Jute Raw Material Bank Scheme

Details

Jute Raw Material Bank Scheme (JRMB) will be set up in the local clusters across the country in collaboration with bonafide Agencies who have adequate experience in similar activities and have the required storage, display, and selling infrastructure. The JRMB will source the raw materials directly from the Jute Mills and Jute raw material manufacturers at economical rates. These JRMB will provide backward linkages to the Jute Artisans, WSHGs, JDPs Micro & Small Units and beneficiaries of JRCPC to help them provide jute raw material in their locality to manufacture JDPs.

The objectives of the JRMB are:

• To set Up JRMBs in the jute-producing clusters/localities to help easy and uninterrupted supply and sale of jute raw materials to the beneficiaries of JRCPC, WSHGs, Jute Artisans, Micro and Small Jute manufacturers below mill gate prices to make their JDPs cost competitive. 
• To supply finer-count yarn, fabrics of 100% Jute / Union /Blended, laminated fabric, Technical Textiles and other braided, decorative yarns for diversified applications and value addition of Jute. 
• To make jute raw materials available in the desired quantity and quality to the beneficiaries of JRCPC, WSHGs, Micro and Small Jute manufacturers for manufacturing Jute Diversifeid Products..

Benefits

1. 30% Support on sales value to be borne by NJB subject to a maximum ceiling of 12.00 lakh per annum. Out of this 30% support, a 5% cash discount on mill/manufacturers’ gate rate will be offered by JRMBs to the beneficiaries, i.e. JRCPC beneficiaries, Jute Artisans, WSHGs, and Jute Micro & small units. Transportation costs from Mills/vendors to the JRMB will also be accommodated within the remaining 25% Incentive. 
2. An additional incentive @ Rs. 1.50 per/kg as freight reimbursement will be given for JRMBs operating at Hilly stations where transport cost is higher (viz; J&K, HP, UK, NER States).  Financial support will be paid 100% after the completion of one quarter upon submission of audited accounts with original bills/vouchers, GST Return, Proof/invoices of procurement and sales, Certified Bank Statement, and Party Ledger.
3. The collaborating Agency has to contribute in the form of go-down infrastructure, electricity, water, and furniture for the Bank at their own cost as they will be receiving Financial support at the prescribed rates on the sale value of the jute and related raw materials from NJB for running the JRMB.
4. Target to set up and run about 40 Jute Raw Material banks (JRMB) in different parts of the country covering all States and Union Territories mainly where the JRCPC is set up.
5. Per JRMB sales volume for financial support will be limited to Rs 40 Lakhs/year. 
6. No. of minimum beneficiaries per JRMBs will be 20 units per year. 
7. Per Beneficiary, the raw jute purchased limit will be Rs. 2.00 per beneficiary per year.
8. Compulsory backward linkage with JRCPC beneficiaries for sustained supply of jute material.
9. JRMB to sell only jute fabrics/finer or decorative yarn/twine etc. should be bought by the Operating Agencies from the Registered composite Jute Mills and Jute Handloom or Powerloom Fabrics manufacturers against proper GST Invoices. Besides the composite Jute Mill/Jute Handloom and powerloom Manufacturers, the Operating Agencies may be allowed to procure finer count (7lb or lower) / decorative Jute yarn, braided yarn, laminated Jute fabric and Technical textiles from other Jute Raw material manufacturers as per the rates decided by NJB’s Management/Tech. Div.

Eligibility

1. The Agency and its functionaries should be bonafide Indian agencies and Indian Citizens.
2. Reputed Registered Jute Entrepreneurs/ Manufacturers, Exporters, Merchant Traders, NGOs, Cooperative Societies, Federations, PSUs/ Organizations of the Central/ State Govt. and other firms / Agencies engaged in the Product identification and Marketing of Jute Diversified Products (JDPs) at least for the last three years.
3. Recognized agencies having at least three years of experience in Trading and promotion in the field of production and Marketing of Jute Diversified Products (JDPs) or similar schemes in the Handloom, Handicrafts, and Textiles sector will be preferred.
4. The CA / OA should have its own office with telephone/ mobile connection, computer/ laptop with email facilities, etc. for running the Jute Raw Material Bank (JRMB) and at least 200 sq. ft space for running the JRMB.