Govt nod for mandatory packaging of foodgrains, sugar in jute materials

Key highlights:

• CCEA gives approval for mandatory packaging in jute material for Jute Year 2017-18
• Jute industry is predominantly dependent on government sector 
• Jal Marg Vikas Project gets nod navigation on Haldia-Varanasi stretch of National Waterway-1

The government today approves extension of norms for mandatory packaging of foodgrains and sugar in jute materials. 

The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, has given its approval for mandatory packaging in the jute material for the Jute Year 2017-18.

The decision would sustain the core demand for the jute sector and support the livelihood of the workers and farmers dependent on the sector. The Jute Year 2017-18 period is from 1st July 2017 to 30th June, 2018.

Elaborating the CCEA decision, the government statement said, "The approval mandates that 90% of the food grains and 20% of the sugar products shall be mandatorily packed in jute bags."

"The decision also mandates, in the first instance, the entire requirement for packing of food grains would be placed in jute bags thus, making a provision for 100% packing of food grains in jute bags subject to the ability of the jute industry to meet the requirement," it added.

The government decision will benefit farmers and workers located in the Eastern and North Eastern regions of the country particularly in West Bengal, Bihar, Orissa, Assam, Andhra Pradesh, Meghalaya and Tripura, besides giving a boost to jute industry.

The jute industry is predominantly dependent on government sector which purchases jute products more than Rs 5,500 crore every year. 

"Considering that nearly 3.7 lakh workers and approximately 40 lakh farmers are dependent for their livelihood on the jute sectors, the government has been making concerted efforts for the development of jute sector; increasing the quality and productivity of raw jute, diversification of jute sector and also boosting and sustaining demand for jute products, the statement said.

Jal Marg Vikas Project 

The cabinet also approves Jal Marg Vikas Project for enhanced navigation on the Haldia-Varanasi stretch of National Waterway-1 (NW-1) at a cost of Rs 5369.18 crore with the technical assistance and investment support of the World Bank. 

The project, which will be environment friendly and cost effective, is expected to complete by March, 2023, the statement said, adding that it will also contribute in bringing down the logistics cost in the country.

Construction, operation and maintenance of Zojila tunnel 

The cabinet has also approved construction, operation and maintenance of 2-lane bi-directional Zojila tunnel with parallel escape (Egress) Tunnel excluding approaches on Srinagar-Leh section connecting NH-1A at Km 95.00 and at Km 118.00 in Jammu & Kashmir on Engineering, Procurement and Construction (EPC) mode. 

The construction of this tunnel will provide all weather connectivity between Srinagar, Kargil and Leh and will bring about all round economic and socio-cultural integration of these regions. 

The project has strategic and socio-economic importance and shall be an instrument for the development of the economically backward districts in Jammu & Kashmir.