Jump to content
BANGKOK 22 March 2019 11:14
Sign in to follow this  
Southern Style

Palm Oil Or Rubber

Recommended Posts

Peter

Some general comments. I'm sure someone can prove me wrong in all accounts. Rubber and Oil Palm can grow in a surprising variety of sites. I am an ex-forester from the West Coast of Canada and it amazes me where they will grow. The bottom line is good production of either fruit or rubber. Normally in the tropics the soils are not very deep and if you are growning crops they are fertile for a very short time. If you want to produce something like rubber or oil palm you have to fertilize to optimize production. I have listed some sites to look at that explain a lot for oil palm and rubber. As with anything the land is site specific and maybe you can get a government agricultural person to assess what you need.

50,000 babt per rai may not be a bad price depending on where it is. If there are producing rubber trees on it so much the better. Problem with rubber tree lumber is that the trees give very poor recovery as the spacing is tight and no pruning. Can always cut and grow oil palm. But that would mean a four year gap in production. Interesting state address by Bush saying that all the stops are out for ethanol production. My feel is that they will probably be buying ethanol to an extent as not much of the states is good for ethanol producition.

THANKS

I just had contact again with my gf, She said about the land near chonburi that it has already rubbertree's on it, the age of it is arround 5years young/old. And still for 50000baht for one rai.... Seems like a bargain to me especially coz the tree's are about to produce right? or wrong? Somebody trieing to nail me?

But looking at your reply it gives me the feeling it better to look for palm oil land then rubbertree land right?

ANyway, i am going to read your links now, (or later coz just started work) and will send a reply again after i understand all hihihi. Thanks alot for your concernce and advice, and perhaps if you know anybody with oilfarms and rubberfarms near chonburi, then maybe i can let my gf give them a call or visit.

Thanks again.

Share this post


Link to post
Share on other sites

Peter,

Those were some opinions. The price of rubber will go up for sure. If you have land about ready to produce rubber against oil palm which may take four or five years to get going. The main reason I like oil palm is that it is capable of producing so many products. If you were starting from scratch. The land near Chonburi is not that far from Bangkok so it might be good for producing something else also. Maybe your girlfriend could ask for some comparative prices in the area. It would be nice to get an opinion from a technician involved with agriculture. In North America it isn't that hard. I don't know about here. You just have to take all of the information you can ahold of and make a gut feel decision.

Return on investment.

Share this post


Link to post
Share on other sites

Hi again,

now i am asked to make a diccision about what kind of land to buy. I can buy rubbertree's at the age of 5 years old for 50000baht per rai, and i can buy palmtree's for 35000baht a rai.......

Anyone knows about returns of these kind of crops?

regards

Share this post


Link to post
Share on other sites

Everyone

Here are some numbers that I got that are approximate and if you have some better ones please post. I got these from the in-laws who have some plantations. Some of the numbers seem high and some are low but good working numbers. In rubber the production depends on site, weather time of year etc. The production can vary 20 % on the same site from day to day. So the numbers may be better than I think based on the site.

One plantation is 16 years old and the other is 18. They get about 2 kiligrams per rai per day. They work 3 days on 1 day off to allow the trees to recover. One person can take care of about 20 k's per day including processing. My relatives do it all themselves on a small plantation one person does the gathering and processing. On a site a lot bigger two people take care of the production a man and his wife. In plantations where it is not owner operated they get a group from Issan to do the harvesting and processing. A family might take care of the whole thing and they ask for about 50 % of the action. This is a little higher on some areas.

The production figure can be improved through rain guards, fertilization, and some other practices.

Remember production depends on a lot of things "site specific", but are good working numbers.

I have some data on oil palm at home, but at work now.

