Code No: TMS019 Price: 450 Category: Health

Table Of Contents :

• Introduction
• Research design and methodology
• Present status of packaging technology and technological developments
• Selected sub-set of technology and technology assessment HDPE/PP woven sack industry
• Techno-market survey findings
• Technological options for the Indian
• Jute industry Suggested action plan

1.1 Packaging Industry

The packaging industry basically comprises of the following:

i) Packaging materials manufacturers
ii) Packaging machinery manufacturers

1.2 Major objectives – Techno Market Survey

The major objectives of the Techno-Market survey on packaging technologies could be summarized as:

1.2.1 Since Jute is a renewable resource and India is the largest producer of Jute in the world to study the following:

i) Present status do Jute mills, level of manufacturing’ technology, technological developments, technological gaps, etc.

ii) Extent of competition faced by jute bags, from HDPE/PP Woven sacks in the packaging sector.

iii) Technological options available to the jute bags manufacturers in India in terms of product improvement, product diversification etc. for better and effective utilization of jute fibres.

iv) Impact, feasibility and forecast of preferred technological options etc.

1.3 Methodology – Techno Market Survey

1.3.1 The Techno Market Survey was carried out by:

i) Desk Research
ii) Field Study
iii) Mail Survey

1.3.2 Desk Research

The desk research was conducted from published literature, Technical journals, Government sources etc. to gather information on:

i) Major manufacturers of important packaging materials and packaging machines (both in India and abroad).
ii) Major manufacturers of jute bags and HDPE/PP woven sacks and related production machinery in India and abroad.
iii) Major end-users of jute bags and HDPE/PP WOVEN SACKS IN India.
iv) Important research organizations and institutes related with technological development in jute industry etc.

1.3.3 Field Survey

1.3.3.1 An extensive field survey was conducted with the help of structured questionnaires to cover the following:

i) Packaging materials manufacturers
ii) Packaging machinery manufacturers
iii) End users.

In addition to the above, major research organizations and institutes working in the area of jute were also contacted with the help of instructed questionnaires.

1.3.3.2 The field survey was carried out in the following six cities to cover about 46 organizations

• Delhi (and adjoining areas)
• Bombay
• Calcutta
• Kanpur
• Madras
• Chandigarh

1.3.4 Mail Survey

About 57 organizations in India and 27 organizations located abroad covering manufacturers of packaging materials and machines, research institutes, end users etc. were also contacted by a Mail survey.                                                   Back

1.4 Techno Market Survey Findings

1.4.1 End-users’ preference (HDPE/PP Woven Sacks Vs Jute Bags)

1.4.1.1 About 12 major end-users of HDPE/PP Woven sacks and jute bags were contacted during the field survey, and comprised of:

i) Fertilizer manufacturers
ii) Cement manufacturers
iii) Sugar manufacturers
iv) Organization dealing in Food grains etc.

1.4.1.2 The major findings of the survey are summarized below:

i) The present share of jute bags in various end-user segment are

• Fertilizers (other urea) 30%
• Cement 40%
• Foodgrains, oilseeds and sugar 100%
• Urea 100%

ii) Jute bags are suitable for packaging of food products but the bags presently in use are excessively strong, bulky and costly, thereby making packaging expensive.

iii) Almost all manufacturers of fertilizers and cement contacted during the survey have indicated preference for HDPE/PP Woven sacks over jute bags primarily due to the following reasons:

They are cheaper in cost
They offer better packaging properties i.e. better appeal, higher resistance towards moisture and insects, lower material seepage and pilferage, lower cost of transportation, etc.

