ABSTRACT: There are two hypothesis about the origin of red beds, The first one contends that the hematite is detritally derived, from lateritic soils. The second one espouses the view that the hematite is formed aufhigenically from alteration, of iron bearing minerals. It has been observed that recent sediments from arid and tropical climate arc not red. They redden with, time and the degree of reddening take place with, post deposilional processes rather than predcpositional processes. Any iron bearing mineral is a potential, source for hematite pigment. However, the formation and preservation of red beds takes place if the chemistry of the interstatial environment is suitable.. Red beds by itself should, not be used as climate indicator. In. order to make an interpretation about the climate during deposition, the flora, fauna and relations of red beds with, the eolian sandstone and evaporite should be searched.