Raw jute used to be sold at a throwaway price to the jute mill owners or their wholesalers depriving he jute grower of a remunerative price for their produce. It was after a long struggle that the then Government of India in 1971 set up the JCI to step into the raw jute market and purchase the fiber offering a remunerative price for raw jute to the growers.

JCI after seeing its operation increasing in volume over the years, set up 208 procurement centres all over the country the operations helping to maintain price stability in the raw jute market. The success of the raw jute purchase operation of the JCI was phenomenal in that it could frustrate the IJMA-mills attempt to keep the raw jute market artificially depressed by withholding purchase from the hence or markets after growers started bringing their produce there. In eight jute-growing states the JCI operations famed out to this 208 procurement centres. Even commercial purchase of the fiber was allowed in a season when raw jute production was below normal. In the end 4 million jute growers and 0.2 million jute mill workers benefited. It is unfortunate that the officers and employees of the JCI have signed an agreement with the management to close down the 43 jute procurement centres this year. As a result of the deal, 25% of the JCI employees will be hit financially. A few lakh jute growers too will be severely affected. The temporary and comparatively new employees of the corporation may lose their employment in the JCI even.