Jute farmers in Rajshahi are in distress due to a sudden drop in market prices, despite receiving good prices at the beginning of the season. At the Naohata jute market in Paba upazila, the price of jute has decreased by approximately BDT 800 to BDT 1,000 per maund within two weeks. Farmers are now concerned about covering their production costs and achieving their desired profits.
Farmers from various surrounding areas crowded the Naohata market with jute early on Monday and Thursday mornings. Freshly cut and processed jute was brought in by vans, Nosimons, and Bhatbhatis. However, many farmers are returning home without selling their jute due to not receiving their expected prices in the market.
According to market officials, even two weeks ago, jute was sold for BDT 4,000 to BDT 4,500 per maund, depending on its quality. Currently, the price for the same quality jute has dropped to approximately BDT 3,200 to BDT 3,500. Consequently, farmers’ income per maund of jute has significantly decreased in a short period.
Saiful Islam, a farmer from the Padma Char area of Paba upazila, brought 65 maunds of jute to the market this time. Previously, he had sold jute of the same quality for BDT 4,000 per maund. Expressing frustration over the current market price, he stated, “The price offered now is significantly lower than what I sold jute for just a few days ago. Cultivation costs have increased, and if jute prices fall this much, farmers will not make any profit.”
Babu, a farmer from Darusha area, is facing a similar situation. He brought approximately 149 kg of jute to the Naohata market and was offered BDT 3,400 per maund by traders. Not receiving his desired price, he took the jute back home without selling it. He explained, “Last time, I sold jute for BDT 4,000 per maund. I was hoping for a similar price this time. But because traders offered less, I didn’t sell it fearing a loss. I have more jute at home; I will bring it to the market if the price increases slightly.”
Salman Ali, a farmer from Keshorhat area of Mohanpur, also returned his jute for the same reason. He brought four and a half maunds of good quality jute to the market, expecting BDT 4,000 per maund. However, as traders were only willing to offer a maximum of BDT 3,500, he returned without selling.
Farmers allege that a group of traders is attempting to buy jute at lower prices, taking advantage of the arrival of new jute in the market. This leaves farmers with very little profit compared to their production costs and labor. They also fear that prices will fall further if supply increases in the middle of the season. However, traders state that the main reason for the market price drop is increased supply. Milon Ali, a jute trader from Naohata, said, “In mid-July, the supply of jute in the market was low, so we had to buy it at higher prices. Now, with new jute entering the market, supply has increased. Naturally, prices have decreased somewhat. Many traders also have stock of jute purchased at previous higher prices.”
Amal Das, the leaseholder of Naohata Jute Market, informed that jute is bought and sold at the market every Monday and Thursday, from dawn until 8 AM. Approximately 2,000 maunds of jute are transacted at each market session on average. Currently, prices range between BDT 3,200 and BDT 3,500, depending on quality. Nadim Akter, Assistant Director of the Jute Department in Rajshahi, stated that jute prices primarily depend on market demand and supply. Currently, there is no fixed government purchase price for jute. The presence of several jute mills in the Naohata area also influences local market prices based on the quantity of jute these mills purchase. When mills buy more jute, demand increases, and when they buy less, it impacts the market accordingly.
He further added that Rajshahi is expected to produce approximately 381,696 quintals of jute this year. Last year’s production was 360,494 quintals, indicating a potential increase of about 21,202 quintals this year. Mohammad Nasir Uddin, Deputy Director of the Department of Agricultural Extension in Rajshahi, reported that jute has been cultivated on 18,399 hectares of land in the district this current season, compared to 17,305 hectares last year, marking an increase of 1,094 hectares in cultivation. Farmers who cultivated early varieties of jute received good prices. However, when a large volume of jute enters the market simultaneously, there is a possibility of prices falling due to increased supply.
With a good harvest, jute farmers had hoped for a season of relief. However, encountering a price drop in the market has dashed those hopes. Farmers are now demanding that a fair market price for jute be ensured, considering their production costs, so that they do not face losses despite a good yield.
