The Centre has directed all sugar mills to pack 20 per cent of their production of the commodity in gunny bags as per an order issued by the Textile Ministry, failing which action will be taken against erring mills. However, it has not mentioned exactly what type of action will be taken against erring mills, since adequate availability of jute bags is also an issue.

“All the sugar mills are hereby directed to place their orders for procurement of jute bags for packing 20 per cent of sugar produced in sugar season 2024-25 (October-September) and ensure the compliance of the Ministry of Textile’s order issued on October 1 for mandatory packaging in the jute packaging material in letter and spirit,” the Food Ministry said in a letter to all sugar mills.

Further, all sugar mills are also directed to furnish the information of jute packaging in monthly returns filed by them (in P-2 sheet) from October 2024 onwards, it said.

Order after HC ruling

Explaining the importance of the issue, the Food Ministry said the latest order of the Textile Ministry was issued after a division Bench of the Karnataka High Court on September 26 set aside the interim order of a single judge of the same high court. In an interim order on September 5, a Single Judge of the High Court had stayed the Textile ministry’s notification of June 28 on 20 per cent mandatory packaging in jute bags.

The Food Ministry said that non-compliance of the directions issued by it for jute packaging of 20 per cent of sugar production will be viewed seriously and strict action will be taken against erring mills under the provisions of Sugar(Control) Order, 1966 read with Section 3 of Essential Commodities Act, 1955.

The raw jute (both jute and mesta), a kharif crop, acreage this year slipped to 5.74 lakh hectares (lh) from 6.67 lh in 2023 season, fuelling speculation of a lower output amid less rainfall in the key producing State West Bengal, where the sowing area declined by over 93,000 hectares.