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Export of Jute Yarn and Jute Products from India

14-Sep-2023

The jute industry is one of the most important sectors of the Indian economy. India is the world's largest producer and exporter of jute, accounting for over 50% of global production. The industry employs over 4 million people and contributes significantly to the country's export earnings. Jute is a natural fiber obtained from the jute plant's bark. It is a versatile fiber that can be used to make a wide variety of products, including sacks, bags, carpets, rugs, and textiles. Jute is also a sustainable fiber, as it is biodegradable and renewable. In this blog, we will briefly discuss jute's export performance and How to export jute products from India. 

All about the Indian Jute Industry

The Indian jute industry is one of India's oldest and most prominent industries. It is the world's leading producer of raw jute and jute goods, accounting for about 75% of global production. The industry is concentrated in the eastern states of West Bengal, Assam, Bihar, Orissa, and Andhra Pradesh.

The jute industry employs about 3.5 lakh workers, both directly and indirectly. It also supports the livelihood of millions of farmers who grow jute. The industry faces challenges, such as competition from synthetic fibers and rising input costs. 

Due to significant local market demand, 90 percent of the total production of jute is often used domestically. In FY22, India’s production of jute goods was valued at 1,080 lakh tonnes.

Over time, jute and jute products from India have seen tremendous export growth. As per Jute Export data, the aggregate amount of jute exports increased at a CAGR of 9 percent between 2015-16 and 2020-21.

Here are some of the key facts about the Indian jute industry:

  • India is the world's leading producer of raw jute and jute goods.

  • The industry is concentrated in the eastern states of West Bengal, Assam, Bihar, Orissa, and Andhra Pradesh.

  • The jute industry employs about 3.5 lakh workers, both directly and indirectly.

  • The industry is facing some challenges, such as competition from synthetic fibers and rising input costs.

  • The government is taking steps to revitalize the industry by providing subsidies and tax breaks.

Do you know about Jute Mark India?

What is the Jute Mark India Initiative?

The government introduced the "Jute Mark India" certification of authenticity for jute products in April 2023. It is a campaign to support and safeguard Indian jute products that guarantees their collective identity, assurance of origin, and quality assurance. The accreditation is expected to increase exports of jute products from India and the domestic market. Customers may find additional information about the maker by scanning the unique QR code on each Jute Mark label.

Jute Export Industry- Market Overview

The exports of jute and jute products from India have increased over time. From 2015–16 to 2020–21, the total exports of jute expanded at a CAGR of 9%. According to Jute Export Data, India exported jute and floor coverings in March 2022 for a little over US$49 million. 

Other jute-based goods, like gift items, ornamental fabrics, and hand and shopping bags, are exported from India. Jute Diversified Products (JDP) has the largest market share among all shipping jute products, with exports valued at roughly US$169 million in 2021–22, as per Jute yarn export data.

According to figures from the Indian Jute Mills Association (IJMA), sacking and hessian exports were US$ 47 million (Rs. 363.45 crore) in 2021-22, growing from US$ 56 million (Rs. 428.98 crore) of exports recorded in the previous year, respectively.

Major Export Destinations of Indian Jute:

Based on Export Data for Jute products, the export of all jute goods to the top countries between 2021- 2022 stood at 83% of the aggregate exports valued at Rs. 20,214.48 million (US$ 263 million), indicating a major share of traditional markets. These are the major destinations of Indian Jute; 

  • USA

  • UK

  • Australia 

  • Belgium,

  • Egypt

  • Germany

  • Italy

  • Japan

  • Saudi Arabia

  • Turkey

During 2021-22, the United States was India's leading importer of jute manufacture, including floor covering, with a value of US$ 107.13 million as per Jute yarn export data. If you need the most updated and accurate Jute export-import data, connect with the ExportImportData.in platform to discover global market insights.    

How to Export Jute from India?

To export jute from India, you will need to follow these steps:

Step:1 Get an Export Code 

The first step is to get an Export Code from the Directorate General of Foreign Trade (DGFT). This is a mandatory requirement for all exporters. You can apply for an Export Code online through the DGFT website.

Step:2 Obtain the required licenses and permits 

Depending on the type of jute products you are exporting, you may need to obtain specific licenses and permits from the government. For example, if you export jute bags, you must obtain a license from the Jute Commissioner's Office.

Step:3 Prepare the export documents.

The following documents are required for exporting jute from India:

  • Bill of Lading

  • Bill of Export

  • Commercial Invoice

  • Foreign Exchange Form

  • Documents against acceptance and payments

Step:4 Find a buyer

You can find a buyer for your jute products through online platforms like ExportImportData.in and obtain the reliable and most accurate India Trade Data on a single data-driven dashboard.

Step:5 Arrange for shipping

Once you have found a buyer, you must arrange to ship your jute products. You can do this through a freight forwarder or shipping company.

Step:6 Clear customs

When your jute products arrive in the destination country, they must be cleared through customs. This process can be complex, so it is important to work with a customs broker.

Also Read: How to Boost Textile Exports from India?

Conclusion

So, Exporting jute from India can be a complex process, but it can also be a profitable business opportunity. By following these steps, you can increase your chances of success. The jute industry has the potential to play a major role in India's economic development, and the government is committed to supporting the industry's growth.

Looking for Jute Import Export Data?

ExportImportData.in provides the most accurate and updated export-import data for Jute. Explore the Potential of Jute Exports from India with the latest Trends, HS Codes, and Market Insights with our extensive dashboard.

We also have a database of export data for Jute so that you can research the demand for this jute in different countries. Our team of experts can help you with updated, authentic market statistics. Start Exporting Electric Jute Today and Drive Global Success! Click Here to Book a free live demo!

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