Benefits of Jute & Gunny Bags over Plastic & Outlook of Indian Jute Industry
How Gunny Bags and Jute Bags are environment friendly & Indian market outlook
Jute is considered to be eco-friendly & 100% bio-degradable material. Unlike poly & plastic, it does not cause any pollution in any form to our environment. It is for this reason, governments across the globe promote jute bag usage in various industrial sectors, more specially, agriculture & construction industry.
Benefits derived by using jute bags
Gunny bags & jute bags do offer whiff of fresh air, given today’s increasing polluting world, where plastic bags tend to dominate. With pollution reaching an all time high in several cities across the globe, it is high time to switch on to the recyclable and eco-friendly jute bags.
- Jute is easily available, cheap and a wonderful natural strong fibre and durable. They have smooth texture and soft to touch.
- Jute requires less water and farming space for cultivation, hence, being termed to be an eco-friendly option. It can sustain in the future.
- When compared to plastic bag, jute bag’s longevity is much more, since they are more durable, stronger and appear in good shape even after using for a long time.
- Jute bags after getting disposed decompose within few weeks/months easily.
- Manufacturers have come up with different shaped and sizes of jute bags to serve different purposes like carrying textbooks, primary bags, folders, mails, lunch, sacks to carry small & large items, shopping bags and much more. They are also convenient to be carried around and available in wide range of sizes, designs & colours.
Disadvantages of plastic bags
Although they are commonly used, the common people and the governments have realized the follies made in using them. Plastic is definitely cheap, easy to manufacture and also lightweight. However, it does come with numerous disadvantages that cannot be ignored. Few of the problems faced in its usage & packaging are given below:
- According to experts, plastic bags are non-degradable products. To decompose, it takes over four centuries or even more, thus polluting the environment. Slowly, the world will become a dumping ground if its usage is not stopped immediately, thus posing to survival of all living beings on this otherwise beautiful planet.
- They can be used just once and end up in landfills and waste bins. Plastic bags are even found to block sewage, parks, streets, beach fronts and even in rivers & oceans.
- Petroleum is used in billions of tons every year to produce plastic bags in billions to cater to world-wide demand. If production is reduced by using jute bags, then a good amount of precious petroleum can be saved which can be useful for our future generations.
- Plastic & poly bags tend to have less life span, since it loses its gloss faster. This will only mean more production, resulting in burdening our already burdened environment & natural resources.
- Plastic bags to disintegrate will require probably thousands of years, creating unwanted and unhealthy pollution.
Keeping in mind the increasing pollution problems created by plastic & poly bags, governments the world over have already started to impose partial or complete ban on using them. On the other hand, with jute & gunny bags being beneficial, the government is promoting them aggressively among industries and the common mass.
Benefits of banning plastic & poly bags
- With its banning, cost of goods is considerably reduced, since stores incorporate disposable bag cost into their prices.
- Overall economy can be improved significantly. Its ban can help those in the Gunny Bags Manufacturing Industry, packaging, agricultural can enjoy increased employment opportunities.
The objective to ban plastics and promote jute bags is to save the planet from impending disaster and further pollution and to make it safe for the future generation.
Scope of Indian Gunny Bags and Jute Bags market outlook and future prospects
Studies have revealed that in 2018, jute bag market had reached US $1.8 billion globally with 11.5% CAGR during 2011-18. Currently, the industry is considered to be still at nascent stage, however, showing encouraging growth prospects. The last few years have witnessed increasing demand, especially in the E.U. region, which is mainly attributed to growing concerns for environment. Furthermore with non-producing countries importing jute bags has witnessed sharp increase, due to respective governments placing bans on usage of plastic packaging bags & materials. The market, as per report, is likely to reach US $3.1 billion by the year 2024. India is positioned well to enjoy better scope, being a leading global producer.
Indian jute industry – SWOT analysis
The present need is to revamp successfully the otherwise diminishing jute industry in the country.
Strength:
- This industry can provide employment to over 7,500 persons annually. Also, further opportunities do exist to expand the current capacity in the newly developed mills.
- Jute being labour intensive industry engages over 4.35 million people.
- Pressure given by the green movement is likely to help it sustain due to customer preference.
Weakness:
- Being a labour intensive industry, wages tend to represent about 35 percent of total jute industry conversion costs, thus evading profit margins.
- With PJMA guidelines revised frequently, the industry is in bit of confusion.
- Machineries used are obsolete and age old, having lost its production capability & come up with quality products.
- Poor R&D is another weakness.
Opportunity
- When compared to other producing countries, India is much ahead.
- Offers wide range of value added products.
- Lower grade fibre upgrade ability present in batch mix.
- Industry set to accomplish TQM (Total Quality Management) to develop strong brand.
- Present government has pro-jute mindset.
- Few jute bag producers already awarded zero duty by Brazil, thus opening up opportunities for other producers.
Threats:
- Export Subsidy Assistance withdrawal from April 01, 2007 is a setback for Indian jute export.
- Bangladesh jute industry is a constant threat for Indian producers, as they are equipped with cash subsidy of 7% on all jute product items without strings attached.
- Used gunny bags to be reused to package coarse grains and paddy as per DFPD order, considered to be violation of 1987 Jute Packaging Material Act.
Still, scope of expansion of Indian jute industry is quite high & it is likely to win favours globally.