Investing in Tropical Trees

Issues and Alternatives for Teak Investors

2011-09-17T14:10:00.006-05:00

Teak is the common name for the tropical tree and wood of Tectona grandis. This popular investment tree is native to south and southeast Asia, but is also planted as an introduced species in Africa, Central and South America. Teak is grown in plantation settings, because its fine wood has a large market and demand. The teak tree can be a very good investment, with high returns, but it may take as much as 30 years for plantation teak trees to be big enough to sell. The yellowish brown wood is used for fine furniture, outdoor furniture, boat decks and other articles, where weather endurance is required. The wood is mostly termite and insect resistant. Other popular uses include wooden bowls, cutting boards, arts and crafts, indoor flooring, veneers and finishing wood. There is an environmental concern, because of past reckless logging of old growth teak, though the majority of teak wood now comes from plantations.

The market for teak wood is always good, provided one is selling mature lumber from larger trees (25 to 30 years). The market for lumber from small teak trees is very limited (12 to 20 years) and does not fetch anywhere near the prices paid for large, mature logs and sawn lumber. Many firms offer investments in teak plantations, and some of them are reliable business partners. However, while teak is a high return commodity, it is not a quick return investment. This article will briefly address some of the issues that teak investors should consider, and contrast those considerations with other possibilities.

Teak trees need relatively good soil in which to grow. They do not do well in poor or infertile soils. If a planter can match the soil and rain conditions found in Burma (Myanmar), they will have excellent results. Similar conditions are known to exist in Costa Rica, Panama and parts of Colombia. The downside of this fact is that other, faster growing trees or crops can be grown in places set aside for teak trees, which sometimes puts pressure on teak plantations that require many years to produce mature trees. It is not uncommon for teak plantation owners to cut down their immature teak trees to make way for other agricultural or housing projects that offer a quicker cash flow solution to the land owner.

Tectona grandis does not provide any other cash flow while it is growing. There is a limited use of the leaves in south India and Indonesia as a wrap for steamed preparations, but that is of no commercial value. Many other species of tropical trees have fruits, nuts, honey or resins that can be sold while the trees are growing. Experience in Central America has shown that teak is not that environmentally friendly in regions where it is an introduced species. A common observation by visitors to teak plantations in the Americas is that they are devoid of bird, animal or insect life. Additional issues are the fact that teak trees need good soils that could be used for food production, and the fact that teak is generally planted in monocultures due to the high cost of good land.

From an investment perspective the long time to maturity required by teak trees needs to be considered when investing in their cultivation. Best intentions do not resolve practical problems. For example, will the planter with whom one invested still be alive in 25 to 30 years? Does the company operating the plantation have a continuity plan which the investor can trust? What happens to the trees in the event of a bankruptcy or other form of liquidation? What happens if land prices increase exponentially mid-way through the growth cycle, putting pressure on the land owner? Even if the trees are somehow protected, who will see to future fertilizations, pruning, culling, fire breaks and other maintenance if the original company or plantation owner is no longer active?

It is also worth thinking in terms of insurance. The longer the growth period for a tree, the more exposure one has to potential natural disasters like fire, pests, floods, droughts or diseases. This risk factor is obviously much smaller with fast-growing tree species that mature in 10 years versus 30 years. As a teak investor one should definitely inquire as to a company’s or plantation owner’s Plan B or insurance. For example, Amazonia Reforestation in Colombia, which does not cultivate teak, has a self-insurance plan that involves planting twice the number of tropical trees for which it has financial obligations, as well as planting a variety of species to reduce risks.

This does not mean one should not invest in teak, but rather that it is important to do so with open eyes and a full understanding of the long time commitment required by successful teak plantations. Diversifying so that one has holdings in other, faster growing tropical tree species, as well as teak, makes a lot of sense. Teak is not the only game in town, so having a tropical tree investment strategy that includes other species is a good thing. Teak investments are usually more costly than other tree species, because of the long maintenance period involved, but the payoff is not something one will regret. As with other tropical tree species, it is correct to say that teak trees can be low to medium risk but high return.

Caribbean Pine – a profitable plantation tree!

2011-07-01T13:04:00.002-05:00

This year Amazonia Reforestation planted 50 hectares or 124 acres of Caribbean Pine or Pinus caribaea, a member of the Pinaceae family. The tree grows well in areas from sea level to 700 m or 2,300 feet, with ample rainfall between 2000 to 3000 mm (78 to 118 inches) per annum. Since Amazonia Reforestation works in the Orinoco River basin of Vichada, Colombia, it meets those criteria readily, as its plantations average 60 m (197 feet) above sea level with annual rainfall around 2,400 mm (95 inches). Pinus caribaea likes sandy, well drained soils with some gravel content, tolerates pH between 5.0 to 5.5 and temperatures ranging from 25 to 38 degrees centigrade (77 to 100 Fahrenheit), all normal conditions in Vichada.

In some ways Pinus caribaea resembles pines with which people from North America or Europe may be familiar, such as evergreen needles and cones. However, that is where the similarity ends, as Caribbean Pine is a fast growing (15 to 20 years to maturity) softwood tree with wood that is harder than many varieties of maple. This tropical tree has a mostly well-formed and straight trunk that culminates in a pyramidal crown at its top. The tree grows to be 30 to 35 meters (98 to 115 feet) in height, with a trunk that measures from 50 to 100 cm (20 to 40 inches) in diameter, depending on local conditions. The basic density of Pinus caribaea is expressed as being 586 kilograms per cubic meter of green volume, but with a natural hardness that makes the tree suitable for flooring and other uses. The heartwood is considered termite resistant. These factors have made Caribbean Pine a popular plantation species, with an attractive grain, that is profitable, sequesters carbon, and is internationally recognized.

Amazonia Reforestation uses certified seeds from Venezuela, where Caribbean Pine is grown in similar conditions to Vichada. Seeds from Honduras and Guatemala have proven not to be suitable for use in the Orinoco River basin, probably because of their origin in higher, cooler elevations. Trees have both male and female flowers and cones, though some trees may be only male or female. Seed germination is usually easy in managed conditions. Local conditions in Vichada have led Amazonia Reforestation to employ a slightly different process in its tree nurseries, with seedlings being exposed to full sunlight to minimize future shock when transplanted to the field. Soil preparation is as usual important, with plowing to a depth of 75 cm (30 inches) and fertilization using special forestry mixes containing nitrogen. Seedlings are planted in the field when they are only 8 to 10 cm (3 to 4 inches) tall, but this allows the seedling to quickly strike deep roots for better and faster future growth. Seedlings that are planted when they are 20 cm (6 to 8 inches) or taller often have problems, because their roots will start to grow upwards inside the planting bag, causing failure once they are in the field. Planting occurs in grids with trees spaced 2.8 to 3 meters (9 to 10 feet) apart.

