Jute: It is known as the golden fibre. Jute grows well on well-drained fertile soils in the flood plains where soils are renewed every year. It is used in making gunny bags, mats, ropes, yarn, carpets, and other artifacts. Due to its high cost, it is losing the market to synthetic fibres and packing materials, particularly the nylon. There has been gradual decline in the jute industry due to the following reasons :
(i) Decline in demand for jute products.
(ii) Old and outdated machinery.
(iii) High cost of production and stiff international competition from Bangladesh and Brazil.