Tree Plantation
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Tree Plantation

Commercial tree planting is the signature feature of Kokan Vaibhav Project. The business of planting trees is going to be one of the biggest opportunities for the investors to get good returns. Mahogany, Red Sandalwood and Agarwood are primary trees to be planted in the project as a part of commercial tree planting. It takes almost 15 years from planting to get matured enough for harvesting of these trees.

Mahogany

  • Mahogany grows straight and up to 30-50ft tall in 15 years
  • The timber from Mahogany is very strong and durable.
  • It is resistant to termites.
  • This wood is also resistant to water decay and can stay in water for almost 100 years. This is the reason this wood is majorly used in ship building.
  • Furniture and artifacts are also made from this wood.
  • There is a great demand of this wood in India; even today almost 75% of the need of Mahogany is fulfilled by imports.

Earnings

30-40 cu. ft timber can be yielded from a single Mahogany tree. As per today’s market value the rate of each cu. ft is ranging from Rs.2000/cu. ft- to Rs. 2500/cu. ft. Hence, an average income of Rs.50000/- can be earned from a single Mahogany tree.

Approximate Earnings from one tree

Description Saleable wood obtained from one tree Market rate per kg Appox. earning from one tree
Red Sandalwood 30 kg Rs. 4500/- Rs. 1.35 Lakhs

Agarwood

  • Oil is extracted from the inner side of trunk of the tree.
  • This oil is used to make very high quality expensive perfumes and attars.
  • Due to this reason this wood is in great demand in the gulf countries.
  • This wood has wide application in the perfume industry.

Earnings

From one Agarwood tree approximately 3-7kg of saleable timber is yielded.
As per the current market price one kg of this wood is sold at Rs.1.00 Lakh/kg to Rs.5.00 Lakh/kg. As a result, each tree can help in earning approximately Rs.1.00 Lakh/- to Rs.5.00 Lakh of income from each Agarwood tree.

APPROXIMATE EARNINGS FROM ONE TREE

Description Saleable wood obtained from one tree Market rate per kg Appox. earning from one tree
Mahogany 40 cu. ft Rs. 1000/- Rs. 0.40 Lakhs

In 11 guntas of each plot 30 Mahogany trees, 30 Red Sandalwood trees and 30 Agarwood trees are planted. So from the total 90 trees almost Rs. 50 lakhs to Rs. 70 lakhs income is expected. This income will be distributed among the plot owner and Balaji developers as per the agreement.