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Agarwood dilemma

Update: 2/2/2015

 

Agarwood inoculation provides opportunity for business for many. One US company was trying to sell kits to Lao famers for $100 US per kit, per tree. Clearly this is unreasonable and shows little understanding for the situation in Laos, where the annual per capita GDP at $3000 USD. The inoculation is a secret blend of chemicals, or sugars, or simple bacteria and fungi, which is then driven into the tree trunk. Those with plantations will buy or make inoculation kits to increase the value of their trees, of course. But whether the cost of the land, the seedlings (also a profitable side business,) the inoculation kits and the time involved, the years to grow and infect the trees, will pay, is another question.

agarwood dilemma

You would be forgiven for thinking otherwise. Browsing the internet, it’s easy to find agarwood “consultants” to help you in all areas of your plantation. Promised return on the investment is 7 years. This promise is common. The trees will grow, most probably. But even though they can be inoculated at just a couple of years of age, and even though they can technically be harvested at 3-7 years, the possibility of harvesting good agarwood to make Oud is slim. To make quality Oud, the trees should have a naturally occurring infection, not an inoculation. And most probably the trees will need to be much older, maybe 15-20 years. But the biggest obstacle is that how many of us are willing to wait.

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