| Despite 3 auctions, Resin sale hangs in balance | | Forest department likely to face loss of crores | | Avinash Azad
Early Times Report
Jammu, Oct 3: 'Scandalous' sale of resin, is likely to cost heavily to Forest Department, as extracted material worth several crores is gathering dust at depots in Jammu.
According to sources over 16540 quintals of resin is deteriorating as despite three consecutive auctions, the material has not been purchased by the contractors.
"Around 94,518 tins filed with extracted Resin from East and West Circle of forest department are lying idle in Jammu", sources in department said and added that for year 2015-16 three auctions were held by the department without results.
"First auction was held on 8/2/2016, and on 28/04/2016 and 27/05/2016 second and third auctions were held respectably", sources said, and added that though the highest bid was low to the reserved rate fixed by the department.
"Highest bid amount was Rs 50 per Kg, excluding the taxes", sources said and added that the department imposes 33.5 percent taxes on the bid amount. "Despite taxes the rate of per Kg was below Rs 70", they said. "Resin in stock costs Rs 8.27 cores, if we fails to sell within four to six weeks, the department has to face huge losses", the sources said.
However, top officials in the department also admitted once the Resin turned old , the rate will also be deflated. "Definitely, the rates will deflate, if another auction to be held in future goes unsuccessful", said an officer wishing not to be named.
Though, the officer too blamed Chinese material for low bids of Resin and stressed to put blanket ban on Chinese product. "Availability of Chinese Resin in India market on cheapest rates discourages local contractors to buy local produce", he said.
Sources further said that the department in Jammu has huge amount of dumped old crop (Resin), that is already adversely affecting the economy of the department. |
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