[ Bengia Ajum ]
ITANAGAR, 9 Sep: One of the oldest corporations in the state, the Arunachal Pradesh Forest Corporation Limited (APFCL), is struggling for survival and is on the verge of being closed down.
Established on 31 March, 1977, under the Companies Act, 1956, the APFCL is a 100 percent government of Arunachal Pradesh undertaking. The situation is so precarious that the majority of its assets have been leased out, including a portion of its corporate office building located in Itanagar.
Congress MLA Wanglin Lowangdong raised several questions regarding the APFCL in the just concluded state legislative assembly session. The environment, forest & climate change department gave a written reply to the questions raised by Lowangdong. Half of the corporate office building (5,900 sq ft) is going to be leased out to the Reserve Bank of India, “as per the approval of the state government,” it said.
All three tea estates owned by the APFCL – the Medo Tea Estate (Medo), the Mopa Tea Estate (Kanubari), and the Longran Tea Estate (Longran) – have been leased out to private individuals.
Further, the Banderdewa Sawmill & Plywood Industries in Pichola in Papum Pare district, established in 1981, is lying defunct since December 1996 due to the ban on timber operation by the Supreme Court (SC). The machinery and the shed were auctioned off.
Another wood-based industry owned by the APFCL – the Namphai Saw & Veneer Mill in Changlang district – is also lying defunct due to the SC ban on timber operation.
The corporation also owns two coffee estates. The coffee estate in Namsangmukh, Tirap, was created by the APFCL between 1979 and 1982 over an area of 163.70 hectares. The coffee estate is presently maintained by the corporation. However, the estate in Longrang in Changlang district was discontinued in 2001 due to financial constraints and, at present, the estate remains abandoned.
Also, the APFCL is literally being run by 51 contractual employees and 56 casual workers. There are only five regular employees in the corporation. Further, the corporation has five eco-tourist guesthouses/huts. Out of the five, four have been leased out to private individuals. The eco-tourist guesthouse constructed in Lekhi village, Naharlagun, is yet to be leased out.
The APFCL used to make a profit till 1995. However, due to the SC ban on timber operation in 1996, the profit started to dip and the problems started for the APFCL. The main business activity of the corporation was harvesting, processing, and marketing timber.
“The SC ban, along with the absolute mismanagement by various politically appointed chairmen and vice chairmen, led to the downfall of the corporation. Besides timber-based industries, the APFCL had so many other big assets. Unfortunately, mismanagement has led to its present-day status,” said a senior official well acquainted with the history of the APFCL.
The corporation was established on the recommendation of the then National Commission of Agriculture, with the objectives of scientific management of forests, extraction and marketing of timber, setting up of wood-based industries, regeneration of forests, cultivation of suitable cash crops, etc.
