Wednesday, September 25, 2013

Establishment of plantation company for neem

Abstract of the presentation of
Umanda Rathnayake

Goldenleaves Company manages neem (Azadirachta indica) plantations in the dry and intermediate zones in Sri Lanka and their two main plantation sites are located in Korakanawewa and Anurapuraya. Main species of the plantation is Azadirachta indica which belong to the family Meliacea. Azadirachta indica originated in Burma or Indo-Pakistan sub continent. In 19th century , East Indian immigrants have carried the plants from particular region. Therefore tree improvement effort for Neem. Under Sri Lankan condition and it generally found in mixed forest system in Sri Lanka associated with several broad leaved tree species such as Acacia, Teak, Mahogany.

There are various silvilcultural methods, agro-forestry practices using in Azadirachta indica plantations. Management prescriptions starts from seed collection and it runs until doing the harvesting. Generally improved seeds can be taken from clonal seed orchards, seed production areas. Tissue culture to develop large scale uniform superior plants can also be practiced. Good silvicultural practices like proper spacing (2.5m×2.5m), pruning, weeding, thinning, pest and disease control can be done to produce high quality timer.

Seasoning, polishing furniture products, manufacturing timber products according to customer’s requirement, practicing seasoning methods, obtaining certain forest certifications will be add values to the end product.


Thursday, September 19, 2013

Establishment of Alstonia macrophylla (Hawari nuga) plantation company

Abstract of the presentation of 
Madhurangi Perera

Alstonia macrophylla is found in the wet and intermediate zones of Sri Lanka, mainly in and around plantations and also in forests. The tree grows to a height of 20-25m and has a very straight bole with little taper. The general characteristic of the wood are; however the sapwood is yellowish white creamy and cannot be easily differentiated from the heartwood. The heartwood is more yellowish than sapwood. Grain is straight and shallowly interlocked. Texture is moderately fine to rather coarse and even. A. macrophylla has been suggested for plantations and home gardens in Sri Lanka due to its fast growth rate, ease of establishment and timber value.

The Havarinuga Plantations which is established by the Havarinuga Plantations (Pvt) Ltd. has an extent of  25 hectares. It is situated in Galle. (from Yakkalamulla have to take Akkuressa road to Allaehala). It is only one and a half hours drive from Colombo via the new southern highway.

Havaringa Plantations (Pvt) Ltd. offers potential investors the opportunity to purchase blocks of land and cultivate Alstonia in the plantation. The plantation have separated 100 cultivation blocks of Alstonia. One block of land is 40 perch with 140 Alstonia trees . The investor can (if desired) obtain the full ownership of the land while all cultivation, maintenance and security will be provided by the company. The company has introduced easy payment schemes for all investors. The target market are the Foresters, nature lovers and local investors.Mutually beneficial Company Community Partnership is established.

Establishment of the plantation will be done after the site preparation, maintaining the nursery. Value Addition to the Alstonia plantations can be done through plantation management practices, Nursery management practices and by adding value to the final product of the plantation. Value to the plantation can be added as a whole, by obtaining plantation certification such as FSC and Rain Forest Alliance. Value addition at the nursery level can done be by importing genetically improved, best quality seeds from Malaysia and Taiwan. Value addition to the final product can be also done by seasoning the timber.

As final Products Post and Beams, Expose rafters are made. Wasted  small pieces use for photo frame manufacturing (Associate with Studios). Lower and middle income level customers are the target group for the products.



Come and join hands with us for a greener future  -Havarinuga Plantations-

Establishment of a forest plantation company using Michelia champaca (Gini Sapu)

 Abstract of the presentation of 
A. Jayaweera

Michelia champaca (Gini Sapu) is a large evergreen tree with a long, clean cylindrical bole (with 60-70 feet/14m-20m height; 1.8 m trunk diameter). Required rainfall varies from 2250 – 5000 mm and it performs well in an altitude of 500 -1500 m above mean sea level. It is well suited for sandy loam soil and also it grows well on moist deep, well drained, good quality soil. It is a light demander and coppices well up to a fair size and it does not produce root suckers.  
Michelia champaca is not native to Sri Lanka. Especially people used to plant this species around Hindu temples due to the sweet smell of its flowers. Now it’s being extensively planted in the wet zone and the hill country. Now it’s getting wild in our forest areas in wet and intermediate zones and can be found in home gardens also. No pure plantations have been established   for M. champaca in Sri Lank at present.

Champwood Lanka (Pvt.) Limited is a hypothetical company established with a vision to provide a helping hand in saving our rain forests. And its mission is to meet future demand for timber in Sri Lanka by using sustainable forest management. The selected area to establish the plantation is Kegalle with a land of 50 ha.

Management prescriptions and Business model consists with several steps as site preparation and establishment of a nursery, planting in the field and weed controlling, prunning and thinning and harvesting. There are various options for value addition such as proper management activities (fertilizer regimes, harvesting schedules), Carbon crediting, forest certifications, good quality seed collection and measures for soil erosion control. Intercropping is done for maximum land utilization.


