The Andrha Pradesh government is getting ready to sell red sanders in an auction by calling global tenders in a week time. In the first phase, it will issue a notification for sale of 4,000 tonnes through e-auction.
This decision was taken by the forest minister Bojjala Gopalakrishna Reddy at a review meeting conducted today in his chamber with officials. He claimed that Within a month time of its formation, the TDP government succeeded in checking large scale smuggling activity going on interrupted during Congress regime in the forest aras of Kadapa and Chittoor.
This forest commodity has huge demand in the international market. The state government has already obtained permission from the central government for sale of red sanders as the sale is controlled by the Government of India.
In the last few years the Centre did not clear sale of red sanders, though there is huge demand in China and other overseas market, resulting in illegal export. In the absence of an official sale route, a wide smuggling network started thriving and has become a major law and order menace in Chittoor and other districts.
The minister said that over 8,500 tonnes of seized red sanders is readily available for sale in the international market. Based on the state government's request, the Centre permitted sale of 4,000 tonnes in the first phase.
Though the minister did not disclose the possible revenue accrual through sale of red sanders, Forest Department estimates that a sum of Rs 1,000 crore could be earned initially. According to official sources each tonne of red sanders commands a price of Rs 25 lakh in the international market.