The jute growers’ lament was that only the traders and moneylenders profited from jute cultivation, not the growers. Peasants of Bengal cultivated raw jute which was processed in factories for export in the form of gunny bags.
They grew raw jute hoping that a better time would come and there would be increase in-exports. But this did not happen as gunny exports collapsed due to the depression. Due to glut in the local market, the price of raw jute crashed by more than 60 per cent and so, they fell into heavy debt. Thus, only the traders and moneylenders profited from jute cultivation, not the farmers.