Online Export Import Data Search

Recent Searches: No Recent Searches
Complete Training Video : Click Here

Two years on, govt sells only 4.7k of 1 lakh tonnes of Malaysian sand

Date: 11-01-2020
Subject: Two years on, govt sells only 4.7k of 1 lakh tonnes of Malaysian sand
Bengaluru: Malaysian sand, imported with much fanfare two years ago at a cost of over Rs 20 crore, has found very few takers. As a result, the government is stuck with 96% stock, which is lying at Krishnapattinam (Andhra Pradesh) port and is clueless on how to dispose of it. 

The Congress government led by Siddaramaiah had decided to import sand beat alleged scarcity of the local variety. Till date, the government has sold only 4,750 tonnes of the one lakh tonnes it imported. Officials say the main reason for the lack of takers is concerns over quality and the price. 

Mysore Sales International Limited (MSIL), the nodal government agency entrusted with procuring the sand, had initially planned to sell it in 50kg bags at a price of Rs 200 per bag. But buyers found it uneconomical as local sand from river beds was available at almost the same price in 2018, when the first consignment of sand from Malaysia arrived in the country. 

“More than the pricing, people preferred the quality of sand mined from river beds. So they naturally preferred local sand over the imported product. MSIL also failed to convince customers on the quality of imported sand,” said an official of the mines and geology department. 

Dealers also found the idea of selling sand in sacks unviable. Realising the problem, the government slashed the price of imported sand by 25% and allowed dealers to sell in bulk. But by then, the damage had been done. “The commodity had lost its appeal,” said a Malaysian sand dealer. 

However, Mahaveer, a MSIL consultant in-charge of procurement and sale of Malaysian sand, insisted demand for the imported variety was robust. “We have got an order for 10,000 tonnes and the sale will go through in a week,” Mahaveer said. 

He attributed the low sale to legal hurdles in transporting sand to Karnataka from Krishnapattinam port. 

“When the sand arrived at the port, inter-state movement of mines was not allowed as per the Mines and Minerals Act. We could not transport the sand, although there was demand. The state government amended this rule only in November 2019. We can now focus on marketing the remaining sand aggressively,” he said. 

He also said concerns about quality are unfounded. “The imported sand is IS383 certified. It has passed seven quality parameters,” he said. 

Source: timesofindia.indiatimes.com

Infodrive India Pvt Ltd

Delhi :
  F-19, Pocket F, Okhla Phase-I
      Okhla Industrial Area

      New Delhi- 110020
   011 - 40703001

Kolkata :
  5th Floor Stesalit Towers,
      E-2-3, EP & GP Block,

      Sector-V, Salt Lake City,
      Kolkata-700 091
   033 - 71177191

INFODRIVE INDIA Copyright © 1996-2020 InfodriveIndia. All Rights Reserved.
Please read our Terms of Use and Privacy Policy before you use.

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Exim Help