Revenue can be generated early (15 years) when the trees are sold for pulpwood, thanks to the wood’s long tracheids. Besides paper, the pulp can be used for fiberboard, particleboard and chipboard. Opinions differ on its usefulness for furniture, but the fact is that toys, moldings, floor boards and other uses are common. The wood has a high resin content, which may affect gluing and finishing, but on the plus side the trees can be tapped from age 10 years on, with daily harvests of oleoresins, used for turpentine and gum. The oil also finds use in medicinal applications, and the pine nuts are a popular food source in many countries. On the service side, Pinus caribaea has proven itself invaluable for clothing heavily eroded lands containing acidic soils with a tree cover. As with many plantation species, Caribbean Pine is a valuable tropical tree popular with wood growers and profitable for plantation investors.

10 Reasons Why Planting Tropical Trees is a Good Investment

2011-05-02T16:26:00.001-05:00

1. For lumber. Most people realize that if plantation wood is not available, then lumber will be cut from existing natural rain forest. It is worth repeating that it is better to have one’s coffee table made out of plantation wood, and not out of old growth tropical forest.

2. For profit. If afforestation and reforestation projects are not profitable, they are not financially sustainable. The fuzzy logic of many NGO’s on this issue is proven wrong by the reality on the ground. Humans need lumber resources for furniture, construction, boat building, farming, renewable energy and numerous other applications. Simply planting trees and then expecting them not to face the same problems forests have faced in the past is ridiculous. This means that profitable plantations can become the buffer that allows natural reserves and parks to protect biodiversity and natural forests. Profit is also boosted by demand, as humans give rabbits a run for procreativity. Don’t believe it? China now has more than 1.3 billion people, with India snapping at China’s heels, and with all of those people needing building materials, furniture, wood products, paper and fuel.

3. For biodiversity. Green companies like Amazonia Reforestation have programs to collect seeds and propagate native tree species that have been recklessly logged in the past. This is a challenging and expensive process, as there is often little information on germination, planting times, or even when or how to collect seeds. Propagation is challenged by the preference of many tropical trees to grow in social settings, in low-lying areas, or in areas subject to inundation. These factors make soil preparation, fertilization and forest management difficult. The founders of Amazonia Reforestation, members of the IUCN`s World Commission on Protected Areas, have created a natural reserve for this purpose, as an additional means of preserving biodiversity, and to inspire others to follow their lead.

4. For expanded wildlife habitat. Many animals are niche specific. This means that if native tree species are decimated, it has a direct impact on biodiversity and on the survival of many species of wildlife. By planting native tree species, responsible companies can expand wildlife habitat, while still providing lumber resources for human use. Amazonia Reforestation does this in both its natural reserve and in its plantation areas.

5. For carbon sequestration. It is scientific fact that tropical trees are very effective at carbon sequestration. Each fast growing tropical plantation tree sequesters as much as 50 lbs or 22.6 kg of carbon a year. Well over 50% of their woody biomass is carbon. Planting tropical trees is a major method of dealing with atmospheric carbon, which has gone from 350 ppm in 1985 to 393 ppm in April 2011 (Mauna Loa Observatory, Hawaii). CO2 Tropical Trees promotes that fast growing tropical trees are most effective at carbon sequestration within the first 10 years of their lives, a fact that jives well with human lumber requirements, leaving the carbon trapped in the wood for decades after harvest.

6. For cloud seeding. The natural process of transpiration by forests creates cloud in the atmosphere that in turn bounces solar rays back into space, thereby cooling the Earth. Deforestation causes the opposite effect, including desertification of the planet and a hotter climate. An investment in tropical trees therefore offers up a double whammy against climate change and global warming thanks to cloud seeding and carbon capture.

7. For land reclamation. Many plantation species do well in infertile tropical soils, fixing nitrogen and depositing carbon in the soil, building up the soil so that after a harvest other more exotic and delicate species can be planted. Tropical tree planters like Amazonia Reforestation and CO2 Tropical Trees choose Acacia mangium, Azadirachta indica (Neem) and other legume family trees for nitrogen fixing, Eucalyptus pellita for water retention and wind breaks, Pinus caribaea, Caraipa llanorum (Saladillo) and Anacardium occidentale (cashew ) for acidic soils, to name a few. All of these tropical trees are planted with the long term goal of building up the soil, removing pollutants from the air, preventing erosion and allowing improved use of the soil in the future.

8. For socio-economic development. Tropical trees provide local communities with more than just some jobs in the lumber industry. They also allow for the creation of spin-off industries in developing countries, including apiculture, tannins and dyes, insecticides and fungicides, repellents and toxins, fruits and nuts, medicinal and naturopathic products, arts and crafts, foods and liquors, gums and adhesives, resins and varnishes, latex and oils, boat building and musical instruments, eco-tourism and adventure tourism, fuel and charcoal, animal fodder and protection, as well as agroforestry, permaculture and analog forestry opportunities. More people around the globe with disposable incomes helps to increase demand for tropical hardwoods.

9. For renewable energy. Many countries now require that power generation involve a significant percentage of alternative energy. Solar, wind and water energy are not always practical or available. That leaves biomass as an additional option. Biomass can be almost carbon neutral, as it only releases what it absorbed from the atmosphere in the first place, which is better than the steady addition of atmospheric CO2 caused by hydrocarbons like petroleum and coal. Many fast growing plantation species have high calorific values, which when compressed into wood pellets and similar products can rival coal for kcal (kilocalorie) output.

10. For afforestation and reforestation. At present, people worldwide are only planting 10% of the trees we are harvesting, burning or removing on an annual basis. This is clearly not sustainable, as evidenced by climate change, desertification and loss of biodiversity. This in turn has a direct impact on the human spirit, on our health and on the survival of our planet. Green investors plant trees for a better world and because it is low risk but high return.

Good Plantation Management Issues

2011-03-29T18:12:00.000-05:00

Amazonia Reforestation and CO2 Tropical Trees have had 3 excellent years of tree planting, with 2011 promising to be even more exciting and rewarding. The tropical trees we have planted to date are doing extremely well. We have lost significantly less than 1% of the trees we have planted, thanks to good forest management practices. At present we have some 300,000 trees in the ground and we are planting 425,000 more trees this year (340 hectares or 815 acres). That means that as of August 2011 we will have over $50 million dollars’ worth of fast-growing tropical hardwood trees growing in our plantations.

