Plywood industry suffers massive loss

Neeraj Bagga

Tribune News Service

AMRITSAR, APRIL 9

The city-based plywood industry is suffering due to illegally running units in other parts of the state.

They pointed out that the demand for plywood from the Covid-induced economic crisis hit the housing sector was already 25 per cent down from what it used to be in 2019. Yet, they are unable to meet the demand due to scarcity of wood.

This imbalance in supply and demand shot up the prices of wood in the market. Now, a quintal of poplar tree wood costs Rs1,000 per quintal, which used to be Rs500 after opening of the lockdown. Similarly, at present in the market a quintal of eucalyptus costs Rs750, which used to be around Rs500 about three months ago.

The manufacturers complained that due to the scarcity of wood in the state about 150 legible plywood units, 10 of which are in the holy city, were getting inadequate supply forcing them to run their units four to five days a week.

Plywood industry is a licence-based industry. No one is allowed to install even a single machine without licence.

Gurpreet Kataria, president of Small Plywood Manufacturers Association, claimed that despite sending several complaints to all concerned District Forest Officers (DFOs) and the state head, no action has been taken. He stated that the Supreme Court constituted a Central Empowered Committee for wood-based industry which monitors the licencees subject to the availability of wood.

In his complaint sent to the Chairman of National Green Tribunal and Chairman of Central Empowered Committee, he mentioned that “As per norms if someone installs machines illegally then the DFOs are duty-bound to either seal that unit or remove that machine.”

The complaint further read, “The licencee shall not install/operate any machine for which the licence is not issued. If the licencee is found to have installed/operate machine for which the licence is not issued to the unit then the same shall be deemed to have withdrawn,” he maintained. He sought a probe to unearth politico-official collaboration behind the illegal racket of units.

Jatinder Sharma, Principal Chief Conservator of the Forest Department said: “Whenever any complaint of illegal factory or machine crops up from any part of the state the department takes prompt action.

The narrative of the department issuing more licencees was wrong. He added that in order to ensure fair trade practice, promotion of industries, creation of more employment and fair prices to farmers it was necessary to issue licencees to new industrial units. He added that against the target of planting 25 lakh saplings for trade purpose this year the state farmers managed to install 44 lakh saplings. “Will these farmers get fair pricing of their products in the absence of enough plywood factories?” he said.