Agarwood Farming Management

Basic overview

• Land plot: Better Agarwood/Gaharu quality at steep areas up to 45 degree i.e 0-700m from sea level.
• Rainfall : Better Agarwood/Gaharu quality at the land plot receiving more than 2000mm rainfall per year.
• Temperature : Best quality Agarwood/Gaharu producing trees grow at low temperature i.e humidity is high, (24ºC -32ºC ) with a 70% rate of sunshine.
• Soil : Best quality of Agarwood/Gaharu trees grow at specific soil, 4-6 PH, loamy soil, soft sandy clay like soil, deep and stony.

Modern Cultivation Technique

• Mechanical treatment by systematic wounding method.
• Inducement of super agar resin formation through application of special concoction of inoculum known as Effective Resin Inducement Biotechnology Serum (ERIBS).

Mechanical treatment

Systematic wounding technique

• A properly managed 5 years old Aquilaria subintegra tree can grow up to 30 feet in height and25 inch in circumference.
• Relatively about 500 holes can be made with an electrical drill machine, 5 inches deep and separation column of 4×4 inches can be drilled at 5 years old Aquilaria subintegra.
• The “hole” made by this technique is pointed at relatively steep angle upwards to preserve the humidity factor.

Inducement

• ERIB Serum will be innoculated into the holes. This technique accelerates the natural defense responses of the Aquilaria trees. Thus forming the Exotic Fragrant Agar Resin in the trees.
• Most Agarwood/Gaharu growers will choose to use this Effective Resin Inducement Biotechnology Serum simply because it is superior to any other Agarwood/Gaharu inducement technique. More agar resin is formed in a shorter period and at a lower cost.
• In natural forest, the Aquilaria trees at the age of 20-40 years produce agar resin formation as a natural response to wounds or infection by the forest endotrophic mycorrhizal fungi.
• A formation of Fragrant Agar resin will be produced 8 months after the ERIBS inducement technique.

Case study: Inducement technique carried out on 7 years old Aquilaria subintegra tree in Thailand has fetched a whopping RM20,000 per kg.

Do you know?

• Aquilaria subintegra was declared as the only Agarwood species that produce super grade agar resinin World Gaharu Convention, Vietnam (2004).
• Aquilaria subintegra is a Gaharu species, native to Thailand and Malaysia.
• The tree produces high percentage yield of essential oil and has a pleasant aroma.
• Biotechnology research states that sustainable yield of resin is produced in relatively young innoculated Aquilaria subintegra tree. i.e 6-8 years.

Article source : gaharuku.com

Indonesia`s Agarwood Potential

From the tropical rain forests in Sumatera and Kalimantan to Papua and the pastures of Nusa Tenggara, land in Indonesia has one of the most extensive biodiversity on earth. From its diversity, Indonesia is also known as one of the largest source of gaharu or agarwood, the most expensive wood in the world.

Valued in many cultures for its distinctive fragrance and used extensively in incense and perfumes, Gaharu has been traded for thousands of years throughout Asia.

Inaugurating the first direct agarwood exports to China here recently, Forestry Minister Zulkifli Hassan said gaharu potential in Indonesia was predicted to increase by 600,000 tons per year with its production centers in Papua, Kalimantan, and Sumatra.

Indonesia`s gaharu commodity has been able to penetrate the Chinese market after being exported through third countries such as Taiwan, Singapore, and Hong Kong. The forestry minister said that the world`s gaharu demand at international market was 4,000 tons per year with China as one of the largest importer with 500 tons a year.

Indonesia has so far been exporting gaharu to Saudi Arabia, Arab Emirates Union, Taiwan, Singapore, Hong Kong, European Union, and the United States.

Zulkifli said that in the past five years Indonesia exported 170 to 573 tons of gaharu with an estimated foreign exchange earnings of US$26,8 million in 2006 and increased by US$86 million in 2010. “We hope that in the years to come our exported gaharu is not only taken from natural forest but also from cultivation,” Zulkifli said, adding that the agarwood was exported in the forms of chips, blocks, powder, and oil. Gaharu cultivation has been developed in Bangka island, Sukabumi, Bogor, Lampung, and East Nusa Tenggara.

