AP to float global tenders for sale of red sanders

V.Rishi Kumar Hyderabad | Updated on November 25, 2017

MSTC to facilitate e-auction

The Andhra Pradesh Government has decided to float global tenders for sale of confiscated red sanders wood, which is of great demand in Japan and other countries.

The State Government has appointed MSTC Limited, a Government of India enterprise, to facilitate the conduct of e-auctions.

The Director General of Foreign Trade, Union Ministry of Commerce and Industry, had earlier accorded permission to export 8,584 MTs of red sanders wood in log form out of the confiscated /seized stock available with the State forest department.

To facilitate the sale of the wood in a transparent manner by inviting global tenders, a tender committee under the chairmanship of Special Chief Secretary Environment Forests has been constituted to come out with modalities and to finalise the tender process.

Further, to facilitate independent export of wood and to handle the tender process, the Principal Chief Conservator of Forests has been permitted by the Government to enlist the services of MSTC Limited. The issue of sale of red sanders continues to be a matter of concern for the State over the past couple of decades requiring permissions.

With the red sanders wood in great demand in Japan in particular and other overseas markets, there has been indiscriminate felling of this valuable forest asset and illegal smuggling. The State Forest department continues to keep a vigil and has managed to confiscate huge quantities of this precious forest resource which it is now seeking to sell through tenders.

The sale of red sanders also assumes importance for the AP Government as the proceeds are planned to be redeployed for the mega crop loan waiver programme it has initiated. The State Government wants to part bridge the financial commitments that the State has to meet through the proceeds from red sanders sales.

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Published on July 25, 2014
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