The Ministry of Textiles has released an overview of India’s jute sector, highlighting its economic importance and government support measures. The announcement covers production figures, export data, and policy interventions aimed at sustaining farmer livelihoods and expanding market opportunities for what is known as the “Golden Fibre” due to its characteristic appearance.
Key Numbers and Scope
India produced 76 lakh bales of raw jute and 12.80 lakh metric tonnes of jute goods in the financial year 2025-26. Raw jute exports reached 22,700 metric tonnes valued at ₹225.11 crore, while jute goods exports totalled 1,71,300 metric tonnes worth ₹3,155.27 crore during the same period.
The sector provides direct employment to approximately 3.70 lakh workers in organized mills and supports nearly 40 lakh farm families engaged in cultivation. India accounts for about 75 per cent of estimated global jute goods production as of July 2026.
The government has set the Minimum Support Price (MSP) for raw jute at ₹5,925 per quintal for 2026-27, ensuring a 61.8 per cent return over the all-India weighted average cost of production. This represents a 147 per cent increase compared to ₹2,400 per quintal in 2014-15.
The National Jute Development Programme, implemented by the National Jute Board, has an outlay of ₹485.58 crore from 2021-22 to 2025-26. Key initiatives include the JUTE-ICARE scheme for improving cultivation and fibre quality, and the Jute Diversification Scheme supporting value-added product manufacturing.
Government policy mandates that 100 per cent of food grains and 20 per cent of sugar must be packed in jute packaging materials. The Jute Corporation of India operates around 110 Departmental Purchase Centers across eastern and northeastern states to directly procure raw jute from farmers when market prices fall below the MSP.
What this means for you
If you are a jute farmer, government protections ensure your produce has a guaranteed minimum price, and you can access improved seeds and mechanization support through various schemes. For consumers and businesses, the emphasis on sustainable jute alternatives to synthetic materials offers environmentally responsible packaging and textile options. Small producers and artisans can access raw materials at controlled rates and receive subsidies for equipment and retail expansion. India’s jute exports provide employment and income generation across the value chain, from cultivation through manufacturing and trade.