Bihar is India’s second largest producer of raw natural fibre or jute which is a major cash crop for 140000 local small farmers. However in jute growing districts the electrification rate is just 6 - 7% which means that small weavers cannot process the material locally. Only 10% of the jute crop is processed by the two large mills within the state. Limited storage also causes farmers to offload their produce to middlemen at the earliest opportunity reducing farmer profits by up to 2000 rupees (US$37) per ton. Since the jute producing districts are also abundant in rice production so locally available biomass resources can be utilized for biomass based electricity systems.
To demonstrate the sustainability of the Bhagidari concept with two local pilot jute processing and training centres
The Energy and Resources Institute