It's used on the extremely low end BC Richs for the same reason it's used on the low end Squires - because it's cheap and widely available. Bronze BCRs are not quality instruments. Agathasis is a step above plywood, but not as good as alder, poplar, basswood, or any of the other widely available cheap woods used for guitar building.
oops i was looking at the wrong tele. the standard squier tles have agathis and the others have alder. i dont think id be willing to buy another body because it would cost me $100+ dollars.