The Bangladesh government is intensifying efforts to increase the economic value of its locally produced jute by promoting the production of diversified, value-added products. The initiative aims to boost export earnings, generate greater foreign exchange, expand both domestic and international markets, and enhance Bangladesh’s standing in the global jute industry.

Textiles and Jute Minister Khandaker Abdul Muktadir, who also holds the portfolio of Commerce and Industry Minister, outlined the government’s strategy during the inauguration of a six-day ‘Versatile Jute Products Fair’ and the launch of the JDPC Express sales outlet at the premises of the Jute Diversification Promotion Center (JDPC) in Tejgaon, Dhaka, on Saturday.

Muktadir emphasized the need for Bangladesh to move beyond exporting raw or minimally processed jute, focusing instead on transforming the natural fiber into products with significantly higher market value. He highlighted collaboration between government agencies, entrepreneurs, and other stakeholders as essential to this transition.

“Our goal is to maximize the processing of domestically produced jute into a variety of value-added products,” Muktadir said, stressing that value addition is crucial for Bangladesh to unlock the full economic potential of its jute sector.

The minister pointed to examples of potential value enhancement, explaining that raw jute, which commanded peak prices of around Tk 150,000 (approximately US$1,200) per tonne last year, could fetch roughly US$2,400–2,500 per tonne if converted into packaging materials. Value could rise further to US$4,000–5,000 per tonne when jute is used to create higher-end products, such as blended fibers that combine jute with cotton or other materials.

This increase in value, according to Muktadir, would enable Bangladesh to earn substantially more from the same volume of raw jute, while opening new opportunities for manufacturers, exporters, and small entrepreneurs.

The government is working closely with the JDPC and private-sector partners to identify promising product categories and determine the extent to which jute can be incorporated into different goods. This coordinated approach aims to bolster the jute sector’s competitiveness and generate higher foreign exchange earnings for the country.

With Bangladesh being one of the world’s leading producers of jute, officials believe that expanding value addition could significantly strengthen the industry’s global position while supporting broader economic growth.