Indian sugar mills association

Shortage of hands hits jute

Date:	19 Dec 2011

Source:	The Telegraph

Reporter:	Pinak Ghosh

News ID:	774

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Calcutta, Dec. 18: The labour shortfall in the jute mills of Bengal, which has forced many mill owners to reduce production hours and scale down output, is set to worsen further.

At present, there are over 50 operational mills in the state employing more than 400,000 workers. Labour availability in these mills is 30 per cent less than demand.

Several mill owners are finding it difficult to maintain a capacity utilisation of over 80 per cent because of shortage and political frictions. Some mills cannot even utilise 50 per cent of their capacity. Kanoria Jute Mills, which was reopened recently, has started operations with only 20 tonnes per day (tpd) out of its total capacity of 90tpd.

Manish Poddar, chairman of the Indian Jute Mills Association, told The Telegraph, “The mills are already facing a shortage of skilled labour to the tune of more than 30 per cent. This is set to worsen in the coming days as workers find more remunerative jobs elsewhere.”

“We have invested Rs 5 crore to increase capacity from 80 to 110 million tonnes (mt) per annum at India Jute Mill. Even if we are able to open up the mill despite political circumstances, labour shortage still remains a concern,” said Sanjay Kajaria, owner of the mill.

Another mill owner, on condition of anonymity, said workers were increasingly taking up jobs at construction sites as labourers or as security guards for private organisations where the starting wage was more than Rs 300 per day.

In jute, wages vary between Rs 200 and Rs 400, depending on the level of experience

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