AS THE nation gears up to a new procurement season, the daggers are out again: the
Indian jute mills association and the Plastic Woven Sacks (PWS) association are trying to corner the larger share in the ‘packaging pie’.
It bears mention that the Ministry of Textiles (Government of India) implements the National Jute Policy and the Jute Packaging Materials Act 1987 (JPMA), which clearly stipulates that the government can direct the agricultural and industrial producers to package their goods in packaging made from jute. This percentage varies from year to year, depending on the production and availability of jute, and the volume of production of different commodities, especially wheat, paddy, sugar, and seeds in the agricultural sector, and cement and fertiliser in the industrial sector. Last year, cement and fertiliser sector were given exemption, and others wish to follow the suite.
However, the context in which the exemption was given is often ignored – the reason was the non availability of jute sacks on account of the 63 days jute mills strike in West Bengal in March- April, 2007.This also led to the accumulation of unused jute stocks, which led the government to order cent percent packaging for agricultural commodities under the JPMA last year.
Jute and mesta, the traditional packaging materials, which are grown mostly in the ‘interim period’ between rabi and kharif crops by over 40 lakh farmers in Eastern region are now being threatened by newer options – mainly High Density Polyethylene (HDPE) based sacking material, which claims to have global acceptance on account of greater flexibility, cost competitiveness and insulation from the production cycle. The JPMA on the other hand, promotes reservation in packaging to ensure a steady market for approximate 20 MT production each year. It should be mentioned here that in the long run, diversification, niche packaging, and alternative crops for the land on which it is grown have to be found – and the National Jute Mission and the JMDC is trying to work on innovative ideas – from jute on road construction to manufacture carpets and curtains- but till then, the livelihood opportunities cannot be completely shelved aside.
The PWS lobby on the other hand makes out the case that with the ever increasing food grain and sugar production, and the declining area under jute, alternate packaging materials have to be developed. They also point to the global trends in the packaging industry, and the new food grade standards that are in vogue in America and the European Union. If the Indian packaging industry is constrained from using materials other than jute, then the long term competitiveness of industry will suffer. They have found support in major food grain producing states like Punjab, Haryana, UP, Rajasthan and Gujarat, where most agribusiness organisations, including co-operatives are seeking a dilution of the order. Packaging costs are lesser for the PWS – but then jute is definitely more eco-friendly and generates many more livelihood opportunities. Decision making, however, is not so easy – and several consumer bodies are also evenly divided on whether to support jute or the PWS. The Union Agriculture Ministry and those from Eastern and Northeast region also support the cause of jute, but the industrial lobby everywhere tends to support the PWS. The petroleum ministry and the ministry of chemicals and fertilizers also points to the National Policy on petrochemicals, and the industry affiliated to their sectors is keen on gaining a foothold in this multi million industry. The Food Corporation of India, and the ministry of food also tend to support toe PWS – for the lead time is shorter, and global trading is better in PWS.
Before we take a look at the global trends, we have to understand that in the context of America and Europe, natural packaging fibre is many times more expensive than its HDPE substitutes. Even then, they have given incentives for eco –friendly packaging material, and use of plastic is being discouraged. Taxes on plastic sends out a very strong signal, and standards for food grade packaging from jute are now available. Where such standards are not available, certification agencies have expressed their willingness to work with the stakeholders. The long term externalities of plastic packaging still have not been fully documented, but the fact that jute is entirely recyclable, reusable and biodegradable is well established. If the economics of jute is not working out, then there is something wrong with the accounting system, which does not factor in the environmental concerns.
Can something be done? The answer is an emphatic ’Yes’. We, as consumers, have to create a market for eco-friendly jute bags. Next time we shop at a mall, or the local grocery, and pick up our stuff in layers of plastic bags, stop by, and tell the person in-charge that better alternatives to plastic are available. We will not only be creating a more sustainable world, we will also be promoting livelihoods, for the profits from PWS will go to the industry, while those from jute will be shared by millions of marginal farmers.