Sandalwood Project in India
Our "Creator Universal Agro Sandalwood Plantation" is situated close to the city of Hyderabad in India.
The returns - estimated using today’s prices - are going to be very exciting.
We are planting 300 trees per acre.
Each tree is expected to give 40 kgs of high quality heart-wood after 12 years / 144 months.
We currently have 1,000 acres / 400 hectares / 4 sq km of land.
In addition to Sandalwood trees we will be growing Drumsticks, Pomegranates, Malabar Neem, Silver Oak, Eucalyptus, Bananas, Curry leaf, Vegetables and a variety of fruit plants. These crops will produce income regularly whilst we wait for the Sandalwood trees to mature.
We are acquiring additional land & planting more Sandalwood trees & associated crops on an ongoing basis.
We will allow some of the trees to grow to even 50 or 60 years of age, as ‘gifts’ for the next generation of Creator Universal investors. The wood from trees that die naturally is also commercially valuable.
Oil is particularly concentrated in the roots and butt of the sandalwood tree; therefore, the stump and roots need to be dug out to gain maximum saleable value from the tree. Sandalwood is sold by weight. Before selling it, the only requirement is to remove the sapwood from around the heartwood. This is usually done by gradually cutting the sapwood away. This process results in two waste products: pure sapwood chips and second cutting chips (2CC), which are both used in the manufacture of incense. The 2CC are chips that retain some heartwood.
Q). Will the prices of sandalwood decline with more plantations?
A). The demand for sandalwood has been steadily increasing, but supplies from natural forest have dwindled. There is currently much greater demand than supply for all sandalwood products. Sandalwood planting in India has been increasing over recent years and is likely to continue. The current global plantation resource will only partially replace wild-harvested trees and, even with new plantations being established, it is likely that demand will outstrip supply. Consistent prices for sandalwood products are expected in the short to medium term (15–30 years). The long-term price (30 years plus) is dependent on the planting activity of other countries, such as Australia and China.