IndexBox has just published a new report: ‘World – Jute And Jute-Like Fibers – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

The global jute market revenue amounted to $2.7B in 2018, going up by 4.6% 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). The market value increased at an average annual rate of +1.4% over the period from 2007 to 2018; the trend pattern remained consistent, with only minor fluctuations being observed over the period under review. The pace of growth was the most pronounced in 2011 when the market value increased by 18% year-to-year. In that year, the global jute market reached its peak level of $2.9B. From 2012 to 2018, the growth of the global jute market remained at a somewhat lower figure.

Consumption By Country

The countries with the highest volumes of jute consumption in 2018 were India (2.1M tonnes), Bangladesh (1.4M tonnes) and Pakistan (91K tonnes), with a combined 90% share of global consumption.

From 2007 to 2018, the most notable rate of growth in terms of jute consumption, amongst the main consuming countries, was attained by Bangladesh, while the other global leaders experienced mixed trends in the consumption figures.

In value terms, India ($1.2B), Bangladesh ($899M) and Pakistan ($70M) were the countries with the highest levels of market value in 2018, with a combined 79% share of the global market.

In 2018, the highest levels of jute per capita consumption was registered in Bangladesh (8,154 kg per 1000 persons), followed by India (1,552 kg per 1000 persons), Pakistan (453 kg per 1000 persons) and China (54 kg per 1000 persons), while the world average per capita consumption of jute was estimated at 512 kg per 1000 persons.

In Bangladesh, jute per capita consumption expanded at an average annual rate of +14.5% over the period from 2007-2018. In the other countries, the average annual rates were as follows: India (-1.2% per year) and Pakistan (-4.8% per year).

Production 2007-2018

In 2018, approx. 3.9M tonnes of jute and jute–like fibers were produced worldwide; picking up by 2.4% against the previous year. The total output volume increased at an average annual rate of +1.8% over the period from 2007 to 2018; 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 2011 when production volume increased by 24% year-to-year. In that year, global jute production reached its peak volume of 3.9M tonnes. From 2012 to 2018, global jute production growth remained at a lower figure. The general positive trend in terms of jute output was largely conditioned by mild growth of the harvested area and a modest increase in yield figures.

In value terms, jute production totaled $2.7B in 2018 estimated in export prices. The total output value increased at an average annual rate of +1.8% from 2007 to 2018; the trend pattern remained relatively stable, with only minor fluctuations over the period under review. The most prominent rate of growth was recorded in 2016 with an increase of 19% y-o-y. In that year, global jute production reached its peak level of $2.9B. From 2017 to 2018, global jute production growth remained at a somewhat lower figure.

Production By Country

The countries with the highest volumes of jute production in 2018 were India (2.1M tonnes) and Bangladesh (1.6M tonnes), with a combined 93% share of global production.

From 2007 to 2018, the most notable rate of growth in terms of jute production, amongst the main producing countries, was attained by Bangladesh.

Exports 2007-2018

Global exports totaled 291K tonnes in 2018, increasing by 5.7% against the previous year. Overall, jute exports, however, continue to indicate a deep curtailment. The most prominent rate of growth was recorded in 2016 with an increase of 18% year-to-year. The global exports peaked at 643K tonnes in 2007; however, from 2008 to 2018, exports failed to regain their momentum.

In value terms, jute exports stood at $213M (IndexBox estimates) in 2018. Overall, jute exports, however, continue to indicate a slight drop. The pace of growth was the most pronounced in 2010 with an increase of 48% against the previous year. The global exports peaked at $361M in 2011; however, from 2012 to 2018, exports remained at a lower figure.

Exports by Country

Bangladesh dominates jute exports structure, reaching 229K tonnes, which was near 79% of total exports in 2018. It was distantly followed by India (14K tonnes), creating a 4.8% share of total exports. The following exporters – Tanzania (12,710 tonnes), Belgium (10,536 tonnes), Kenya (8,787 tonnes) and Malaysia (4,638 tonnes) – together made up 13% of total exports.