Share this post


Link to post
Share on other sites

After reading this thread, I finally got my wife to tell me what kind of returns her family is getting from the rubber tree land that she bought last year in Phatthalung province. The land we (she) bought was 27 rai where 17 rai is producing rubber and 10 rai are now 4 years old. We paid 35000 baht/rai. One of my wife's cousins is doing the cutting and receives 60% of the profit. The other 40% is going to my wife's family. The rubber is cut and sold in liquid form to someone else that processes the rubber into sheets. The price our family is currently getting for the rubber liquid is about 50 baht/kg. My sister-in-law said that on average, rubber is cut 4 times a week and that our weekly take is 3000 baht. Our cousin gets 4500 baht/week. At 7500 baht/week, assuming 50 baht/kg, our trees are producing 150 kg/week or 37.5 kg/day. That means that right now the trees are producing about 2.21 kg/rai each day they are cut (37.5 / 17 rai = 2.21).

I don't know how "typical" these results are. For one thing, the land we bought is on hilly ground that is difficult to get to. This is one of the reasons we pay 60% to whomever cuts the rubber. Also I discovered that until recently, the trees were underproducing and my wife and her family suspect that the person who sold the land used gas to try to extract more rubber from the trees before selling the land. My wife says that it is common to insert a gas into rubber trees right before they are about to stop producing rubber to get the most out of them. These trees are not near the end of their life (exactly how old they are my wife doesn't know) so this practice shouldn't have been done and is something anyone that is looking to by land with mature rubber trees on it should be cautious about. Fortunately the tree are now producing better. I also know that my wife paid for fertilization, weeding, and some other treatment which she wasn't able to explain to me in English that has helped get the trees producing better. In addition to these factors, I have been told that rubber output varies from month to month. This may be the most productive time. I know that some months the trees cannot produce any rubber. I also know that the trees are not cut when it rains because the rain water will dilute the rubber. I think I read somewhere that an average yearly yeild per rai in Southern Thailand is somewhere between 150 and 250 kg/rai/year.

I hope others find this information useful.

Share this post


Link to post
Share on other sites

Donx

Thanks for the infor. Those are the type of comments that I was hoping to get. Having a network of practical information is quite useful. We were hoping to move south in a year or two, Would be nice to talk to people like your self and see about starting a co-op. Where i came from in Canada it is quite common so as to take advantage of selling and buying opportunities. More production more leverage. Considering natural variances your figures compare favorably to mine. I think they are good working figures. Rain in the south takes a lot of productive days out the the harvest. In Brazil they use rain guards so that they can harvest when it is raining. My wife wasn't too interested in it so I didn't pursue. On of the internet sources talked about using chemicals to make the tree produce more rubber during a period. Thins in out so better flow. I think it is temporay and means you have more downtime. I don't think they were using anything as harsh as gas. Thanks for the informations

Share this post


Link to post
Share on other sites

Hello,

Is anyone farming rubber or Palm oil around Buriram ?, I was up there

at Christmas looking at land but found it really difficult to establish what

sort of yields people are getting. Are they likely to be similar to the yields

in the South ?.

Also what sort of price should you pay per rai for established rubber trees

say 7 years old. During my trip to issan it was difficult for me to get an

accurate idea, because everybody in the village I spoke to was a potential

land vendor and of course the inlaws were putting a positive spin on the

situation being potential beneficiaries if the land was purchased.

The reason I am looking at land in the area is because I want to give my

wifes family some sort of viable business so that they can support themselves

without having to come to us for handouts and also possible to generate a

little holiday / retirement income for ourselves in about 10-15 years.

My other question is does anyone in Issan use sustainable farming methods ?,

because I was a little concerned that the local answer to any agricultural problem

seems to be to throw ever increasing amounts of chemicals on the land.

I apologise if I am asking for too much information but as with a lot of things in

LOS the more I look into this the more confused I get.

Boomboy

Share this post


Link to post
Share on other sites

Boomboy,

The sites in Buriram will be quite a bit lower than that on the coast, unless you are on a mountain in a rainforest. production on a medium site down south would give some 2 kg or rubber per day per rai. Even this figure may change on the same site 30% from day to day. There aren't a lot of rubber producers that keep a spreadsheet on rubber production per day.

