Rejaul Karim Byron

The government is going to make a law for mandatory use of jute in different industrial units.

A bill, Mandatory Use of Jute in Wrappers, will be placed before the cabinet meeting today for its perusal.

The bill proposed the use of jute as 75 percent of the component of wrappers of any unit with an aim to revive the lost glory of the sector.

The industrial unit showing any lapse will face punitive action like a Tk 50,000 fine, or in default, three months in jail.

Officials said a committee is likely to be formed to monitor the use of jute as wrapping material. The jute minister ,or the secretary will head the body.

A list of the commodities will also be prepared where jute will be used as wrapping material.

According to the sources in the finance ministry, a fund of more than Tk 1,000 crore was earmarked in the 2009-10 budget for implementing different projects in the jute sector to reinvigorate it.

The government has several other plans to raise the export of jute and widen its use in the country.

A proposal for the amendment to the Banking Companies Act and a policy for Public Private Partnership Initiative will also be placed in today's cabinet meeting.

This possible amendment will bar a person from simultaneously becoming director of a bank and a financial institution.

The PPP initiative is said to be non-functioning so far because of the absence of a policy in this regard.

This initiative is expected to function in full swing next fiscal year, if the cabinet endorses such a policy. The new budget has earmarked Tk 3,000 crore for the PPP .

-The Daily Star