Some people think that planting trees simply involves sticking them in the ground and they will grow, without more. Many are astonished to learn that it costs approximately $1 million dollars to plant 1,000 hectares (2,470 acres) of tropical trees properly. The reality is that there are a lot of steps that need to be taken for success. This article sets out 10 of the early steps we take at Amazonia Reforestation:

One needs to have a good source of seeds. Seeds with bad genetics or seeds taken from the wrong climate will often not grow or produce poor results and gimped trees.
The tree nursery needs to be professionally managed. Planting bags that are not stuffed firmly with soil allow too much air around the roots of the seedling, causing the roots to dry out or the soil to fall away when the seedlings are planted. Due to the hot climate we need to provide shade for the seedlings, with just enough light for good photo-synthesis. Our irrigation system needs to spread a fine mist of water vapor so as to not harm many of the seedlings, while they set roots. The tree nursery needs to be fenced to stop wildlife from munching on the tender little seedlings. There is much more to say about nurseries, but that is for another day.
Good soil preparation is extremely important. We plough the soil to a depth of 75 cm and sometimes as deep as 90 cm, depending on the species. That is because tropical trees set deep roots in the soil. Good soil preparation allows the trees to grow faster, because then they are not struggling to break through compacted soil. Deep roots prevent losses due to high winds or wet swampy soil.
Most tropical soils are infertile, which means we need to provide the trees with proper nutrition if we want fast and good results. At La Pedregoza we use a special mix of forestry fertilizer that contains nothing but elements, no chemicals and no inert matter. This allows the trees to grow quickly, after which they become self-sufficient using photo-synthesis, carbon capture and recycling to grow. Virtually all rain forest trees are perfect recycling systems, which is why soils in Amazon deforestation areas are often poor after the trees are removed.
Our fertilizer mix also contains calcium or lime. The tree doesn't need the lime directly, but it is required in order to balance the PH levels of tropical soils, which are often acidic due to thousands of years of pounding tropical rains, that leach the soil, leaving it acidic. The lime also softens the soil, which might otherwise bake into a cement-like hardness, allowing the roots of the seedling to quickly spread in the soil. Most tropical trees prefer a balanced PH soil.
The tropical trees we plant are known to be good for land reclamation projects, because they can survive in poor or infertile soils. In fact, because of their ability to fix nitrogen and carbon in the soil, they allow us to improve the soil in the first cycle of planting, so that we can plant more demanding and sensitive tree species in the second planting cycle. This means that harvesting plantation species allows us to plant native tree species for better bio-diversity in the future.
Forest planting has to occur in mid-rainy season. If we plant too early the seedlings might get swamped and drown. If we plant too late, they may not be able to build up sufficient water reserves to survive the dry season. Tree planting in mid-rainy season means that we become a large employer of temporary workers, who do nothing but plant trees for a solid month. Usually we employ our workers for 4 months, from nursery through soil preparation to planting and clean-up. Tree planting is an important source of socio-economic development in the region.
We establish good fire breaks all around and throughout the plantation. This prevents grass fires and forest fires from damaging the new trees or from spreading. Once the trees become more than 3 years of age most of them act as natural fire breaks against grass fires, because hardwood trees do not burn as easily as softwood trees.
La Pedregoza usually does 3 fertilizations of the trees, one when planting, another in 12 months and the final one at 24 months. The fertilizer is mixed into the soil so that it goes to the roots when it rains and is not washed off by the rain. Surface fertilization does not work. This is more labor intensive, but well worth the results.
Fast growing tropical trees reach a peek at about 24 months of age, after which they continue to grow more slowly as they build up biomass in the tree trunk. This is the point at which some species require pruning for better wood quality, or where they have bifurcated trunks that may retard their overall growth. This is also the point at which the trees start to provide enough shade so that there is no longer any undergrowth, reducing fire risk and creating a tropical forest canopy effect that in turn helps to cool the Earth.

Edmonton Family Saves Rainforest article in Edmonton Journal

2011-01-31T11:22:00.000-06:00

Amazonia Reforestation and the Reserva Natural La Pedregoza were reported in the Edmonton Journal today, January 31, 2011, and appeared in their on-line edition as front page news. Here is a link to the article:
http://www.edmontonjournal.com/news/Edmonton+family+saving+part+Amazon+rainforest/4193648/story.html

The Edmonton Journal article also includes some pictures. The article quotes Dexter Dombro, Kochurani Dombro, Dilmun Dombro and Fernando Trujillo of the Omacha Foundation.

Dexter Dombro with just planted Acacia mangium.

Canadian Family Creates Natural Reserve in Colombia

2011-01-24T18:15:00.001-06:00

January 24, 2011 Press Release

Bogotá - Three members of a Canadian family from Edmonton have successfully created a natural reserve in the Orinoco River basin of Colombia. The reserve, known in Spanish as the Reserva Natural La Pedregoza, is located some 57 km from the Orinoco port city of Puerto Carreño in the eastern Colombian department or state of Vichada. The reserve is some 10 square kilometers in size and features 3 old growth inundation and gallery forests along the banks of the Rio el Bita river.

Dexter Dombro , a former Alberta lawyer, his wife Dr. Kochurani Dombro , an Edmonton dentist, and their eldest son Dilmun Dombro , a science student, have been engaged for the past 3 years in tropical tree afforestation and reforestation efforts in the Orinoco River basin of Colombia. “When the opportunity presented itself to conserve and protect this very special area, we put our money where our mouths are!” said Dexter Dombro, “It seemed completely self-evident that this was the right thing to do.”

Colombian law allows private people to acquire land and to then apply to have it declared a protected area. The Colombian agency entrusted with this is called Resnatur. Resnatur has formally accredited the Reserva Natural La Pedregoza as a member of the Colombian Network Association of Civil Society Natural Reserves (Asociación Red Colombiano de Reservas Naturales de la Sociedad Civil). Lourdes Peñuela Recio, V.P. of the Green Horizon Foundation (Fundación Horizonte Verde) of Colombia has welcomed this natural reserve among protected areas in what is called the Orinoco node.

The main objective of the Reserva Natural La Pedregoza is the conservation and preservation of Orinoco River basin flora and fauna. Colombia is estimated to have up to 8% of the planet’s biodiversity within its borders, making it hugely important. The natural reserve helps protect that biodiversity with three key programs: 1. the collection, germination and propagation of native tree species, many of which were recklessly logged in the past, 2. a dedicated large river turtle rescue effort with an endangered river turtle egg hatchery and release program, and 3. the construction of an Interpretive Centre to educate locals and international visitors alike on the importance of the inundation and gallery forests in the Orinoco River basin.