Average price of Agarwood (Gaharu)

2006 = USD26.8million for 170 tons. Price per tons = USD157,647.00. Price per kilo = USD157.00
2010 = USD86.0million for 573 tons. Price per tons = USD150,087.00. Price per kilo = USD150.00

Following a success made by Indonesian gaharu exporters to penetrate international markets in China, Hong Kong, Saudi Arabia, European Union, and the United States, farmers in Langkat district, North Sumatra, have turned to agarwood planting to meet international market demand. “We are developing a gaharu tree plantation to meet international market demand,” Langkat district gaharu farmers group spokesman Mahmuddin Sani has said on Tuesday.

Therefore he called on gaharu farmers in Langkat to utilize the increasingly promising agarwood overseas market opportunity by stepping up the quality of the commodity. He said the farmers were also encouraged to actively cultivate gaharu plants in their agricultural areas because to meet the potential international market demand, Indonesia still relies on the commodity in the natural forest.

Meanwhile, Langkat Forestry and Plantation Office`s Land Rehabilitation chief Jonner Pane said seven species of gaharu plant namely Aquilaria Malacensis, Aqurolaria Filaria, Aqularia Microcarga, Actoxylon Simpetthaluum, Aquilaria Aqalocha, Aquilaria Hirta, and Aquilaria Becariana were found at Bahorok, Sei Bingei, Salapian, and Wampu sub-distircts in Langkat.

The most highly priced agarwood are from the families of Aquilaria Crassna, Aquilaria Malacensis, Aquilaria Beccariana, and Aquilaria Fillaria because of their high quality. Meanwhile, an international gaharu seminar is scheduled to be held in Bangka Tengah district, Bangka-Belitung (Babel) province in July this year. Bangka Tengah forestry and plantation office spokesman Mahmuddin said the representatives from 26 countries, signing the Convention on International Trade in Endangered Species (CITES) of Wild Fauna and Flora, would participate in the event.

“In that upcoming seminar we will propose a revision on gaharu export restriction, agreed in the previous CITES meeting, to provide opportunities for gaharu farmers in Bangka Tengah to export their products,” Mahmuddin said in Bangka Tengah district town of Koba recently. Because of excessive hunting for their woods and resin gaharu becomes very rare and is now on CITES appendix II, meaning that this wood in only allowed to be traded in a very small quota. As one of the largest exporter of agarwood, Indonesia restricted its exporting quota into 300 tons per year but only 10 to 20 percent were met.

Mahmuddin explained that in the seminar the participants would be encouraged to revise gaharu export restriction following the high interest of local agar-wood farmers in raising the world`s most expensive wood. “We are going to propose the upcoming international forum not to restrict the areas or countries which cultivate gaharu or agar wood,” Mahmuddin said, adding that a lot of farmers in Bangka Tengah district had a profound interest in cultivating gaharu.

Increasing use of herbal medicine from organic materials has made gaharu increasingly sought as raw material for drugs for various disorders such as stress, asthma, liver, kidney failure, gastroenteritis, colitis, rheumatism, and tumors. Now gaharu is also used in making cosmetics and thus it can be sold at Rp2-5 million per kilogram for average quality and for super quality it can be Rp18 million per kilogram.

But Indonesia Gaharu Association chairman Mashur has said the high quality of agarwood from Aquilaria Filaria in the forest of East Kalimantan could be priced at Rp150 million per kilogram. It is on that basis that the development of gaharu can strongly support the government`s forest conservation program.

Mahmuddin explained that since the past few years the farmers in Bangka Tengah district have been developing gaharu cultivation and up to 2011 there were a total of 235,000 agarwood trees in the district. “Therefore we hope the international gaharu seminar in Bangka Tengah will be of great significance for the local farmers,” Mahmuddin said.

Source: Antara News

Buy an Agarwood Green Investment

We have a dream, green earth and there is no global warming concerns.
But every day is deforestation, clearing new land, new housing projects, road widening, and so forth.
Always green corner's become a victim. Areas that should be green area turned into apartment, shopping center / mall and so forth.
As a result, the city became very hot. The increasing number of vehicles on the road increasing the number of air pollution every day, whereas trees that serve to recycle air pollution is reduced. If this happens constantly then it is certain catastrophe due to global warming can not be avoided.

