The Cash strapped Andhra Pradesh is under various financial problems. The government is resorting to loans and ways and means every month even to undertake routine administration. Chandrababu Naidu had pinned high hopes on the sale of red sanders to bring in some extra money.
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But the economic slowdown in China has affected the sale of red sanders in the government auction. The Chinese government had imposed sanctions on foreign currency to save their own currency.
This had hit Red Sanders sale so much that the state coffers are not getting revenues as much as expected from this sale. China is the biggest consumer of the red sanders wood. This will mean that there is no respite to AP’s financial problems in near future unless the upcoming Budget will take care of the state.
