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Government Tightens Jute Stock Rules, Raises Mill Quotas After Price Surge

Dehoarding orders require liquidation within 10 days with police empowered to inspect and seize.

Overview

  • The Jute Commissioner imposed immediate cuts to permissible raw jute holdings as prices hover near Rs 13,000 per quintal, revising norms set in December 2025.
  • Following a review by Union Textiles Minister Giriraj Singh, the ministry said mill stock limits will be increased and caps for traders and balers reduced, with a notification expected shortly.
  • Entities exceeding the revised limits must liquidate excess stocks within 10 days, and state enforcement teams have authority to verify declarations and seize non-compliant holdings.
  • Reports differ on exact caps, citing either 30 or 45 days of stock for mills and 150 or 25 quintals for other registered stockists, with 1,200 quintals for registered balers and five quintals for unregistered traders.
  • Support steps include phased hikes in B-twill bag purchase prices to Rs 87.20 in January 2026, while the Jute Balers’ Association disputes a shortage narrative and warns of livelihood risks and possible effects on sowing.