AP garners nearly Rs 1,000 crore from red sanders e-auction

Meeting expectations, a global e-auction of red sanders, a valued item in traditional medicines and woodcraft in Asia, has fetched Andhra Pradesh government Rs 991 crore on a sale volume of 4,160 metric tons.
In the global e-auction conducted by MSTC Ltd, a GoI enterprise, between November 24 to December 1, the Indian and foreign buyers picked up red sanders of 'A' Grade-4.69 MTs, 'B' Grade-166.18 MTs and 'C' Grade-3,988.81 MTs.
"Red sanders' sale was completed successfully. Total quantity sold during the e-tender-cum-e-auction was 4,160 MT (which was infact the total quantity on offer in the first phase of 177 lots of different grades).

"The overall average rate per metric tonne obtained during the sale is Rs 27.41 lakhs," Principal Chief Conservator of Forests (Head of Forest Force) A V Joseph said today.
"The red sanders logs of A grade fetched a price Rs 1.95 crore per tonne, the price for B grade ranged from Rs 155.35 lakh to Rs 48.45 lakh per MT, while it was in range of Rs 40.72 lakhs and Rs 15.15 lakhs per MT for C grade, he said.
Convention on International Trade in Endangered Species (CITES) had given a one-time relaxation permitting India to export 11,806 MTs of seized and confiscated red sanders in any form, including log form.

The Director General of Foreign Trade (DGFT) had also issued notification permitting AP government to export 8,584 MT of red sanders wood in log form by amending EXIM policy.

On the quantity to be sold during the second phase, another senior forest official said it is the government which will decide on the same.
Red sanders grow mainly in the Seshachalam hill ranges spread across Kadapa, Chittoor and Kurnool in the Rayalaseema region and parts of Nellore district in AP.
The wood has huge demand abroad, especially in China and Japan, where it commands a good price.
Red sanders is a valued item in traditional medicines and woodcraft across China, Myanmar, Japan and East Asia.

In the past few years, there could not be any sale of red sanders in the international market due to the EXIM policy.