Jute is the world's second most used fibre after cotton.The India jute industry is an integral part of the Indian Textile Industry.Jute is a natural fibre and is grown in extensive parts of West Bengal, Bihar, Assam, Orissa and Uttar Pradesh in India. It has been one of India's traditional industries but in the recent past, it had been witnessing continuous erosion partly because of competition from Bangladesh, once forming the best part of India's jute producing areas, and partly because of the onslaught of the synthetics. The jute industry was once India's largest foreign exchange earner. About 200,000 people are engaged in the industry besides four million cultivators. The country produces about 1.6 million tonnes a year of jute goods mainly in the form of hessian (fabrics), sacks, carpet backing and carpets. Of late, other fancy products like curtains and handbags are being produced. The industry is expected to maintain a crawling growth of 1% to 1.3% in the ensuring years.
Jute use is now increasingly becoming diverse. It can be used in furniture, curtains, upholstery, and dashboards and side panels in cars. The new applications identified for jute range from door frames to denim clothes. Jute carpets have been in vogue for a long time. Jute is being used in the production of cigarette paper. It also provides furbish for other paper producers. An auto multinational is reported to be using about 2.5 kg of jute in each car produced by it in India. Jute's bio-degradability is a compelling advantage.
In a bid to revive the industry, steps are taken in forming co-operatives among farmers, elimination of middlemen, formation of Jute Corporation of India and development of small entrepreneurs who can manufacture a wide range of items made from finer jute fabrics, such as carry bags, ladies hand bags, items for home furnishing. The small scale sector in the Indian jute industry has tried to move into value added items like shopping bags, upholstery and consumer durables.
Major lead players includeHoogly Mills, Hoogly Mills Projects, Birla Corp., Champadmy Inds., Ganges Mfg., Anglo India Jute, etc. In India, Bihar is the second largest producer of jute after West Bengal.Other world producers of jute are Bangladesh, China, Thailand and Nepal. Bangladesh is the biggest exporter.
There is a big scope globally for Indian jute shopping bags as an alternative to plastic bags. Amid increasing awareness against the use of plastic bags, especially in the European countries, Indian jute carry and shopping bags exporters shipped over
40 million bags in the fiscal ended March 2009 and the number is likely to cross 75 million in the next three years. India's export of jute bags in 2008-09 is estimated at Rs 200 crore while it was Rs 120 crore in the previous year. As per industry estimates, India had exported about 40 million jute bags mainly to Europe in 2008-09 and the number is likely to cross 75 million by 2011-12.
The future of jute industry is particularly bright. Due to its eco-friendly character, it might continue to maintain its presence. The new products can make their presence felt but in terms of volumes - or in terms of value.
Plastic materials, however, are non-biodegradable. Upon disposal, they can remain in the environment for many years.
In the absence of plastic products, we have three alternatives. These two are:
- Jute-based products
- Paper-based products
- Cotton-based products
Cotton fiber is expensive; hence, most of its products are expensive. Jute fiber and paper are much cheaper than cotton. Today, most shopping bag manufacturers use paper and jute fiber as their raw materials.
- How to start a jute and jute-based products industry?
- How to prepare a project report on the jute industry?
- How to prepare a successful jute manufacturing business plan?
- Project report on paper shopping bags
How to Start a Jute and Jute-Based Products Industry?
Globally, jute is the no. 2 most popular fiber. It is second to cotton fiber. Typical uses of jute and its products include:
- Making curtains
- Constructing furniture
- Designing car dashboards
- Making fabrics
- Weaving sacks and floor carpets, etc.
To start a successful jute based products industry, you need to consider the following aspects.
1. Market potential
One way of knowing your market potential is to look at the feasibility study report for the project. Globally, there is a high demand for jute-based products. The shift from non-biodegradable plastic to more eco-friendly options drives this demand.
2. Site selection
If you want to start a project in the jute production process, consider both geographical and climatic factors. An ideal location should have high rainfall for about 4 to 5 months in a year. The ideal warmth is about 800 F mean monthly temperature. Jute also thrives under high humidity. A jute-products business, such as jute bag manufacturing, should be located where you can easily access jute fiber or raw jute is you will process fiber yourself. Nearness to your target market is another factor you should consider.
3. Operations
Decide on the roles each employee will play in the jute manufacturing process. You may need to hire specialized personnel for some operations.
4. Branding
The last and most important aspect is creating a strong brand. Jute gives you many options for creative and innovative ideas. A good brand should give you a competitive advantage over existing brands.
How to Prepare Project Report on Jute Industry?
To prepare a project report on the jute industry, you need to understand the jute industry's fundamental aspects. A project report must demonstrate that you understand your industry dynamics.
Here are some aspects you should consider in preparing a project report on Jute Manufacturing Industry.
1. Survey market drivers
Among the key tools, you will need to set up your business is a jute bag manufacturing business plan. An ideal jute manufacturing business plan must give a clear description of the target market and its dynamics.
Factors that drive demand for jute production
- It is biodegradable.
- Global preference for jute bags and products
- Ban on plastic bags
2. Assess the current market characteristics
You need to familiarize yourself with the popular brands and options for more diversification. If you hope to invest in the jute mill production process, you need to know the existing players in the jute bags manufacturing business.
3. Jute market structure
We can categorize the jute industry into four sectors. These are:
- Production of raw jute
- Jute fiber processing
- Manufacture jute-based products
- Marketing of jute and jute-based products
How to Prepare a Successful Jute Manufacturing Business Plan?
Do you want to set up a jute product project, for example, jute shopping bags production or recycling of used jute bags? Well, one important tool you require is a good plan for a jute bag manufacturing business. A business plan captures aspects of both project feasibility report and business project report, which include:
1. Business potential
For example, if you are interested in manufacturing jute bags, you should find the demand for this product in your target market. Look at the supply deficit and any other market gaps.
2. Legal requirements
An ideal business plan should consider issues relating to company registration, trade licensing, quality and standards certification, and insurance.
3. Site identification
In your business plan, identify and justify an ideal site. This should be within reach of raw material supply and market.
4. Availability of raw materials
Establish the supply of jute and jute fibers based on your intended product. You should also consider other materials like chemicals, packaging materials, etc.
5. Machinery
You require different machines depending on your manufacturing process in the business plan report. You may need powerful duty sewing machines and sealing machines, among others.
6. Manufacturing process
A business plan demonstrates your manufacturing process and its financial implications.
7. Marketing
Given the diversity of jute products, you must have an aggressive marketing and branding strategy that befits the market.
Reasons for buying our reports:
This report helps you to identify a profitable project for investing or diversifying into by throwing light to crucial areas like industry size, market potential of the product and reasons for investing in the product
This report provides vital information on the product like its characteristics and segmentation
This report helps you market and place the product correctly by identifying the target customer group of the product
This report helps you understand the viability of the project by disclosing details like machinery required, project costs and snapshot of other project financials
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The report provides forecasts of key parameters which helps to anticipate the industry performance and make sound business decisions.
Our Approach:
Our research reports broadly cover Indian markets, present analysis, outlook and forecast for a period of five years.
The market forecasts are developed on the basis of secondary research and are cross-validated through interactions with the industry players
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