Fernando Trujillo, Ph.D., managing director of the renowned Omacha Foundation (Fundación Omacha), stated: “La Pedregoza is important, because it adds to the protected corridor for endangered wildlife travelling to and from the El Tuparro National Park (Parque Nacional Natural El Tuparro). In addition, their native tree program will help expand habitat for endangered wildlife.” Dr. Debra Davidson of the University of Alberta’s Faculty of Agricultural, Life and Environmental Sciences has visited Reserva Natural La Pedregoza and was one of the instigators for the U of A to sign a Memorandum of Understanding (MOU) with the Dombro family for U of A researchers to use the natural reserve as a research area.

Jatropha curcas – Part 2: 101 Reasons for Planting

2011-01-05T09:21:00.000-06:00

Plantation owners often make lists of the benefits, uses and advantages of planting certain species of tropical trees. More often than not the list of benefits vastly exceeds the perceived negatives. It is with that in mind that this list of Jatropha curcas benefits and uses has been adapted from a Brazilian plantation by Amazonia Reforestation in Colombia, together with the addition of some extra comments. This is a typical example of why tropical trees hold such promise. Hopefully it will address some of the questions people may have about adopting this tree for large scale biodiesel and renewable energy production.

Jatropha curcas is a perennial plant, meaning that it can live for many decades and does not need to be replanted on an annual basis. This makes for economic efficiency.
This tree can survive in infertile and marginal soils and can be used for land reclamation, including in near desert-like conditions, while improving soil fertility. This means that Jatropha curcas survives in soils that are not suited to food production.
In contrast to African oil palms, Jatropha curcas is a social plant that does well with other species, making it suitable for agroforestry, analog forestry and permaculture cultivation, without affecting its own oil production.
The tree will grow in hard conditions, making it useful as a rural hedge or boundary plant.
Due to its size, it is easy to harvest the fruits and seeds of Jatropha curcas.
Cultivation of this tree requires only low-skill labour, making it ideal for creating employment in developing countries.
The maintenance of Jatropha curcas cultivations is relatively simple and is not labour intensive.
The employment created by Jatropha curcas retains labour in rural areas, so that people do not migrate to the slums of big cities.
The primary product from Jatropha curcas is oil ideally suited to bio-diesel production, at a fraction of the cost of diesel fuel from non-renewable sources.
The mulch or cake left over after oil extraction from the fruits is rich in nitrogen, phosphorus and potassium, making it an excellent fertilizer.
The mulch or cake can be readily used as compost and substratum.
The mulch or cake can also be placed in bio-digestion tanks, producing a gas that can be used to generate heat or electricity.
Planting Jatropha curcas can reclaim and upgrade degraded soils.
The first harvest of oil seed fruits can occur as early as 180 days after planting.
Jatropha curcas is highly resistant to plagues, diseases, pests and fungi, eliminating the need for costly pesticides and the environmental problems they entail.
Harvest times in dry areas can be regulated by having a fixed irrigation schedule for the trees.
Because of its deep roots, irrigation need only occur once every 20 or so days in a managed setting, though that is not relevant in areas with high rainfall.
Six months after planting, Jatropha curcas becomes resistant to attacks by ants and termites.
The tree can be co-planted by market garden operations for pest control.
It will grow in mixed plantations with popular Syringa trees (Melia azedarach), a mahogany family tree that is often toxic to other species.
Jatropha curcas does not require the clearing of other species in order to be cultivated.
Jatropha curcas cultivation does not compete with plants cultivated for food production.
The cost of its oil on a per gallon basis is less than the price of petroleum oil.
The tree grows rapidly and vigorously, but does not exceed 6 meters in height.
This tree can produce even larger harvests in more fertile soils.
Jatropha curcas is an excellent cash flow generator for small farmers and rural land dwellers.
The oil from Jatropha curcas can be used as an organic pesticide when sprayed on other cultivations.
The oil from Jatropha curcas has been successfully used to combat the horn fly (Haematobia irritans), a serious livestock pest.
The tree can be easily planted in areas where mechanical cultivation is difficult or impossible.
There is no requirement for agricultural equipment in order to cultivate Jatropha curcas, making it very affordable for socio-economic development projects.
The tree produces an average of 5,000 seeds per hectare (2.47 acres).
Average oil production by Jatropha curcas is 1,650 liters per hectare (435 gallons).
This tree also produces some 3,200 kg (7,040 lbs) per hectare of mulch or cake from the fruits and the seed residue after oil extraction.
The bulk oil of the Jatropha curcas tree can render over 94% esters, a chemical compound used by industry in numerous processes.
This tree can be effective for erosion control, because of its deep roots, quick growth and minimal requirements.
Planting Jatropha curcas helps to stop desertification of the planet in poor and marginal soil zones.
Jatropha curcas can tolerate brackish water, an important planting issue in many marginal areas.
The oil of this tree can be used in the manufacture of stains, tints and varnishes.
The tree’s oil can be used as a purgative or contraceptive remedy, though caution is in order due to its highly toxic nature.
Jatropha curcas will kill a toxic weed known as Tiririca (Cyperus rotundus), which kills other plants around it.
The gas produced from the anaerobic fermentation of Jatropha curcas is a recognized source of heat.
The methane gas produced by the mulch or cake can be used to operate electrical generating equipment.
Jatropha curcas oil transformed into bio-diesel is 80% less contaminating than petro-chemical diesel.
Bio-diesel made with Jatropha curcas oil does not contain any sulphur.
Bio-diesel from this tree is ecologically sound and carbon neutral.
The cultivation of Jatropha curcas is not known to affect any other type of cultivation.
This tree can be easily included in gardens, acreages and small homesteads, without large space requirements.
Every Jatropha curcas tree that is planted can sequester some 8 kg (17.6 lbs) of carbon per year. In a commercial cultivation plants may be 2 meters X 2 meters apart, for 2,500 plants per hectare (2.47 acres). This means that a typical plantation would be able to sequester 20,000 kg (44,100 lbs) of carbon per year per hectare. This makes the tree of interest to CO2 Tropical Trees.
The oil can be used to make soaps and detergents.
The oil can be used as fuel in oil lamps and kerosene lanterns.
The oil does not smoke when burnt in oil lamps, improving the quality of life for rural dwellers.
When planted at 20 cm intervals (7.5 inches) Jatropha curcas makes an excellent fence for a pig corral or sty.
The trees can serve as a windbreak.
The trees can be planted as hedges or fences, eliminating the need for barbed wire. Cattle won’t eat Jatropha curcas because they know it is toxic.
Birds will not eat the seeds, so there are no losses before harvest.
Wildlife will not eat the seeds, so there are no losses before harvest.
Jatropha curcas will happily co-exist with Mamona shrubs (Ricinus communis), another plant with toxic oil seeds planted in developing countries.
Jatropha curcas will happily co-exist with Lead trees (Leucaena family), popular for firewood, charcoal, fodder and other uses in developing countries.
Jatropha curcas will happily co-exist with Moringa trees (Moringa oleifera), important food and medicinal trees in developing countries.
Jatropha curcas will happily co-exist with Sisal plants (Agave sisalana), important providers of rope, twine and other products used in developing countries.
Folk wisdom has it that planting this tree on the left hand side of the door protects the inhabitants against the evil eye.
The shells around the oil seeds can serve as animal feed, as they are not toxic.
The shells around the oil seeds can be burnt in small boilers or heaters as a heat source.
A tea made from the leaves of Jatropha curcas has been used to fight the effects of malaria in developing countries.
The tree can be propagated using cuttings instead of seeds.
This tree produces fruits in less than a year, making for frequent harvests.
Jatropha curcas does not mind being pruned.
The Jatropha curcas tree flowers between 3 to 5 times per year.
There is a bifurcation of shoots on the tree after every flowering, so that branches stay healthy and productive.
Beehives can be established next to the Jatropha curcas cultivation.
Every hectare of Jatropha curcas will render 20 to 40 kg (44 to 88 lbs) of honey per year.
Keeping bees in the proximity of a Jatropha curcas cultivation increases oil production thanks to the bees’ pollination efforts.
Cash flow improves with honey sales from frequently flowering Jatropha curcas trees.
Jatropha curcas can be planted with goats present, as the goats will leave the trees alone.
Honey from Jatropha curcas cultivations is believed to have medicinal properties, upping its value.
The albumen or seed protein of this tree contains starch which can be used to produce alcohol.
The fallen leaves and twigs of the Jatropha curcas serve as useful ground cover against erosion and for retaining moisture.
As fallen leaves and twigs decompose they turn into rich organic material that improves soil quality.
The pruned branches and twigs of the Jatropha curcas tree can be converted into cellulose.
The branches, once chipped, can be used to produce methane gas.
Jatropha curcas oil sprayed in apple orchards as an organic pesticide gets rid of fruit flies.
This tree can be planted in the vast marginal and infertile areas of Colombia’s llanos orientales (eastern plains), in over 90% of Brazil, and in large areas of Argentina, without affecting food production or other species of trees and plants. The plantations of Amazonia Reforestation are located in the llanos orientales of Colombia.
Jatropha curcas thrives in hot climates, yet requires little humidity.
This tree’s sap has been used as a remedy for cuts and injuries.
It is considered a heliophile tree, in other words it can withstand large amounts of sunlight and does not require shade.
Jatropha curcas is not an invasive species, and can easily be controlled.
Diesel from non-renewable petroleum is more expensive than Jatropha curcas oil.
This tree can be an important element in any renewable energy project, and has proven energy potential and uses.
Some have suggested that Jatropha curcas could be the real herald of the agro-energy movement.
Jatropha curcas can grow along side of Pejibaye or Chantaduro Palms (Bactris gasipaes), an important food source in Latin America.
Jatropha curcas does well along side of the American Oil Palm or Palmera Real (Attalea butyracea), traditionally very important as a source of roofing and construction materials in Latin America.
The Jussara Palm (Euterpe edulis) can grow along side of Jatropha curcas without problems. This palm is important for its fruits and for its heart of palm, a popular food in Latin America.
Jatropha curcas can grow along side of dairy operations, as milk cows will leave the tree alone.
Jatropha curcas can be grown as a garden plant close to homes, where it also has an insect repellent effect.
A single worker or farmer can manage 15 hectares (37 acres) of Jatropha curcas.
Planting Jatropha curcas requires only a small investment in seeds and fertilizer.
In Brazil, Jatropha curcas is cultivated along side of the Acai Palm (Euterpe oleracea), famous for its berries.
Despite its short size, the tree is considered by some to be proud and elegant, adding aesthetic value when planted.
Jatropha curcas is a non-food bio-diesel crop, so it does not take food crops away from people.
Oil can be extracted from Jatropha curcas seeds using simple, hand operated equipment compatible with socio-economic development goals in poor countries.
Air New Zealand flew a successful test flight with a Boeing 747 running one of its four Rolls-Royce engines on a 50/50 blend of Jatropha curcas oil and jet fuel. Houston based Continental Airlines and Japan Air have also run successful tests, so besides bio-diesel this tree has an aviation future.

