Sugar industry demands full exemption from jute packaging

Sugar industry seeks 100% exemption from mandatory jute packaging

The Indian Sugar & Bio-Energy Manufacturers Association (ISMA) and the National Federation of Cooperative Sugar Factories (NFCSF) have jointly asked the government to fully exempt sugar from mandatory jute packaging. They claim…

The Story in Brief

The Indian Sugar & Bio-Energy Manufacturers Association (ISMA) and the National Federation of Cooperative Sugar Factories (NFCSF) have jointly asked the government to fully exempt sugar from mandatory jute packaging. They claim that jute batching oil (JBO), a petroleum compound used on jute, contains carcinogenic PAHs that can contaminate sugar, risking consumers including children and pregnant women. They also say jute bags cost 2.5, 3 times more than alternatives, adding an estimated Rs 800 crore a year to the industry's expenses.

The Standing Advisory Committee had already ordered an independent expert study in October 2025 and reduced the mandatory jute packaging for sugar from 20% to 15% pending its outcome. The Commission for Agricultural Costs and Prices has also flagged the compulsory reservation system for leaving insufficient jute for higher-value products like shopping bags and décor.

The Indian Opinion

The health risk from JBO is a serious claim, but the jute industry will point to the livelihoods of lakhs of workers who depend on compulsory orders. Both sides have exaggerated the stakes. The independent study ordered by SAC involving AIIMS, FSSAI and BIS must be completed without delay. Until it delivers a clear verdict, the government should resist a complete exemption that could hurt jute growers just as much as a forced use of carcinogenic bags would hurt consumers.


Source: thehindubusinessline.com

This story was synthesised by AI from the source linked above.

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