SANDALWOOD Cloned Plants
- Genetic Cloned Plants developed by: SHRI PLANTATION HOUSE
- Tried and tested on over 25 acres of land.
- Low maintenance and water requirement: The Plants are incubated for a period of 4 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, Stock Markets.
ENVIRONMENTAL CONSIDERATION
- Can be grown in any type of soil, Except for the areas which are prone to frost.
- Rainfall requirement: Minimum 50cm per annum, areas prone to heavy rainfall must have proper water draining facility.
- Acts as corporate social responsibility.
- Space required for each tree: - 64 square feet (8 x 8).
COST BENEFIT ANALYSIS
Cost for 100 Plants = (100 x Rs.250) = 25,000 Rupees
Assuming that 100 trees are planted and out of which only 70%of the plants survive, such trees are cut after a period of 10, 15 or 20 years:
AGE |
YIELD |
REVENUE |
IN Rs |
Return on Investment |
10 |
20 |
70trees x 20kg x RS. |
42,00,000 |
168 times |
15 |
70 |
70trees x 70 kg x RS. |
1,47,00,000 |
588 times |
20 |
115 |
70trees x 115kg x RS. |
2,41,50,000 |
966 times |
AREAS FOR PLANTATION
- Near the boundary wall and in Domestic premises.
- Farm houses, waste lands and Gardens.
- Small pieces of land lying idle in the Industries.
Plantation can even be promoted in separately allotted acres of land.
OTHERS
- Initial maintenance is required for 6 months.
- The cost of land would appreciate by at least 10% per year.
- Sandalwood oil is sold at the rate of rupees 1 lakh per kg.
- The rates of Sandalwood and its oil are present value rates.
- The above 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 usages.
India is a good place to grow sandalwood and there is good demand for Mysore sandalwood.
FIGURES (all in Indian Rupees)
Land required: 30 acre@6 lakh per acre=1,80,00,000.
1st year Exp: 400x100x30=12,00,000
Yearly maintenance: 4lakh x12 years=48,00,000
Security: 6th t0 12 year = 10crore
Total cash out flow = 13crore.
Revenue: 30acre x 400trees x 25kg x Rs.7000=210crore.
RETURN ON INVESTMENT:
The major part of the investment is land which itself is available for security. The expenses on security of sandal-wood will arise only after 5 years.By that time grownup sandle wood is available for security for the funding.
Return is expected from 12 years.
The proposed deal is 50-50 sharing.