Jatropha curcas – Part 1: A profitable solution for pool soils

2010-11-28T15:32:00.000-06:00

One of the biggest complaints about growing crops for biodiesel or fuel is that they take away from arable land needed to grow crops for food. However, there are numerous places in tropical and desert zones where the soil is for all practical purposes infertile and unsuitable for growing food crops. This is where Jatropha curcas steps into the picture. This tropical tree is tolerant of very poor soils, gravels, sand and salinity, producing large amounts of oil suitable for biodiesel, while serving to reclaim and improve the poor soil in which it was planted. It also offers the attraction of producing cash renewable energy crops in a short time frame, with a long perennial life span and the promise of socio-economic development opportunities in developing countries. The point this part 1 article wishes to make is that investing in tropical trees is not limited to just lumber profits. Part 2 will be a list of some of the numerous and profitable benefits of growing Jatropha curcas in tropical and semi-tropical locations.

Jatropha curcas grows as a small tree reaching heights of 6 meters or 20 feet. While the tree is known to live for up to 100 years, its productive span for oil production is considered to be between 30 to 40 years. As mentioned it is resistant to aridity, but starts to thrive with as little as 250 mm or 10 inches of annual rainfall. The more rain, the larger the oil crop will be. The oil seeds are encased in an outer fruit that makes excellent fertilizer rich in nitrogen, phosphorus and potassium. Fruit production starts within 9 months of planting, but best yields start to occur in the 2nd or 3rd year after planting. The yield is amazing: measured on a per hectare basis (2.47 acres) the plantation owner can anticipate average yields of 5000 kilos (5 metric tons) of oil seeds, rendering on average 1,650 kg (1.65 metric tons) of oil and 3,200 kg (3.2 metric tons) of compostable fertilizer. The tree can be propagated both by seed and by cuttings, and the plantation looks for good branching or ramification, as that increases seed yield.

Depending on rainfall, the seeds will render between 27 to 40% oil that can be easily processed to produce biodiesel for standard diesel engines. The oil cannot be used for human consumption, because the oil and the fruits are highly poisonous, containing both HCN (Hydrogen cyanide or Prussic acid) and toxalbumin curcin, a compound similar to Ricin. However, this is not a bad thing, because it makes Jatropha curcas trees resistant to all sorts of pests and fungi. The said compounds are also a very valuable precursor for pharmaceutical and polymer production. Jatropha curcas is a social tree and can be planted with other trees and plants, in which case it will act like a natural repellent, protecting its neighbours. Seed extraction is low tech, requiring the use of a nut shelling machine or mill and then the use of an oil press, providing employment to local people. Some combustion engines can be modified to use the oil directly, or the oil can be transesterified into biodiesel, which is also a simple and relatively cheap process.