End product manufacturing consist of logs, sawn timber, essential oil from flowers and seeds, some parts for ayurvedic treatments, fuel wood (through thinning and pruning) and plants and seedlings for reclamation and ornamental purposes. Dealing with customers in a responsible and faithful manner is the basis of been successful in the sector. However, there are considerable strengths, weaknesses, opportunities and threats which can be presented through a SWOT analysis.

Establishment of hypothetical forest Plantation Company for (Swietenia macropylla) AirForest Plantation Limited

Abstract of the presentation of
Sampath Bandara

S. macrophylla is one of the most valuable furniture timbers in the world due to the decorative and attractive timber with good technical characteristics. In agro forestry systems it is used for shade and fuel wood. In 1840, Mahogany was first planted in Jaffna as an avenue tree. According to the 2010 data of   FAO there were 5505 ha of Mahogany cover in SL, mainly in the intermediate zone and low country wet zone of Sri Lanka.

AirForest Plantation Limited was established in 1998, and the head office located in No-6, Glenaber Pl, Colombo 03. This company provides numerous benefits to the investors such as Deed of the land, money back guarantee, right of transfer, providing maturity value of the plantation and free maintains facilities with online monitoring facility.

Though AirForest entered into forestry and agricultural plantation industry only 15 years ago (1998), the management of AirForest has decades of experience and knowledge in the field of plantation management. Currently, the company is managing plantations at Kurunegala, Monaragala, Galle, Udawalawa, Badulla, Kegalle and Beragala. (over 250 ha, island wide). AirForest is one of the forestry management companies which use Drip Irrigation System. This ensures a higher and rapid growth and a maximum harvest as each and every tree gets sufficient nutrition by drippers.

AirForest Plantations ensures continuous monitoring and improvements by forestry consultants and experts in the industry and over 15,000 delighted clients in Sri Lanka. It provides harvest-purchase back guarantee, with many additional offers with exclusive premier membership benefits

This value addition is also a very important aspect in the plantation sector because it is eventually a business, and the increasing of profit becomes underlying target. The value addition to a plantation can be done in several aspects. It can be either by increasing the quantity of the timber produced from the plantation or by improving the quality of the mahogany produced and also especially by increasing the utility of the plantation land. Company exporting the Mahogany fruit (Sky Fruit) as a byproduct obtains from the plantation.
There are some difficulties of the Mahogany plantation sector; lack of suitable lands for establishment of plantations, shoot borer attacks, problems related to site quality, competition, problems of the labors, problems related to accessibility, lack of previous informations, political influences. 

Currently company is planning to expand the land area of the plantations and the plantation species verities. And Carbon fixing value is identified as a new business opportunity.


Mahogany sapling in a plantation of Sri Lanka

Establishment of a forest plantation company using Cupressus macrocarpa

Abstract of the presentation of
Shanuka Fernando

The proposed Cupressus macrocarpa plantation is to be established in a company owned land plot of 20 ha in Ragala in the Nuwara-eliya district. The investment for the plantation is made through shareholder equity and long term bank loans. The expected returns are to be made through thinning, prunings, livestock farming and the final felling at 30 year rotation age. Three permanent staff and hired labour will be employed by the company.

The management prescriptions require seedlings as the plant material and close stocking is done during establishment. Thinning operations start after the second year of establishment where thinned out trees are sold as Christmas trees until the 8th year. The late thinning will be aiming at timber production.  In pruning, clear bole pruning will be done to improve the stem form of 750 trees in a hectare which is done when the dbh reaches 8 to 10 cm. Complete weed control will be done during the first two years followed by low slash mechanical weeding until the 6th year. Fertilizing will be done for 2 years depending on the site status.

The main disease that poses a threat to the plantation is the fungal disease known as cypress canker which results in the dieback of branches or the entire tree. The damage can be minimised by thorough observation and removal of affected branches and weak trees. Vigilant observations will be made to protect the plants from fire hazard.

Harvesting will be done by clear-felling and tree length harvesting system. Site preparation activities for the rotation will be conducted after the site has been clear felled.
The target customers will be softwood timber dealers, panel and furniture manufacturers and suppliers and traders of Christmas trees. The end products of the company will be sawn timber, Christmas trees and firewood. In addition livestock farming will be introduced after the 10th year.

By sawing the felled logs and by drying and treating the sawn timber, more value will be added to the end product. By thinning and pruning, the company will be adding value to those non-timber products as Christmas trees and fuel wood.

A mature Cypressus plantation growing in the hill country of Sri Lanka, Nuwara Eliya

Wednesday, September 18, 2013

Establishment and management plan of Eucalyptus grandis plantation by Greenhill (Pvt) Ltd

Abstract of the presentation of
Savindi Caldera

Eucalyptus spp were introduced to Sri Lanka in the latter part of 18th century by planters who had links with Australia. After 1953, Forest Department established Eucalyptus grandis in the hill country Sri Lanka, especially in degraded lands for the rehabilitation. These were to obtain sawn timber, transmission poles, railway sleepers and fuel wood.

