MSTC Forest Produce Auction: How to Buy Timber, Bamboo & Wood Legally

Forest produce auctions conducted through MSTC Limited are the only fully legal and transparent route to procure timber, bamboo, firewood, and other wood-based forest produce directly from Government and Forest Departments.

This guide explains how to buy forest produce legally via MSTC, who is eligible, what documents are required, and how to stay 100% compliant with forest and tax laws.

MSTC acts as an official e-auction platform for State Forest Departments, PSUs, and Government agencies to sell forest produce such as:

• Timber (teak, sal, eucalyptus, etc.)

• Bamboo (industrial & commercial grades)

• Firewood & fuelwood

• Poles, logs & wood lots

• Minor forest produce (case-specific)

All sales are conducted online, ensuring:

✔ Transparency

✔ No middlemen

✔ Legal sourcing

✔ Government-authorised documentation

Who Can Buy Timber, Bamboo & Wood via MSTC?

Eligibility depends on auction terms, but typically includes:

 Eligible Buyers

• Timber traders & wood merchants

• Saw mills & plywood manufacturers

• Bamboo product manufacturers

• Paper mills & packaging units

• MSMEs & registered businesses

• Individual traders (in selected auctions)

 Some auctions may restrict participation to licensed traders or industrial users only.

Step-by-Step Process: How to Buy Forest Produce on MSTC

Step 1: Register on MSTC Portal

• Create bidder account

• Complete KYC

• Upload PAN & business documents

• Activate Class 3 Digital Signature Certificate (DSC)

Step 2: Find Forest Produce Auction Listings

• Search category: Forest Produce / Timber / Bamboo

• Filter by:

  • State / Forest Division

  • Product type

  • Lot size

  • Reserve price

 Download auction catalogue and lot details.

Step 3: Understand Lot Description Carefully

Each lot specifies:

• Species & grade

• Quantity (CBM / MT)

• Location & depot

• Upset / reserve price

• Delivery & lifting period

 Inspection before bidding is strongly advised.

Step 4: Pay EMD (Earnest Money Deposit)

• Usually 5–10% of lot value

• Mandatory to activate bidding

• Refundable if not successful

• Forfeitable on default

Step 5: Participate in Live e-Auction

• Auction runs online on scheduled date

• Auto-extension applies for late bids

• Highest valid bidder wins the lot

Step 6: Post-Auction Formalities

If you win:

• Pay balance amount within timeline

• Obtain sale confirmation letter

• Apply for Transit Permit / Forest Pass

• Lift material within allowed period

Documents Required for MSTC Forest Produce Auction

Common Documents

• PAN Card

• Aadhaar (individuals)

• Business registration certificate

• GST registration (if applicable)

• Class 3 DSC

🌲 Forest-Specific Documents (If Required)

• Trade licence / Saw mill licence

• Forest department registration

• Affidavit or undertaking

• End-use declaration

Requirements vary by state and product type.

If you trade in timber, bamboo, or wood, MSTC auctions are not optional—they are essential.

They offer a lawful, scalable, and government-backed procurement channel—provided buyers follow documentation, permit, and tax compliance strictly.