At Amazonia Reforestation we are planting Jatropha curcas as part of our 2011 cultivation schedule. The idea is to make our entire operation energy independent (tractors, trucks, generators) using renewable energy, while creating economic opportunities for local workers. Doing this also fits in with our CO2 Tropical Trees program, as renewable energies like biodiesel and wood pellets can be considered carbon neutral, especially when processed on site.The carbon released is equal to the carbon absorbed by these amazing tropical trees and their oil seeds.

Why Plant Tropical Trees?

2010-10-26T12:16:00.001-05:00

Many people have probably never given much thought to why one would plant tropical trees, or any tree for that matter. A recent blog comment asked “Why plant trees? Is it just for carbon sequestration?” Before answering, it seems like a good idea to point out that this blog is about tropical trees for a reason. Their amazing diversity and therefore their wonderful and numerous uses not only answer the question with an endless list, but once again emphasize why tropical trees are such a profitable green investment. This article is a summary of some of the 25 principle reasons for planting and using tropical trees, with no effort being made to distinguish between plantation and native tree species. No doubt many other uses and reasons exist. Let’s review the 25 most common reasons.

1. Lumber: Tropical trees are an important source of the world’s hardwood supply. Hardwood trees are used in everything from fine furniture to building materials and from pulp and paper to renewable energy and firewood. World demand for tropical hardwood increases year after year. We plant tropical trees because it is better to have our coffee tables made with plantation wood, as opposed to natural rain forest wood.

2. Construction: It may seem strange to separate this from the general description of lumber, but people plant tropical trees for a range of applications, from flooring to cement boards, from plywood to roofing materials. Ironwood species like Congrio (Acosmium nitens) are used for utility and telephone poles, railway ties and heavy construction. Some of these hardwoods can be left untreated in the ground for decades without suffering from insect, fungus or moisture damage.

3. Musical Instruments: Many of our favourite musical instruments would not sound the same if we didn’t have tropical trees planted to provide the exotic woods used in their manufacture. Have you ever given thanks for ebony (Diospyros dendro and ebenum) piano keys or purpleheart (Peltogyne purpurea) guitar frets, or Brazilian Biriba wood (Rollinia mucosa) for berimbau sticks and Jacaranda wood (Jacaranda brasiliana) for atabaque drums?

4. Boat Building: Tropical trees have been essential for boat and ship building since before recorded history. Numerous species are excellent for their durability in water, their flexibility when being bent to shape a hull, or for their properties as canoes or dugouts. Teak is a well know ship and yacht building wood in Asia, but consider that where Amazonia Reforestation plants tropical trees in the Orinoco River basin there are 14 acknowledged boat building species, like Algarrobo (Hymenaea courbaril), Ceiba (Ceiba pentandra) and Sassafras (Ocotea cymbarum).

5. Carbon Sequestration: Tropical trees are the most efficient trees on the planet at removing CO2 from the atmosphere, especially in the first 10 years of their lives. CO2 isn’t just absorbed into their woody biomass, but is also deposited into the soil along their roots and due to deadfall around the tree. The average tropical tree planted by CO2 Tropical Trees sequesters as much as 50 lbs or 22.6 kg of carbon a year, compared to the best boreal tree at 2.2lbs or 1 kg a year.

6. Medicine: Some 7,000 commercial medicines currently in everyday use are based on tropical trees and the flora that depends on them. Science and researchers have barely scratched the surface, with new compounds and new cures originating from the rain forest all the time. Many indigenous people and naturopathic medicines like Ayurveda place great reliance on tropical trees for cures and treatments. Planting beneficial species is a no-brainer. At the Reserva Natural La Pedregoza in the Orinoco River basin they have 73 tropical tree species with known medicial properties.

7. Land Reclamation: A large number of tropical trees have proven themselves ideal for reclaiming old mine sites, for preventing erosion and landslides, or for stopping desertification. The trees rebuild top soil destroyed by mining or that was lost due to extreme erosion. Many tropical trees are good at nitrogen-fixing in the soil. Some of those same trees are able to absorb pollutants other than carbon from the atmosphere and from the soil, such as heavy metals like lead and mercury. Acacia mangium has a proud history of being planted for land reclamation purposes.

8. Soil Improvement: Some tropical trees can be planted to improve soils that are otherwise infertile, thanks to the ability of leguminous tropical trees to fix nitrogen and carbon in the soil. Many areas that have suffered from bad deforestation or mining in the past can be made productive again using careful species selection and permaculture or analog forestry processes. Better soil allows for a wider variety of tree species to be planted in future cultivation cycles. At Amazonia Reforestation Acacia mangium is planted for its recognized nitrogen-fixing capacity.

9. Infertile Soils: It may seem ironic, but many rain forests are perfect recyclers, and therefore do not need to rely on the soil. They get their energy from the air, the sun and their own deadfall. This means that many tropical tree species can be planted in rocks or sand, and with a little help can start a forest in what might otherwise seem like hopeless locations and conditions.

10. Wind Breaks: Fast growing tropical trees can be planted to prevent erosion or crop damage due to wind. Tropical trees set deep roots, so they can be very effective quickly. Eucalyptus pellita and other Eucalypts are often used to establish rapid wind breaks.

11. Fire Breaks: Numerous tropical tree species can act as a natural fire break. Due to the canopy effect there is little under growth that can burn, and because of the nature of hardwood trees areas planted with tropical trees are hard to ignite. Savanna wild fires will often peter out and die when they hit areas planted with tropical trees, while damage due to lighting strikes will be confined to one or two tropical trees hit directly inside a planted area. Two examples are Saladillo Rojo (Caraipa llanorum) or Moriche palms (Mauritia flexuosa).

12. Flood Resistant: People are often not sure what to do with low lying areas prone to flooding. Lots of tropical trees species will happily grow in very moist or flood conditions. Riparian and inundation forest species can survive in flood conditions for months on end. This means low lying areas can be productive for lumber, fruits or wildlife habitat once planted with appropriate tropical tree species. In the Orinoco River basin species like Congrio (Acosmium nitens), Saladillo Rojo (Caraipa llanorum), Saladillo Blanco (Vochysia lehmanii), Sassafras (Ocotea cymbarum) and many others thrive in very wet or flooded soils.

13. Wildlife: Tropical trees expand endangered wildlife habitat, providing food and shelter. This is especially true when native trees are planted, as many fauna species are niche dependent. Tropical trees are an important element in the conservation of biodiversity and the preservation of our natural world. Tropical rain forests are the most bio-diverse land areas on the planet.