As there is a population increase and growing demand for timber in Sri Lanka, Eucalyptus grandis plantations had a positive aspect due to fast growth and adoptability to harsh conditions. It meets requirements of people, industries and paved the way to reduce pressure on natural forests. But criticism was voiced in environmental degradation with allegations of adverse effects on soil, hydrology and habitat. However, most of these criticisms have now been addressed by value additions to those plantations as well as to the end-products. Greenhill Company has five main steps in their business model such as aacquiring and subdividing land, establishment, plantation management, and harvest and distributes returns.
The plantation is based in Nuwara Eliya with an extent of 50 ha and it was selected based on the unique climatic and soil conditions which are conducive for the growth of Eucalyptus grandis. Planting objective is to obtain sawn timber mainly to cater the local market with construction timber. In order to supply the perfect fit for each individual’s investment needs short-term cash crops such as beans chilies, green gram or other cash crops such as cotton are being intercropped.

Our business practices are certified by the International Organization for Standardization, achieving ISO 14001 for environmental management and the plantation is well managed as certified by FSC Certification. Value addition can be done through good silvicultural practices, planting superior clones of hybrids and genetically modified high yielding; disease-free, non-splitting trees obtained via vegetative propagations which would improve timber quality and quantity within the plantation. Practicing agroforestry and promoting related industries such as beekeeping, extraction of Eucalyptus oils would generate additional income to the company. At the same time it maximises the land use of the area. Adding organic fertilisers, managing plantations for longer rotational periods, fire management and trench management are some of the eco-friendly management practices that add values to the plantations.  Timber seasoning, pre-treatments, designs used in furniture manufacturing and forest certifications will add value to the end product.


An investment plan was given while assuring absolute ownership of a land with Eucalyptus grandis trees to the clients, ensuring continuous monitoring and improvements by Forestry Consultants. Short term returns will be gained through the intercrops, the thinned material sold as fuel wood and essential oil production which will be outsourced to Bio Extractors’ Pvt Ltd. 

Young plantation of E. grandis

Establishment of a Nedun Plantation Company

Abstract of the presentation of 
Udara Senevirathne

Pericopsis mooniana (Nedun) is a perennial tree of family Fabaceae. Nedun is a beautiful tree with dome shaped crown and evergreen foliage. Mature height and dbh of this species are 20-25m and 30-70cm respectively. The trees are usually located in low land wet zone forests. Timber of Pericopsis mooniana takes a very fine polish, cuts clear and turns easily. It has high natural durability. Colour of heart wood is dark brown and sap wood is pale in color. It is good for high class furniture, cabinet work, flooring and ornamental works.

The hypothetical Nedun Plantation Company named Green Tree Plantation Company is an investment company. The company hopes to provide Nedun timber as final product to local market and international market. The business model of the company consists with five steps as firstly Acquiring and Subdividing Land, Establishment, Plantation Management, Harvest and finally Distribute Returns.

Considering suitable growth condition for Nedun trees, a land is selected in Mathugama, Kalutara. It is a barren land due to high soil erosion.The land should be developed using sloping agricultural land technique. Then Gliricidia is used to soil enhancement because it is a Nitrogen fixing and Nutrient recycling tree. Coir dust is applied as mulch.

Nedun seedlings (purchased from FD) are planted in May-June. The planting distance for Nedun is 3.0m × 3.0m such that number of plants per ha is not less than 1110. N.P.K. ratio (9:13:9) fertilizer is added to Nedun plants in first three years and just after PCT at year 7. Two pruning treatments must be done at age 4 and 7. At pre-commercial thinning, 450 trees are removed at 7 years age. At year 13 of Nedun plants, 1st commercial thinning is done to remove 250 trees. This practice cannot be done with Gliricidia. Therefore they are removed before this thinning. After that, the 2nd commercial thinning is done and sold as timber at 20 years age by removing 120-150 trees. Pest and diseases threats are minimal to Nedun plantation. Most of the time leaf eating caterpillars makes damages. There is no severe damage after 3 years of Nedun plant. Therefore contact poisons can be applied within nursery period to first 3 years whenever necessary. There is a minimum threat to occur a forest fire, because this plantation is located in the wet zone. Most of the time surrounding people tend do illicit felling. Therefore the company expects to provide security using two watchers.

Value addition practices to a Nedun plantation are used of a low cost fertilizer mixture, high quality seedling, intercropping, and certification for both the plantations and end products.In SWOT analysis, excellent return of investment and highly experienced management as some strengths, the growing cycle for Nedun is not more aggressive as one of weakness, high market potential as one of opportunity, land invasion and theft and fires and other natural disasters can be mentioned as threats.