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Mention any two challenges faced by the jute industry in India. State any one step taken by the government to stimulate its demand.

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The two important challenges faced by the jute industry in India are as follows :

(i) stiff competition in the International market from synthetic substitutes and

(ii) to face challenges of competitors like Bangladesh, Brazil, Phillippines, Egypt and Thailand.

(iii) Government policy of mandatory use of jute packaging is one step on this line.

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