The six Chinese nationals were arrested from a hotel in Nager Bazar area, and 200 kg of sandalwood mainly in the form of garlands were seized.
The sandalwood products were kept near the hotel, the sources said.
Eleven Chinese men were arrested at the Netaji Subhas Chandra Bose International Airport after 278-kg of sandalwood were seized from them yesterday.
Sandalwood does not grow in China but are in great demand in cosmetics manufacturing industry there and sold at least five times the price in India, the sources said.