14. Fruits and Seeds: Tropical trees bear an astonishing variety of fruits and seeds that feed humans, birds and animals. This variety includes species that do well in wet conditions, dry conditions, and at various elevations, or in conditions where soils are acidic or saline. The trees become an important element in local socio-economic development. A typical example would be Amazona Reforestation, where they plant mango, cashew, tamarind, lemon, merecure, almond and other fruit and nut trees for both human and wildlife use.

15. Water: Planting tropical trees helps hold ground water by preventing runoff and erosion thanks to their root systems. Holding ground water occurs even in places where the soil is porous and where water would otherwise drain away or sink out of sight. Perhaps even more importantly, trees are able to clean contaminated ground and runoff water by removing pollutants, solvents and fuels from the ground water.

16. Transpiration: Transpiration is similar to evaporation, but involves the sweating or release of water by plants. Tropical trees actively seed clouds thanks to the transpiration process. The clouds then reflect sunlight away from the Earth, cooling the planet. Transpiration is responsible for climate cycles relied upon by farmers to grow crops, making civilization possible. This is not just a local effect; for instance, the Amazon rain forest determines weather patterns as far north as Texas. Planting tropical trees for transpiration is another element in the struggle against climate change and for a cooler planet.

17. Cooling: Tropical trees cool our planet by 0.7º C per annum thanks to their canopy effect. The more rain forests we cut down, the hotter the planet becomes. This may be among the most important reasons to plant tropical trees.

18. Sap Products: Tropical tree saps supply raw materials for many valuable products, such as the latex from the rubber tree (Hevea brasiliensis) for products ranging from tires to condoms. Tropical tree saps are also used to make syrups, tonics, beers, liquors, sugars and medicines. A large number of tropical trees yield glues and pigments, as well as organic poisons used by indigenous peoples for hunting and fishing.

19. Honey: Tropical trees have flowers and extra-floral phylode stems that produce nectar for honey production. Some species, like Acacia mangium, can produce as much as 100 kg of honey per hectare of trees per year. This makes planting tropical trees important for local socio-economic development programs.

20. Air: Tropical trees sequester carbon and release oxygen, so that we can all breath. The more trees we plant, the better the air quality. The Orinoco River and the Amazon River basins are considered the green lungs of our planet because of the oxygen they release into the atmosphere.

21. Shade: Tropical trees provide shade for humans, cattle and others in extremely hot climates, like for example the majestic Guanacaste trees (Enterolobium cyclocarpum) of Costa Rica. This type of shade is also important for numerous crops beneficial to humans. Farmers will deliberately plant leguminous tropical trees for shade and nitrogen fixing in permaculture and analog forestry settings, such as Erythrina spp. trees to shield coffee shrubs for better production rates.

22. Other Products: The wood, bark and fruits of many tropical trees provide soaps and detergents, insect repellents and specialty oils like safrole, almond and eucalyptus oils. Some species, like Yopo (Anadenanthera peregrina) have hallucinogenic properties important to indigenous peoples. Yet others produce tannins and dyes used by industry or used in folkloric and artisan manufacture, while yet others provide fibres for ropes and linens.

23. Oil: Some tropical trees are planted because they have oil fruits suitable for human consumption as cooking oils. Yet others are planted because they have oil fruits that are ideal for the production of bio-diesel and other fuels. Jatropha curcas is reputed to yield 1.6 metric tons of oil for bio-diesel per hectare planted, while African oil palms (Elaeis oleifera) may yield over 3 metric tons per hectare per year, making these tropical trees important renewable energy sources.

24. Renewable Energy: Planting many species of tropical trees makes sense, because they are fast growing and offer an excellent renewable energy source. The woods of numerous tropical trees like Acacia mangium and Eucalyptus pellita have high calorific values that boost heat and power production, or that can be used in low-tech applications like charcoal. Tropical trees are also a very important source of bio-diesels for renewable energy purposes.

25. Development: Tropical trees are an essential element in socio-economic development programs using permaculture or analog forestry practices to assist developing countries to become emerging green economies. It should be stressed that planting tropical trees yields multiple results with just one species. While some tropical trees do indeed seem to grow “slowly”, virtually all tropical trees outperform the growth rates of boreal and temperate zone trees. For instance, the plantation woods planted by Amazonia Reforestation go from seedling to mature harvestable tree in just 10 year’s time, while an equivalent boreal tree would take from between 80 to 120 years to produce similar results as a softwood tree. This amazing diversity means that developing countries can benefit more from planting and maintaining their tropical rain forests and tropical tree plantations, than they ever could from deforestation for subsistence agricultural purposes.

Arbolito the Saladillo children's book

2010-10-15T14:38:00.001-05:00

My children's book Arbolito the Saladillo has been published and is now available for purchase on-line in bundles of 10 books each just in time for Christmas gift shopping. Please visit my Arbolito the Saladillo book purchase page. The book is 24 pages long and in full color. It tells the story of Arbolito, a little Saladillo tree growing up on the edge of the inundation forest (riparian forest) in our Reserva Natural La Pedregoza in Vichada, Colombia. Arbolito has a steady stream of exotic animal visitors in both the dry season and the wet season. Very few books tell a story from the point of view of a tree, so children will definitely enjoy this. The book includes a detailed glossary and cast of characters with their scientific names and interesting facts, making Arbolito the Saladillo an educational book as well as a great bed time read.

The foreword was written by Canada and North America's most famous wildlife artist, Robert Bateman. I would like to express my deep gratitude for Mr. Bateman's well-known support for all things to do with nature, especially the conservation and preservation of endangered wildlife. Needless to say that conservation and preservation of biodiversity depends in large part on maintaining and expanding our forests with afforestation and reforestation programs involving native trees, such as that of Amazonia Reforestation. This is also a great opportunity to mention the support and encouragement I received from our partner organizations and institutional friends, like the renowned Omacha Foundation in Colombia, the Swiss and Belgian NGO Weforest, and the wonderful scientists and researchers at the Faculty of Agricultural, Life & Environmental Sciences at the University of Alberta in Edmonton, Canada.

I have saved the best for last. Every purchase of a bundle of 10 Arbolito the Saladillo books allows us to plant up to 100 tropical trees in the Reserva Natural La Pedregoza and at other locations and other natural reserves in the region. The book was published to be both educational and a fund raiser for our natural reserve. So even if you think you don't know that many kids, please buy a bundle of books and donate any extras to your local children's Christmas Gift charity or to a local orphanage. School libraries are also most appreciative of donated children's books. Remember, every purchase puts trees in the ground, so if you believe in the benefits of afforestation and reforestation, then help us to root out the problem of deforestation! And start thinking about coming to visit Arbolito the Saladillo one day...