Prices in Chanburi sound like 35,000 to 50,000 per rai so sould be a lot less in Buriram. Check and see what government agencies there are and look for crop recommendations and site maps. A high site with flowers may be better than a low site with rubber. Just generalized comments.

Share this post


Link to post
Share on other sites

The US has put a priority on Bio-fuels which should see a lot of changes in the next few years in uses and adaptations. Should see a lot more uses for palm oil come out of this. The future looks good for palm oil. Doing some homework leads me to believe rubber is a better investment now.

Looking at the future is difficult, but with Thailand going more to bio-diesel and gasahol and the research happening in the States I wouldn't dig up my oil palm. Planting as in the past is a bit more of a guess.

A biodiesel powered Volkswagen Golf TDI is a leading participant in U.S. rally races this year. It is also a unique participant – rally cars are rarely diesel vehicles; RallyVW takes it a step further and is running their diesel racer on biodiesel.

Share this post


Link to post
Share on other sites

Hello everyone,

I actually bought 1800 young rubbertrees and going to plant them at the north of Udon Thani at the beginning of this raining season.

This time my wife and me were in Thailand some friend told us about a tree which is used by the perfume industry. The income must be amazing but you should take care of this plant very well. My problem now is, that I knew the name of this tree in Thai, but forgot it. So if anyone of you know it in English, I would be happy if you could write it to me, so I can do some more research in the net. The things I know are, that a Farm of the size of 40 Rai ist giving you a Revenue of 30.000.000 Baht after growin the trees 6 years. (Yes 30 Million Baht!!!!) And the Land still is yours after selling the Trees.

Please if anyone knows....let me know.

Hope for your Replies

Thanks!

Share this post


Link to post
Share on other sites

Sounds interesting. If you find out anything let us know. I will do some research with you. There was an article in the Bangkok Post a while back about something of that nature. I am an ex-professional forester so those things always interest me. If I find out anything will let you know.

My wife and her family have some resonable site land down south and I am sure it would grow anything.

Take care,

Share this post


Link to post
Share on other sites

Could it be Ylang-Ylang? Called kra-danga in Thai (Cananga Odorata)

Cananga Odorata.

It is a shrubby tree that produces the most deliciously scented flowers widely used in the perfume industry.

Share this post


Link to post
Share on other sites

Some information

This tall (60') tropical tree hails from the East Indies, although it is grown in many tropical countries all over the world. It is the source of ylang-ylang extract, which is a very penetrating smell. Used in soap, perfumery, aromatherapy. The 6-petalled flowers are difficult to see since they are a pale lime-green and tend to get overlooked. The green fruit is the shape of an acorn and, once ripe and purple, the seeds can be extracted. They look similar to passion-fruit seeds. The tree shape is interesting, the branches droop down and then swoop up at the ends.

If you want to become an expert

http://agroforestry.net/tti/Cananga-ylang-ylang.pdf

Share this post


Link to post
Share on other sites

Thanks for the responses!

But it is not the Ylang-Ylang. We have got some in our own garden.

It is a great smell.

The tree I mean, they are selling the wood (the trees core) to the perfume industry and not the flowers.

Any other ideas?

They told me it is very difficult to take care of this kind of tree. But for Thaipeople somethings are difficult that are easier for us Farang to do.

I asked my wife again, and she isnt sure about the name too. In Thai maybe "Mai ... hom" or something with "Mai chan gen". Really not sure anymore.

A danish friend of me is doing in rubber too. He told me he knows the tree, but cant remember the name anymore. Funny hu??

I know a German name of a kind of wood they use in the perfumery. It is "Sandelholz". Armani is using it in the "Armani Night"-fragrance. It dominates the smell of that perfume. I will try to do some research on this.

But I dont believe that it is this tree I am looking for.

Regards

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

×
×
  • Create New...