Overview of the Global Market for Jute And Jute-Like Fibers

The global jute and jute-like fibers market revenue amounted to $2.6B in 2010, coming down by -5.5% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, jute and jute-like fibers consumption, however, continues to indicate a slight slump. The pace of growth was the most pronounced in 2009 with an increase of 4% year-to-year. In that year, the global jute and jute-like fibers market attained its peak level of $2.8B, and then declined slightly in the following year.

In value terms, jute and jute-like fibers production totaled $2.6B in 2010 estimated in export prices. The total output value increased at an average annual rate of +1.5% from 2007 to 2010; the trend pattern remained consistent, with only minor fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2009 with an increase of 4.5% against the previous year. In that year, global jute and jute-like fibers production reached its peak level of $2.7B, and then declined slightly in the following year.

India (1.9M tonnes) constituted the country with the largest volume of jute and jute-like fibers production, accounting for 61% of total volume. Moreover, jute and jute-like fibers production in India exceeded the figures recorded by the second-largest producer, Bangladesh (926K tonnes), twofold. China (69K tonnes) ranked third in terms of total production with a 2.2% share.

In India, jute and jute-like fibers production shrank by an average annual rate of -1.8% over the period from 2007-2010. The remaining producing countries recorded the following average annual rates of production growth: Bangladesh (+3.2% per year) and China (-11.2% per year).

In 2010, the global average yield of jute and jute-like fibers totaled 2.2 tonne per ha, falling by -2.1% against the previous year. The yield figure increased at an average annual rate of +2.9% from 2007 to 2010; the trend pattern remained relatively stable, with only minor fluctuations being recorded over the period under review. The most prominent rate of growth was recorded in 2009 with an increase of 9.8% against the previous year. In that year, the average jute and jute-like fibers yield attained its peak level of 2.3 tonne per ha, and then declined slightly in the following year. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2010, the total area harvested in terms of jute and jute-like fibers production worldwide totaled 1.4M ha, declining by -5.4% against the previous year. In general, the jute and jute-like fibers harvested area continues to indicate a significant setback. The most prominent rate of growth was recorded in 2009 when harvested area increased by 0% year-to-year. Over the period under review, the harvested area dedicated to jute and jute-like fibers production attained its peak figure at 1.6M ha in 2007; however, from 2008 to 2010, harvested area remained at a lower figure.

Global jute and jute-like fibers consumption amounted to 3.1M tonnes in 2010, dropping by -8.7% against the previous year. Overall, jute and jute-like fibers consumption, however, continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2009 with an increase of 9.5% year-to-year. In that year, the global jute and jute-like fibers consumption attained its peak volume of 3.4M tonnes, and then declined slightly in the following year.

The global jute and jute-like fibers market revenue amounted to $2.6B in 2010, going down by -5.5% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, jute and jute-like fibers consumption, however, continues to indicate a mild setback. The growth pace was the most rapid in 2009 with an increase of 4% against the previous year. In that year, the global jute and jute-like fibers market reached its peak level of $2.8B, and then declined slightly in the following year.

India (1.9M tonnes) remains the largest jute and jute-like fibers consuming country worldwide, comprising approx. 63% of total volume. Moreover, jute and jute-like fibers consumption in India exceeded the figures recorded by the second-largest consumer, Bangladesh (552K tonnes), fourfold. The third position in this ranking was occupied by China (174K tonnes), with a 5.6% share.

In India, jute and jute-like fibers consumption shrank by an average annual rate of -2.5% over the period from 2007-2010. In the other countries, the average annual rates were as follows: Bangladesh (+26.7% per year) and China (-8.2% per year).

In value terms, India ($1.3B) led the market, alone. The second position in the ranking was occupied by China ($430M). It was followed by Bangladesh.

From 2007 to 2010, the average annual rate of growth in terms of value in India totaled -5.5%. The remaining consuming countries recorded the following average annual rates of market growth: China (-11.7% per year) and Bangladesh (+52.2% per year).

The countries with the highest levels of jute and jute-like fibers per capita consumption in 2010 were Bangladesh (3.63 kg per person), Nepal (2.48 kg per person) and India (1.57 kg per person).

From 2007 to 2010, the most notable rate of growth in terms of jute and jute-like fibers per capita consumption, amongst the main consuming countries, was attained by Bangladesh, while jute and jute-like fibers per capita consumption for the other global leaders experienced mixed trends in the per capita consumption figures.

Driven by increasing demand for jute and jute-like fibers worldwide, the market is expected to continue an upward consumption trend over the next twenty-year period. Market performance is forecast to accelerate, expanding with an anticipated CAGR of +% for the period from 2010 to , which is projected to bring the market volume to tonnes by the end of .