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Sandalwood Supply and Demand:

                          The scope for cultivation for sandalwood is very much encouraging, since there is wide gap between supply and demand. Known in commerce as Indian sandalwood, sandalwood has two primary uses: extraction of an essential oil (sandal oil), and as a source of wood for carving. Production is based almost entirely on wild populations. India and Indonesia are the two major producers and exporters although it is not known exactly how much is exported or is used within the country of origin because much of the trade remains unrecorded. The United States and France are the twolargest importers. India accounts for some 90% of sandal oil production in the world.

                         Sandalwood has a fairly wide distribution. Trees tend to grow very slowly, gradually developing a core of heartwood. The environment has an effect on the quality of the wood and oil. Much of the sandalwood is obtained from natural forests, small quantities are also obtained from plantations and trees growing in private fields. Harvested wood is cut into billets which are then transported to a central depot. The heartwood of the trunk, main branches and roots is used in essential oil distillation. The sapwood is used for carving. Sandalwood is much prized as a wood. In India, the sapwood is used for wood turning, particularly toy making.
Indian sources of Sandalwood will increasingly dominate global supplies and ultimately will set prices in the international markets. With world demand currently outstripping supply. This appetite for Indian Sandalwood is highlighted by the robust demand that exists for even the poorest grades of wood, including branch-wood down to 15 mm in diameter.


  Sandalwood Business Opportunity:
Mini Plantation & Price Trend:

        Each plantation will comprise of half acre planted with 150 sandalwood treesand other companion trees. The interest expires in 12 years or can be extended on mutually agreed terms and conditions. You may purchase 1 or more Mini-Plantations. This Green Business Opportunity provides an entry level business structure with minimal capital outlay. Sandalwood today is the second most costly wood. Large economic benefits of planting Sandalwood can be theoretically gained. The Price of Indian Sandalwood of good heartwood class at presents over Rs. 5500 per Kilogram and that of oil is about Rs. 1, 50, 000 per kg, from the legal sources.

Vanisa Investment Highlights:

                                The cost of Mini-Plantation is 8 ,00,000/- rupees only.(1/2 acre or 50Units)Client will receive the Certificate of membership, Registration with title deed and Passbook for ½ acre farm (1 squareyard @ INR 331/-).
Potential Benefits of Membership

  • We grow the sandalwood trees and trade after 12 years at market price.
  • Low investment with High profitability
  • The seedlings are incubated for a period of 6 months, prior to plantation, there- by reducing the water requirement and maintenance cost.
  • An investment which yields returns higher than any Insurance Policy, Bank Interest, and Stock Markets.
  • Sandalwood oil is sold at the rate of rupees 1.50 Lakh per kg in the year 2011.
  • The rates of Sandalwood and its oil are present value rates.
  • The income is all tax free income, as agriculture income is exempt income under the Income Tax Act, 1961.
  • Sandalwood has a huge export market and various other medical usagess
  • Sandalwood plantation and maintenance consultation is done for 12 years or till the product is sold.
  • Free membership in the Resort with a host of facilities like swimming pool, gym, cottages to stay indoor recreation.
  • Profit sharing is on 50:50 basis, the land ownership (registration) is being given to the farm owner.
  • The initial purchase value is properly justified and the customers are welcome to monitor/check the investments.
  • The project owners benefit only with the harvest which by itself is a major security.
  • The project is backed by venture owners with renowned scientists and biologists having strong knowledge in sandalwood
  • cultivation and therefore they had no hesitations to benefit only from the harvest.

    COST BENEFIT ANALYSIS for single Mini-Plantation Sandalwood Farm

    Profit for 150 Sandalwood trees and Malabarneem 100 trees are planted and out of which only 80% to 90% of the plants survive, such trees are cut after a period of 12 years

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    ** indicates minimum current market price for the year 2011 (INR 4000-6000).






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