper packaging options. For instance, there has been a decrease in jute consumption since 2010 for weaving premium quality carpets. During the same time frame, the plastic packaging industry has had exponential growth.