Bangladesh’s Ministry of Commerce has authorized 12 local firms to export a total of 2,984 tons of raw jute, according to a recent circular, as reported by The Financial Express.
As stated in the circular, the ministry granted export approval on September 30, following applications submitted via the Bangladesh Jute Association.
The companies granted export approval include International (208 tons), Popular Jute Exchange (822 tons), Sartaj Trade International (366 tons), Rashmi Kabir (104 tons), Janani Enterprise (52 tons), Sharif Trade Village (26 tons), The World Jute Garden (25 tons), Ideal Trade International (192 tons), RS Traders (130 tons), Bulbul Traders (25 tons), Juteb Impex (130 tons), and NS Jute Bailing (104 tons). Notably, raw jute has recently been added to the government’s list of conditionally exportable items.
Under the Export Policy 2024–27, exporters are now required to secure prior approval from the Ministry of Commerce before exporting raw jute. At the same time, insiders note that the government is allowing raw jute exports while prices have surged in the domestic market, posing a serious threat to local factories.
The Bangladesh Jute Spinners Association (BJSA) and the Bangladesh Jute Mills Association (BJMA) have recently called on the government to enforce a complete ban on raw jute exports for the current year.
According to The Financial Express, despite recent government restrictions, raw jute has become nearly unavailable in domestic markets, causing mills to face severe supply shortages.
Following a steep price hike in August and September, the government introduced export limits on raw jute after the peak trading season ended.
The Directorate of Jute (DoJ) reported farmers were earlier getting reasonable prices, between Tk 3,400 and Tk 3,700 per maund, from August to mid-September, but the rate has now surged to Tk 4,300–4,500 per maund.
Last week, BJSA convened an urgent meeting with the Bangladesh Jute Mills Association (BJMA) to address the ongoing raw jute crisis, price volatility, and supply shortages.
According to data from the Export Promotion Bureau (EPB), exports of jute and jute products have been on a downward trend since FY21.
The sector’s export earnings stood at $1.16 billion in FY21, followed by $1.13 billion in FY22, $911.51 million in FY23, $855.23 million in FY24, and $820.16 million in FY25.