Financial Daily from THE HINDU group of publications Wednesday, Apr 21, 2004 |
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Agri-Biz & Commodities
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Jute Jute Packaging Order relaxed Our Bureau
Kolkata , April 20 THE Centre has amended the mandatory Jute Packaging Order, relaxing the jute-packaging requirement for foodgrains to 60 per cent and for sugar to 50 per cent. Till now, the entire foodgrain was required to be packed in jute bags, while the norm for sugar was 90 per cent of its production. An official release from Indian Jute Mills Association (IJMA) said the Government announced the decision through two orders dated April 14 and April 16 and added that these orders were a "flagrant violation of the judgement" passed by the Division Bench of the Calcutta High Court. IJMA moved court after the Union Ministry of Textiles diluted the mandatory packaging orders under the Jute Packaging Materials (Compulsory Use in Packing Commodities) Act, 1987. After several hearings, the Division Bench passed an order in favour of the jute industry. The Centre appealed against it in the Supreme Court. After the initial hearings, the apex court ruled "status-quo" and asked the Centre to continue with the earlier packaging norms. Though the Supreme Court is still hearing the matter, the status quo was recently vacated. The Union Ministry of Textiles while issuing the orders, has clarified that the orders were "subject to the final decision" of its special leave petition pending before the apex court. At present, the procurement of jute bags for packing the rabi crop and sugar is almost over. IJMA will appeal to the Central Government to reconsider the decision and withdraw the orders already issued.
More Stories on : Jute | Packaging | Agricultural Policy
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