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Friday / November 22.
HomeAgribusinessTimber producers to set up local auction floors

Timber producers to set up local auction floors

The Timber Producers Association of Zambia-TPAZ says it will establish timber auction floors in all the 10 provinces of the country next month to enhance the marketing and price discovery of timber in Zambia.

Association President Charles Masange said the association has made progress towards the establishment of timber auction floors and the auction floors will open once producers whose licenses expired are renewed, adding that those with licenses will then only sell timber through the auction floors.

Speaking in an interview with the Zambian Business Times-ZBT, Masange said the auction floor would address challenges to do with the middlemen, adding that the members of the association are unable to penetrate China and other countries because of the middlemen who are making more money, which the timber producers should be making.

Masange explained that once the auction floors are established, every buyer will have to bid for the right price before taking timber out of the country which will not only benefit the timber producers but the country as well.

“The export market has been full of challenges all along, that’s why we have come up with the establishment of the timber auction floor in every province and that’s what will be implemented immediately the licenses open. It will address the challenges of middlemen who are making five times the price that we are supposed to get from our timber”, he said.

He noted that the current situation does not benefit the members of the association or the country as the buyer of the timber dictates the price, which should not be the case.

TPAZ President mentioned that government was supposed to issue timber licenses in the first week of August this year but it has extended the evaluation process of the issuance of licenses to 24 August 2022 in order to ensure it is done thoroughly and there is transparency and ensure equitable distribution of resources.