Introduction
Kolkata, once the capital of British India, is known for its cultural richness, colonial charm — and most notably — its historic role in the jute industry. Even today, the city and its surrounding districts are home to India’s largest concentration of jute mills, producing the majority of the country’s jute bags, fabrics, and other eco-friendly products.
Let’s dive into the story of how Kolkata became the “Jute Capital of the World”, and why it continues to be the heart of India’s jute manufacturing and exports.
The Origins: Jute Industry in British India
- Jute cultivation began in India long before colonial times, particularly in the Bengal region, thanks to its humid climate and fertile soil.
- In 1855, the first jute mill in India — the Rishra Jute Mill — was established near Kolkata by George Acland, who imported spinning machinery from Dundee, Scotland.
- This marked the beginning of industrial jute processing in India.
Over the next few decades, Scottish capital and management dominated the industry, while Indian workers ran the operations. By the early 20th century, Calcutta (now Kolkata) had emerged as the world’s leading jute manufacturing hub.
Why Kolkata Became the Jute Hub of India
Several factors made Kolkata the natural choice for the jute industry:
1. Proximity to Raw Material
- The Hooghly River region is close to Eastern Bengal (now Bangladesh) — the world’s best source of raw jute.
- Even after partition, West Bengal remained a key cultivator of raw jute.
2. Excellent River Transport
- The Hooghly River allowed jute to be transported quickly from rural areas to Kolkata mills.
3. British Port Access
- Kolkata had one of the busiest ports in British India — ideal for global export of finished jute goods.
4. Cheap and Abundant Labor
- Migrant workers from Bihar, Odisha, and Bengal fueled mill operations.
5. Early Industrial Infrastructure
- British companies invested in railways, roads, and power — giving Kolkata a head-start over other regions.
Growth and Global Export
By the early 1900s:
- Over 60 jute mills operated in Bengal.
- India became the world’s largest exporter of jute sacks, gunny bags, ropes, carpets, and mats.
- Exports boomed to Europe, America, the Middle East, and Southeast Asia.
At its peak, the jute industry employed over 3 lakh workers in West Bengal and contributed significantly to India’s GDP.
Post-Independence Scenario
- After 1947, raw jute production areas mostly went to East Pakistan (now Bangladesh), but the mills remained in India.
- This led to a raw material crisis which was eventually resolved by boosting jute farming in West Bengal, Assam, Bihar, and Odisha.
Despite facing challenges like synthetic competition and political interference, Kolkata’s jute sector survived thanks to:
- The Jute Packaging Mandatory Act (1987) – requiring government procurement of food grains and sugar in jute bags
- Government support schemes like ICARE and subsidies
- Growing global demand for eco-friendly alternatives to plastic
Jute Exports from Kolkata
Today, India is the world’s largest producer of raw jute, and Kolkata remains the key export point for:
- Jute sacks
- Yarn
- Hessian cloth
- Jute shopping bags
- Home decor and handicraft items
Major Export Destinations:
- UK
- Germany
- Australia
- USA
- France
- African countries
Why Most Jute Bags Are Made in Kolkata
- Kolkata has:
- The highest concentration of jute mills in India (over 60% of total)
- Skilled artisans and mill workers
- Ready access to raw jute from Bengal’s farmlands
- Infrastructural support and port facilities
- Government-backed Jute Raw Material Banks (JRMBs) and clusters under NJB
Hence, over 70% of India’s jute bags and products are manufactured in and around Kolkata, Howrah, Hooghly, and North 24 Parganas.
Today’s Jute Scene in Kolkata
Kolkata’s jute industry has modernized and diversified:
- From gunny bags to stylish handbags
- From sacks to designer table runners and carpets
- From bulk B2B to boutique B2C exports
With the plastic ban and sustainability movement gaining momentum, Kolkata’s jute legacy is seeing a revival — and brands are now exporting not just raw jute but high-value jute lifestyle products.
Conclusion
From its colonial roots to its modern eco-warrior image, Kolkata’s jute industry stands as a shining example of resilience and reinvention. Whether you’re a consumer, an entrepreneur, or a policymaker — Kolkata’s jute ecosystem offers inspiration, opportunity, and a greener future.
Want to Start a Jute Business or Export?
You can explore:
- Support from National Jute Board (NJB)
- Government schemes under Ministry of Textiles
- Funding via SIDBI, KVIC, or Startup India
- Export registration via DGFT (IEC Code)
👉 For business guidance or bulk orders, visit: www.ahansworld.com
