Kolkata, June 1 (PTI) The Jute Commissioner's office on Tuesday ordered zero holding of raw jute, except for jute mills, after the West Bengal government asked it to carry out a strict drive against hoarders.

The state governments directive was given to facilitate the availability of the raw material for the mills, a shortage of which had led to the closure of some 16 mills, rendering 50,000 workmen jobless.

The state Labour Minister Becharam Manna on Friday had asked the Jute Commissioner to carry out the anti-hoarding drive by June 10.

The government is of the view that almost 5 per cent of the crop is still in the hands of sellers and stockists who are waiting for a higher price, the minister said.

A Jute Commissioner's order said, "All jute must be contracted by farmers/ middlemen/ sellers before June 10. Strict action will be taken, including imprisonment, if jute is found in any godown outside mills beyond June 25."

No mills will also be taking delivery between June 25 and July 20.

As the state is under COVID-19 restrictions till June 15, raw jute traders on Sunday appealed to give the balers a reasonable time to dispatch the stocks left with them to the mills.

"It is late action and unlikely to bear fruit. Raw jute prices have crossed Rs 9500/quintal, almost 95 per cent higher than normal times," jute mill sources said.

The state government has allowed a maximum of 40 per cent workforce per shift in each jute mill from the earlier 30 per cent, to ramp up production of the environment-friendly foodgrain packaging material to meet the demand. The sector has a huge supply backlog due to the Covid situation and the raw jute crisis.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)