Exports from Bangladesh decreased at an average annual rate of -8.0% from 2007 to 2018. At the same time, Malaysia (+33.3%), Belgium (+6.0%) and Tanzania (+1.5%) displayed positive paces of growth. Moreover, Malaysia emerged as the fastest-growing exporter in the world, with a CAGR of +33.3% from 2007-2018. By contrast, Kenya (-1.9%) and India (-6.6%) illustrated a downward trend over the same period. From 2007 to 2018, the share of Belgium and Malaysia increased by +1.7% and +1.5% percentage points, while India (-5.4 p.p.) and Bangladesh (-117.5 p.p.) saw their share reduced. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Bangladesh ($158M) remains the largest jute supplier worldwide, comprising 74% of global exports. The second position in the ranking was occupied by Tanzania ($18M), with a 8.2% share of global exports. It was followed by Kenya, with a 6.5% share.

From 2007 to 2018, the average annual rate of growth in terms of value in Bangladesh amounted to -1.8%. In the other countries, the average annual rates were as follows: Tanzania (+5.8% per year) and Kenya (+2.4% per year).

Export Prices by Country

The average jute export price stood at $734 per tonne in 2018, therefore, remained relatively stable against the previous year. Over the period under review, the export price indicated a prominent increase from 2007 to 2018: its price increased at an average annual rate of +5.8% over the last eleven-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, jute export price decreased by -11.1% against 2016 indices. The most prominent rate of growth was recorded in 2010 an increase of 38% year-to-year. Over the period under review, the average export prices for jute and jute–like fibers attained their peak figure at $825 per tonne in 2016; however, from 2017 to 2018, export prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2018, the country with the highest price was Kenya ($1,572 per tonne), while Malaysia ($131 per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by Bangladesh, while the other global leaders experienced more modest paces of growth.

Imports 2007-2018

In 2018, approx. 295K tonnes of jute and jute–like fibers were imported worldwide; jumping by 8% against the previous year. Over the period under review, jute imports, however, continue to indicate a drastic decline. The most prominent rate of growth was recorded in 2016 when imports increased by 17% y-o-y. The global imports peaked at 496K tonnes in 2007; however, from 2008 to 2018, imports failed to regain their momentum.

In value terms, jute imports amounted to $197M (IndexBox estimates) in 2018. In general, jute imports, however, continue to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2010 with an increase of 59% year-to-year. Over the period under review, global jute imports reached their maximum at $342M in 2011; however, from 2012 to 2018, imports remained at a lower figure.

Imports by Country

Pakistan (91K tonnes) and India (64K tonnes) represented the largest importers of jute and jute–like fibers in 2018, amounting to near 31% and 22% of total imports, respectively. Nepal (41K tonnes) took the next position in the ranking, followed by China (31K tonnes). All these countries together took approx. 25% share of total imports. The following importers – Germany (8,103 tonnes), the UK (6,147 tonnes), Cote d’Ivoire (5,799 tonnes), Brazil (5,503 tonnes) and South Korea (4,465 tonnes) – together made up 10% of total imports.

From 2007 to 2018, the most notable rate of growth in terms of imports, amongst the main importing countries, was attained by Germany, while the other global leaders experienced more modest paces of growth.

In value terms, the largest jute importing markets worldwide were Pakistan ($49M), India ($40M) and Nepal ($23M), with a combined 56% share of global imports.

Nepal recorded the highest rates of growth with regard to imports, in terms of the main importing countries over the last eleven years, while the other global leaders experienced more modest paces of growth.

Import Prices by Country

The average jute import price stood at $669 per tonne in 2018, going down by -7.9% against the previous year. In general, the import price indicated a buoyant increase from 2007 to 2018: its price increased at an average annual rate of +4.3% over the last eleven years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, jute import price decreased by -18.3% against 2016 indices. The pace of growth was the most pronounced in 2010 an increase of 58% year-to-year. Over the period under review, the average import prices for jute and jute–like fibers reached their maximum at $819 per tonne in 2016; however, from 2017 to 2018, import prices failed to regain their momentum.

There were significant differences in the average prices amongst the major importing countries. In 2018, the country with the highest price was Cote d’Ivoire ($1,097 per tonne), while China ($501 per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by Nepal, while the other global leaders experienced more modest paces of growth.

Source: IndexBox AI Platform