Kolkata, Dec 24 (PTI) Food Corporation of India (FCI), the jute sector's biggest consumer, has expressed disappointment over use of the new lightweight 580-gm jute bags mandated by the Centre for packing food grains.
In a letter to the Jute Commissioner earlier this month, the FCI said that in the last one year, the specifications of jute gunny bags have been revised twice, diluting its bag weight, breaking strength, etc.
"FCI had to face difficulties due to bleeding bags, resistance from PDS authorities and wastage of food grains," it said in the letter.
Jute industry sources told PTI that they estimate losses to the tune of Rs 2,000 crore arising out the new low weight bags' usage, and savings of only about Rs 200 crore.
The government introduced the 580-gram bags replacing the 665-gram heavy bags in December, 2015.
Each year, the FCI procures around 8-10 lakh ton of gunny bags on behalf of state food agencies, at a total price of around Rs 6,000 crore.
The procurement and distribution of food grains undergoes at least eight stages of handling, logistics and other processes, the sources said.
The use of low quality raw jute in the manufacture of the light bags will further worsen the situation for FCI, it added in the letter. PTI BSM RBT .
This is unedited, unformatted feed from the Press Trust of India wire.