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Legal Central Ministry of Textiles Essential Commodities Act, 1955

Revised penalty and incentive guidelines for jute mills based on supply performance

17-Apr-2025 | Jute (Mktg)/ 143/2022-II

The Ministry of Textiles has issued a notification revising the penalty and incentive system for jute mills based on their supply performance. Mills failing to supply jute bags within 30 days of the PCSO date or within the delivery period will face reduced order allocations. A Backlog Supply Ratio will assess each mills performance, and those exceeding the cutoff ratio 1.25 or 1.25 times the industry benchmark will not receive new orders. These will be redistributed among better-performing mills. While no specific monetary penalty amount is mentioned, non-performing mills face exclusion from future allocations. Provisions apply for mills closed due to strikes, subject to timely intimation and documentation.


Please refer to the attached document for more details.

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