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1. Are the trees in danger of insects, diseases, fires or tropical storms?
Teak trees are naturally very strong, almost indestructible after their third year. Their substantial oil content protects them from elements such as plagues, insects, bacterial diseases and fungi. This natural oil content will protect them even from forest fires. Furthermore, forest fires rarely occur in the humid tropics because natural moisture and humidity are retained and prevent them. Now and then, tropical storms have affected the Caribbean and Pacific coasts of Ecuador. However, our plantation is located within a mountain range that is far from the coast. Consequently, the trees are protected and safe from hurricanes and tropical storms.
2. When are the trees planted?
It is essential for Teak trees to be planted within the steadiest part of the rainy season, approximately between May and October.
3. Are you cutting down any existing forest to plant your trees?
Our trees are planted in a plantation that was formerly a farm used for pasture. The natural forest areas in the plantation are preserved.
4. Once the trees are thinned and harvested, who buys the wood?
The wood is purchased by international companies. Historically, 90%+ of the plantations logs and blocks are sold to India.
5. How much would I receive if instead of investing in Teak trees I left my money in a savings account or used it for a traditional investment?
It would depend on the interest rate you receive, but it is rarely more than a 6%.
If you were to put $3,000 into savings or a traditional investment at 6% compound interest for 20 years, at the end you would receive total revenue of $6,076.80. The conservative net profit that we project for your $3,000 investment in 100 Teak trees is $33,586.
6. What happens if I wish to sell or transfer the ownership of my trees to someone else?
We would prepare the necessary paperwork for the transfer of ownership to whomever you designate. If you decide to sell your trees, we would help you establish an approximate value depending on their age.
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