Not to mention the flood disaster that could happen at any time due to lack of circumstance tree sequestration / storage / water control.
If no one has bothered with this, the more severe the damage to the our earth will continue to happen.

Massive investment in housing and road sectors such as apartments, housing, and roads are considered by investors as a safer investment and promising.  In the mining sector, investors continued to look for mining investments such as oil, gold and coal are considered to be a very profitable investment. Impact on nature is clear, deforestation, land clearing, loss of green areas in cities, air pollution is getting out of control, everything is heading towards global warming.

For that we care and we offer green investment. Investment that will continue to keep our forests, the investment does not have a negative impact on the environment, participate investment nature preserve. Investment in the agricultural sector. Planting trees such as Falcata, teak and agarwood trees. Clearly we offer investment for who are concerned with the environment. Only USD $ 600 you have to buy 1 Diamond pack contains 175  agarwood tree seedlings that will be planted in cooperation with the farmers who own land in Indonesia. Not limited to how many trees you wish to plant. And how much profit will you get?

After a period of 8-10 years, agarwood trees will ready to harvest. Our company ensures that even if it fails in inoculation, one tree remained in value USD $ 225 to $ 600, which means assuming 100% live tree, the minimum results obtained after  8-10 years is USD $ 11,812 (30% of investors). Once again this is minimal outcome where the worst possible occurs. From the results of our experience, successful trees in inoculation could reach a price of USD $ 2,225. If 50% of the number of trees in inoculation success then the result you get is more than USD $ 68,000

Remember that the investor gets 30% of the total harvest. Gross calculation is 35% of companies, 35% of farmers and 30% of the total yield investor. If you want more results we can arrange lease land for this green investment project.

Important point with this green investment are:

1. You help the world in addressing global warming crisis.
2. Your help improve the welfare of farmers in Indonesia.
3. You participate in the program realizing planting 1 million trees.

If you are interested in the Agarwood Green Investment please click the purchase link below. You may purchase more than one package of investment. But if you just want to donate to us, regardless of the amount we are very grateful, please click the donation link on the right sidebar.

If you are not pleased with paypal payment, please contact us to make payment via bank transfer

Agarwood a Safe Investment

Agarwood is truly a most unique wood and certainly quite different than other Forestry Investments.  Agarwood comes from the Aquilaria evergreen tree, which grows deep in the tropical forests of Southeast Asia.  Approximately 1% of these evergreen trees become infected a substance spreading from deep in the wood.  As the Aquilaria tree begins to fight off the fungus, a dark brown or black resinous thick core is formed within the wood.  It is this resin which is known as Agarwood / Gaharu.

Agarwood is extremely highly valued by luxury perfume, fragrance and soap manufacturers. Agarwood chips can be burned for their aroma to create an incense for spiritual or religious ceremonies in countries as diverse as Japan or those in the Middle East, and agarwood chips start at £20 per kilo up to £6,000 per kilo depending on how much resin is inside the chips.

Likewise, the oud oil distilled from agarwood can cost as much as £20,000 per kilogram depending on the purity of the oud oil.  The leading luxury brands such as Yves St. Laurent, Dior, Juicy Couture and others all make heavy use of oud oil in their premium brands.  No other timber investment that we know of is as unique as an Agarwood investment.

In addition to the fact that only 1% of Aquilaria trees contain the resinous agarwood substance, the Aquilaria since 1995 has been protected by the Convention of International Trade in Endangered Species of Wild Fauna and Flora due to massive and ongoing illegal logging.  Luckily, the plantation involved in Indonesia, the agarwood project has created a unique process by which the agarwood resin can be created inside every Aquilaria tree on their plantation.  This means that agarwood Timber investments satisfy a global consumer need whilst not contributing in any fashion to the destruction of tropical forests – you can rest assured that this indeed fits within the green investments category .

Luxury brands concerned with their image are willing to pay a premium for Agarwoods’ oud oil sourced from sustainable Aquilaria plantation forests.  The current global market for agarwood is estimated to be in the range of US$6 – 8 billion and is growing rapidly.  For an outlay of £20,000/US$32,000, you receive back approximately £65,600/US$104,000 at the conclusion of your 7 year – an Internal Rate of Return of approximately 29%!

If you are looking for highly profitable and safe Timber investment, consider agarwood!