Why in the News?

India successfully prevented the inclusion of Aquilaria malaccensis (agarwood) in the Review of Significant Trade (RST) of the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES).
- CITES notified a new export quota for Aquilaria malaccensis from India, effective April 2024.

What is Agarwood?

Agarwood (the Wood of Gods) also known as “Oud,” is a highly valuable and aromatic resinous wood produced by the Aquilaria tree.
The resin forms in the heartwood of the tree when it becomes infected with a particular type of mold (Phialophora parasitica).
This infection causes the tree to produce a dark, fragrant resin, which is highly sought after for its distinctive aroma.
This contains essential oils with compounds like sesquiterpenes, chromones, and phenylethyl chromone derivatives.
It thrives in tropical forests, at altitudes up to 1000 meters, often found in areas with high humidity and rainfall.
Conservation Status:
- IUCN Status: Listed as Critically Endangered.
- CITES: Listed in Appendix II in 1995 based on India’s proposal at CoP9 in 1994.

It is traditionally used as incense.
Extracts (agarwood oil) are used in perfumes, the aroma industry, medicine, air fresheners, and purifiers.
Essential oil has anti-inflammatory, anti-rheumatic, analgesic, and anti-oxidant properties.
- Agarwood cultivation is prevalent in parts of India, especially in the Northeast.
- This development will benefit lakhs of farmers in districts of Assam, Manipur, Nagaland, and Tripura.

Aquilaria malaccensis was listed in Appendix II of CITES in 1995, which means its trade is controlled to avoid utilization incompatible with its survival.
The RST process assesses whether trade in a species is detrimental to its survival and recommends actions to ensure sustainability.
India’s stance was supported by a study conducted by the Botanical Survey of India (BSI), which suggested that the harvest from wild populations should be prohibited, while allowing harvest from plantations and private/community lands.

Controlled Harvesting: India argued that it has established controlled harvesting practices, ensuring that only cultivated agarwood is used for trade.
Economic Impact: Inclusion in the RST could have disrupted the livelihoods of farmers and traders who depend on agarwood cultivation, particularly in the northeastern states of Assam, Manipur, Nagaland, and Tripura.
Sustainable Practices: The NDF indicated that the current practices in India were sustainable and that the species was being cultivated widely, reducing pressure on wild populations.

Establishment of Quota: CITES notified a new export quota for agarwood from India, effective from April 2024. The quota was set at 1,51,080 kg/year for agarwood chips and powder/sawdust, and 7,050 kg/year for agarwood oil.
Formal Trade: The absence of an export quota for a long period had led to informal trade and increased prices. The new quota aims to regulate and legalize the trade, ensuring benefits to local growers and the economy.

[2016] With reference to ‘Red Sanders’, sometimes seen in the news, consider the following statements:

1. It is a tree species found in a part of South India.

2. It is one of the most important trees in the tropical rainforest areas of South India.

Which of the statements given above is /are correct?

(a) 1 only

(b) 2 only

(d) Neither 1 nor 2