Value Addition by SHgs in Jute Diversified Products (JDPs) in North 24 Parganas District of West Bengal

Abstract

"Jute Diversified Products (JDPs) can be termed as all jute products excluding the sacking of any weave & geometry and excluding yarn for sale. The proportion of JDPs in total jute product exports has steadily increased over the last decade, rising from 17.12 per cent in 2010-11 to 43.37 per cent in 2019-20. With the increasing share of profit in terms of exports, JDPs can act as the silver lining in an otherwise declining jute industry. Other than that, environmentally friendly goods and services are now highly sought after globally. Manufacturing JDPs can thus provide employment opportunities to rural communities, especially women and various artisans, causing the least possible impact on the environment too.This paper investigates the value addition done on selected JDPs (Jute jewellery, Handbags, Handicrafts/ Gift items/ Showpieces, Decorative fabrics, Conference/ Seminar files) by SHGs in North 24 Parganas district of West Bengal. It was based on primary data collected from 9 SHGs and 120 SHG member respondents. The value addition by SHGs can be understood based on the channel through which the product is marketed. Two specific marketing channels were identified in the study area, i.e., Channel I: Input supplier → SHG → Retailer → Buyer and Channel II: Input supplier → SHG → Buyer. In channel I, the value addition made by SHGs in the case of Jute jewellery (33 nos.) was 69.26% (` 4564.99), for Handbags (3 nos.) was 74.72% (` 539.69), and for Handicrafts/ Gift items/ Showpieces (50 nos.) was 60.77% (` 16918.56). Meanwhile, it was 67.72% (` 841.49) for Decorative fabrics (1 no.) and 65.05% (` 599.84) for Conference/ Seminar files (4 nos.). In channel II, the value addition done by SHGs in the case of Jute jewellery (33 nos.) was 96.52% (` 5351.05); for Handbags (3 nos.), it was 90.57% (` 614.12) and for Handicrafts/ Gift items/ Showpieces (50 nos.) was 96.17% (` 18142.56). Meanwhile, it was 94.95% (` 1052.12) for Decorative fabrics (1 no.) and 91.99% (` 762.48) for Conference/ Seminar files (4 nos.) in the channel. The results showed that most of the value addition activities were done by SHGs. Hence, in these channels, SHGs were responsible for adding maximum value by transforming the raw materials into a product. Irregular orders of JDPs, unavailability of coloured yarn, and lack of exposure to international markets were the major problems faced by SHGs. There is a need to popularize and showcase the JDPs made by SHGs from India to tap into international markets through fairs or different government programmes to earn more foreign exchange. Production of coloured yarn should be encouraged."