Dhaka: The prices of Burmese timber in Bangladesh are falling with increasing exports from Burma, said a Burmese timber trader, currently in Teknaf, a border town in Bangladesh.

He said that the slump in timber prices was due to the competition between a company owned by Burmese tycoon Teza and traders from Irrawaddy and Taninthari Divisions in Burma.

"Timber prices have fallen here in Bangladesh because big companies like Teza's and traders from Irrawaddy and Taninthari Divisions in Burma have been competing in the Bangladesh market by exporting on a large scale," he told Narinjara on condition of anonymity.

Burmese teak earlier priced at 220,000 Taka per ton has fallen to 130,000 Taka, while jackfruit wood priced at 130,000 Taka per ton has fallen to 80,000 Taka. Similarly, Champac has fallen from 110,000 Taka per ton to 60,000 Taka, and other wood such as dipterocarpus alatus has fallen by half, from 60,000 Taka to 30,000 Taka in Bangladesh timber markets.

Burmese teak, jackfruit, champac, and dipterocarpus alatus are in high demand in Bangladesh.

A cross-border trader said that timber export is banned in Burma, but large-scale smuggling involving army officers was on freely across the borders.

"Timber export to Bangladesh is officially banned, and strictly prohibited in Arakan State, but Teza's company and other traders from Arakan, Irrawaddy, and Taninthari are smuggling out timber in huge consignments to Bangladesh by bribing or handing out partnerships to high-ranking army officers," he said.

According to the Burmese cross-border businessman, the Burmese military regime has permitted Teza's company to procure timber from the natural forests in Kuanchaung Hill Tracts in Mraybone Township and in the Arakan Roma Hill Tracts under Taungup Township in western Burma's Arakan State.

Teza's company has been exporting good quality timber from Arakan's forests to Thailand, Singapore, and Malaysia, while lower quality timber is being smuggled out to Bangladesh.

According to border sources, the navy, coast guard and Nasaka border forces of the Burmese regime are vigilant for local Arakanese smugglers. They regularly take bribes or extort tolls from them, while occasionally conducting arrests.

The security forces, however, have to watch with folded hands the huge consignments of timber being smuggled out by major players involved with high-ranking military officers.

The businessman said that cross-border timber smuggling plays a significant role in bilateral trade between Burma and Bangladesh, and is the most profitable business for traders on both sides.

Bangladesh authorities have also been receiving Burmese smuggled timber at their ports and take official import taxes from the smugglers.