Cardboard Boxes Raise Alarm For Jute Packaging Exports
Opposition came from U.S. tobacco packaging unit
Fearing the prospect of losing tobacco-packaging market in the US, the Union Textile Ministry has started lobbying on the issue together with International Trade Centre (ITC) Geneva.
Over the years, the U.S. had been India's largest jute goods exports market, importing hessian material for packaging peanuts, cocoa, coffee and tobacco.
The problem started when a major importer said that his clients in the U.S. were objecting to use jute hessian cloth for tobacco packaging as a major U.S. cigarette manufacturer had asked his leaf tobacco suppliers not to pack their tobacco in jute hessian any more and as an alternative wanted them to use carton boxes.
The main opposition actually was that end-users were finding it difficult to handle jute hessian sheets, while they could easily recycle empty cardboard boxes. This comes as good news for the cotton-packaging sector as they were looking for other packaging alternatives.
The Textile ministry has already sent related data and information to the International Packaging Association of Tobacco Manufacturers, based in the U.S. After the first round of discussions with ITC, the ministry is expected to receive a proposal on this matter soon.