1.5 Technological Options for the Indian Jute Industry

1.5.1 In order to face the challenge from HDPE/PP woven sacks, various technological options available to the Indian Jute bags manufacturers are:

i) Production or improved and modified jute bags i.e. light weight all jute bags, polyjute bags etc. which have lower price and offer better packaging properties when compared to conventional jute bags.

ii) Installation of new machines based on modern techniques for jute yarn spinning and fabric weaving which have higher production rates, lower cost of production of jute bags, etc. i.e. twistless spinning, OE rotor spinning, etc.

iii) Production diversification i.e. manufacture of:

• Water, rot and fire proof jute fabrics
• Jute blended yarns
• Jute Geo textiles
• Jute reinforced plastic laminated sheets etc.                                                                                                                                                                                                                                                                   Back

1.6 Preferred Options for the Indian Jute Industry

1.6.1 The preferred options for the Indian Jute industry are summarized below:

i) Manufacture light weight all jute bags for packing of Food grains, Sugar and Oilseeds;
ii) Manufacture Polyjute bags for packaging of cement, Fertilizers and Urea;
iii) Manufacture diversified products i.e. JRP Laminated boxes / chests, Jute Geotextiles etc.

1.6.2 Demand Forecast

The demand for preferred jute products during the next few years is summarized below:

i) Light weight all jute bags

ii) Polyjute bags

iii) JRP Chests/Boxes

iv) Jute geotextiles

1.7 Production & Utilization of Jute Fibre

1.7.1 The anticipated production and utilization of jute fibre for production of Jute bags, polyjute bags, JRP Chests/Boxes and Jute geotextiles during the next few years are summarized below:

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1.8 Suggested Action Plan

The suggested action plan for improving the present status of the Indian Jute industry and to reduce the unhealthy competition between Jute bags and H.D.P.E. bags is summarized below:

i) The Jute mills should not totally depend on ‘Jute Packaging Materials Act’ but should try and improve Jute bags, manufacture diversified Jute products etc. The jute mills should carry out research in house on product improvements, new products development etc.

ii) It is recommended that the Government of India should modify the “Jute Packaging Materials Act’ with the respect to the following:

a) 100% of Foodgrains, Sugar & Oilseeds to be packed in jute bags, since jute bags are better suited for these sectors.

b) The share of Jute bags in packing of cement, fertilizers and urea should be reduced to 40% (year 1991-92), gradually to 10% (by year 1995-96) and not jute bags to be used for there sectors since use of jute bags causes huge loss of revenue due to material seepage (estimated at Rs. 270 crores for year 1990-91).

c) For packing of Cement, Urea & Fertilizers, Polyjute bags should be provided a packaging share of 10% (year 1991-92) which should go up gradually to a maximum of 40% by the year 1996-97 and onwards. H.D.P.E. bags should be provided maximum share of these segments with 50% (Year 1991-92) which should be gradually increased to a maximum of 60% by the year 1995-96. Based on the above suggested share patterns, it is estimated that the H.D.P.E bags manufacturers would be able to utilize their full installed capacity of 1.6 lac tonnes by the year 1994-95.

iii) Jute research institutes i.e. IJIRA should concentrate more on development of diversified jute products, related technology and low cost machines which could be transferred to the Jute industry.

iv) In order to assess the domestic and export market for diversified jute products, improved jute products etc. it is suggested that a detailed Market Survey be carious out. Such surveys could highlight lucrative jute products which could be manufactured by the Jute industry. Organizations i.e., JMDC, IJMA etc. can play a vital role.

v) For tapping the Vast International market, organization i.e. JMDC etc. should undertake efforts for promotion and demonstration of new jute products. They should participate actively in World Textile fairs, organise buyer-seller meets, Seminars etc.

vi) It is suggested that Jute goods manufacturers should actively participate in Trade fairs, Exhibitions etc. being held in Indiana from time to time. This would create greater awareness among the people regarding new jute products and their applications.

vii) The jute mills of manufacturing polyjute bags would require H.D.P.E. tapes from the H.D.P.E. bags manufacturers organizations i.e. IJMA, PLASMA etc. can play a vital role in coordinating the supply and establishing understanding between the two industries.

viii) In order to encourage modernization fn product diversification in the jute industry on a larger scale it is recommended that the Government of India should also finance additional working capital requirements of the Jute Mills (arising from modernization) under the “Jute Modernization Fund Scheme” to make the modernization process complete.

ix) It is recommended that TIFAC should initiate further studies on polyjute bags, JRP boxes/chests, other diversified jute products to evaluate in-depth the techno-economic feasibility, end users acceptance and long tern potential of these options.

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