Sandalwood growers flag ‘undervalued’ Mysuru auction, seek deferment

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Akhila Karnataka Sandalwood and Agroforestry Growers’ Association Honorary president K. Amaranarayan urges the Forest Minister to instantly  defer the auction until prices are revised successful  accordance with Rule 108(6).

Akhila Karnataka Sandalwood and Agroforestry Growers’ Association Honorary president K. Amaranarayan urges the Forest Minister to instantly defer the auction until prices are revised successful accordance with Rule 108(6). | Photo Credit: File Photo

The Akhila Karnataka Sandalwood and Agroforestry Growers’ Association has urged the State authorities to defer the projected auction of 138 tonnes of sandalwood by the Mysuru Forest Division, alleging that the basal prices are importantly undervalued and not successful compliance with the Karnataka Forest Rules, 1969.

Addressing a property league present connected Monday, the Association’s Honorary president, K. Amaranarayan, a retired IAS officer, said the rates fixed for assorted sandalwood categories successful the online tender-cum-auction scheduled for March 25 are acold little than the mean prices realised successful neighbouring Tamil Nadu.

The consignment — comprising 138 tonnes of sandalwood stored astatine the Government Depot astatine Aranya Bhavan successful Mysuru — includes some timber seized from smugglers and stocks procured from registered growers, helium said.

Highlighting the disparity, Mr. Amaranarayan cited the lawsuit of the ‘Chotla’ variety, for which the terms fixed successful Karnataka is ₹7,000 per kg, arsenic against ₹22,823 per kg successful Tamil Nadu — a spread of ₹15,823 per kg.

Mr. Amaranarayan cited Rule 108(6) of the Karnataka Forest Rules 1969, which states, “the rates relating to the worth of sandalwood trees shall beryllium fixed by the Chief Conservator of Forest each fiscal twelvemonth based connected the mean terms realised successful auction income of sandalwood conducted successful the State. If nary auction has been conducted successful Karnataka recently, the mean worth realised successful auctions conducted successful Tamil Nadu shall beryllium taken into consideration”.

He alleged that the State has failed to revise sandalwood prices for 4 consecutive fiscal years — from 2021-22 to 2024-25 — contrary to the mandate of the Rules. “There is crushed to judge that vested interests person ensured that prices are not revised, resulting successful sustained undervaluation,” helium said.

Mr. Amaranarayan further alleged imaginable collusion betwixt officials and buyers successful keeping prices artificially low, starring to losses for some growers and the State exchequer. He added that little auction values would besides trim the Government’s gross from 18% GST and 12% Forest Development Tax.

Pointing to discrepancies successful authoritative data, helium said that a reply to Unstarred Question No. 627 (765) successful the State Legislature had pegged the quantity of seized sandalwood successful the Mysuru part astatine 2,418 kg, whereas the existent auction notification refers to 138 tonnes. “This raises superior questions astir transparency and accounting,” helium said.

He urged the Forest Minister to instantly defer the auction until prices are revised successful accordance with Rule 108(6). “A rational revision volition not lone heighten authorities gross but besides guarantee just returns to growers,” helium added.

Published - March 23, 2026 07:42 p.m. IST

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