ONE TREE BY
Trees grows and develops just like us on a day-to-day basis – and so does their value! In the past, countless people had seen great returns from their participation in the sandalwood tree industry. Therefore, sandalwood tree can be very profitable. Below are reasons why so many people have benefited from it:
1.Sandalwood has one of the most ideal combinations of harvesting period and profit returns. For this, it is widely recognized as one of the most commercially viable trading materials in the agricultural plantation sector.
2.Sandalwood plantations can be systemized into an integrated full-fledged business model with sustainable growth. From land search to marketing, plantation owners should capitalize on sandalwood’s massive growth and demand in the market to roll out world-class sandalwood products to the market.
3.Some industries like steel or tires are concentrated, as these are industries with just a few key players. Sandalwood industry is also regarded as one of them. The global sandalwood industry has seen steady growth in the past few years, but it is dominated by few key players in several countries including India, China, Malaysia, Sri Lanka, Indonesia, the Philippines and Northern Australia. Many see this lack of competitors as an opportunity to seize a piece of this lucrative market.
4.Global demand for sandalwood products is climbing each year. Sandalwood represents quality life. As people are increasingly craving for exclusivity, everyone aspires for living an elegant and comfortable lifestyle. In addition, new technology allows researchers to discover sandalwood applications related to medicinal uses and skincare that further fuels its demand in the global market.
Did You Know?
The Chinese Medicine Journal published a study recently that proves sandalwood essential oils kill cancer cells, specifically bladder cancer cells.
[Extracted from: http://www.lenntech.com/greenhouse-effect/global-warming-history.htm]
5.Skyrocketing price of sandalwood is another factor that drives the popularity of sandalwood in the industry. For more than one hundred years, the transaction prices of sandalwood trees have been rising. Especially in recent years, its prices rise steadily at an annual rate of 10%. However, that also clearly shows that sandalwood production has been far behind the market demand. In recent year, an offtake agreement between Galderma (a subsidiary of Nestle) and TFS Corp has successfully pushed the price of sandalwood oil to USD 5,500 per kg.
6.Sandalwood plantations hold limitless potential and bright future as its demand and price are both on a steady rise for the past 10 years. This fact is further strengthened by an investment from Harvard University in TFS Corp., a decision no doubt extensively researched and calculated by the reputable education institution. At the moment, many are calling sandalwood the star product that will continue to shine bright for many years to come.
7.Sandalwood plantations offer environmental benefits. Often praised for its high economic value, sandalwood tree is also recognized by the World Health Organization (WHO) as one of the unique trees that could produce up to seven times the oxygen level as compared to other plants. Therefore, sandalwood planting should not only be viewed as a financially investment because it is also a good way for us to help the planet, our home, by alleviating the harmful greenhouse effects.
Sandalwood has been traditionally valued for its health benefits, varied uses, religious association and fragrant wood, making it one of the most highly priced commodities in the world. Due to limited supply in the international market, one ton of sandalwood may rake up to 154,000 USD, which is why it is regarded as one of the most commercially viable agricultural commodity in the world. Another unique quality of sandalwood that attract others is its ability to retain its fragrance for many decades.
Price: USD 1,500/KG
Price: USD 5,5000 – 16,000/KG
Maturity Period: 7-15 years
The Green Venture Sandalwood Plantation is a well-established service provider organization for a range of management services associated with sandalwood plantation. We offer our services to our Growers, who will appoint us as the official party to manage and grow their sandalwood assets at a predetermined fee.
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