Investing in Tropical Trees as Renewable Energy

2010-09-02T16:34:00.000-05:00

Some people worry about making an investment in tropical trees, because they can’t predict what economic conditions might be like in 10 year’s time. Fear of another recession or economic slow-down with a consequent possible decline in lumber, building material, pulp or furniture sales has them worried. What they don’t understand is that tropical trees can be a recession-proof investment, because there are so many uses for them. They aren’t thinking about the fact that tropical trees are an excellent source of renewable energy. Power plants need to produce electricity and homes need to be heated in North America and Europe, regardless of economic conditions. Many governments around the world are legislating that power plants use renewable energy sources, at least for a percentage of their fuel requirements. Answering that call are wood pellets, which are almost carbon neutral, cost less than other fuels per heat unit produced, and are a complete renewable energy product. So let’s ignore the fact that demand for tropical hardwoods has consistently exceeded supply since the 1940’s; let us instead focus on tropical trees as a source of renewable energy. To do so we need to know some numbers.

Fast growing tropical trees can reach maturity in just 10 years time, with each harvest immediately followed by replanting. A typical hectare (2.47 acres) of plantation wood at harvest can yield around 500 cubic meters (211,888 board feet) of wood. Depending on the species this can translate into anywhere from 347 to 600 metric tons (382 to 662 US tons) of woody biomass. However, that is only a lumber calculation, as production of wood pellets allows one to use additional biomass such as branches, bark, roots and stumps, easily adding another 25% to the above numbers. The next issue is calorific or BTU value, in other words how much heat does a kilogram of wood produce. There is a great difference between wood types. What is important to note is that the hardwoods growing in a typical tropical tree plantation like Amazonia Reforestation can have high calorific values. For example, Acacia mangium has a calorific value of 4,900 kCal/KG (8,800 BTU/lb), while Eucalyptus pellita has a calorific value of 4,800 kCal/KG (8,640 BTU/lb). That makes these woods not only useful as potential firewood sources, but of great value for the manufacture of wood pellets. Bottom line, managed plantations can produce significant quantities of valuable calorific biomass for renewable energy purposes.

While North American utility companies are often slow to take up alternative energies, European power plants have been implementing wood pellet use as a renewable energy fuel for some time now. In North America wood pellets have seen their greatest use for home, condominium and warehouse heating, with owners installing special wood pellet burning stoves and heaters to get away from the high cost and environmental problems associated with natural gas, LP gas, coal or heating oil. This may be about to change, as North American governments are starting to mandate the use of a percentage of renewable energy sources in power and heat generation plants. In part, this is to get away from the high cost and environmental problems associated with dependence on non-renewable fuels like oil, natural gas and coal. Wood pellets stand out, because they do not require agricultural crops to be turned into bio-diesel or ethanol, at the expense of human food production. Pressure from consumers and governments to convert to renewable energies like wood pellets, geo-thermal, solar and wind sources is likely to grow in the coming years, further increasing the demand for hardwood products. This makes now the perfect time to purchase some tropical trees, as a green investment today will pay off handsomely in the near future.

Eucalyptus pellita: Our Red Mahogany Tree

2010-08-22T13:06:00.002-05:00

Eucalyptus pellita is one of the most popular plantation tropical tree species. It has all of the requirements for a commercially successful timber tree, including rapid growth under plantation conditions, straight stems with limited branching and decent wood quality for particular uses and products. Plantation species should also be tolerant of a variety of soils and location conditions, and be resistant to common pests and diseases, requirements Eucalyptus pellita meets readily. Eucalyptus pellita is marketed as red mahogany or large-fruited red mahogany because of its attractive lumber, though it is equally popular as a source tree for the pulp and paper industry. Eucalyptus pellita is tolerant of poor, infertile soils and will grow in sandy or rocky soils, provided they are well drained.

A medium height tropical tree, Eucalyptus pellita can grow to be 40 meters or some 130 feet in height, and measure approximately 1 meter or 40 inches in diameter at breast height in just 10 years time. The pulp and paper industry harvests this tropical tree after just 7 or 8 years, or when it reaches 35 meters or 115 feet in height. Eucalyptus pellita prefers locations ranging from sea level to 800 meters or 2,625 feet above sea level, with mean annual temperatures from 14⁰ to 34⁰ degrees Celsius (57⁰ to 94⁰ degrees Fahrenheit), and annual rainfall ranging from 900 to 4,000 mm (35.5 to 157.5 inches). The trees preferences are readily met at the Amazonia Reforestation and CO2 Tropical Trees plantations, which are on average 60 meters above sea level, with a mean annual temperature of 26⁰ degrees Celsius or some 80⁰ degrees Fahrenheit, and blessed with 2,400 mm (95 inches) of mean annual rainfall.

Extreme size increases are a feature of Eucalyptus pellita, which is known to achieve growth well in excess of 2 meters a year. Some of the trees planted by Amazonia Reforestation have achieved growth in excess of 6 meters in just their first 12 months after transplantation from our tropical tree nursery. Eucalyptus pellita production rates average 40 cubic meters of wood per hectare per annum, though better managed forestry operations can have production rates exceeding 50 or even 60 cubic meters of wood per hectare per annum. This fast growth is of course important not just from a wood investor’s point of view, but also because of the high carbon sequestration it implies, as discussed at the CO2 Tropical Trees web site.

This exotic wood has numerous potential uses. A full description of Eucalyptus pellita is available in PDF e-book format for free download at the Amazonia Reforestation web site. Like many of our tropical trees, Eucalyptus pellita is a superb money maker for those making a green investment. It can easily earn returns on investment of 340% over 10 years and do something good for the planet at the same time, because of the tree’s carbon sequestration and cloud seeding properties. All of the plantation pictures in this posting are from our La Pedregoza tree farm in Vichada, Colombia.

How much carbon does a tropical tree sequester? (Part 2)

2010-07-11T13:27:00.000-05:00

Continuing from Part 1 (previous Post), let me cite some additional studies and methodologies. A Dutch study entitled “Estimation of Tropical Forest Biomass for assessment of Carbon Sequestration using regression models in remote sensing in Berau, East Kalimantan, Indonesia” by Irvin K. Samalca, Alfred de Gier and Yousif Ali Hussin, of the Department of Natural Resources at The International Institute for Geoinformation Science and Earth Observation confirms and shows that 50% plus of a tropical tree’s woody biomass is carbon. That means that fast growing tropical trees like those planted by CO2 Tropical Trees and Amazonia Reforestation, which reach maturity in just 10 years, are excellent carbon storage vessels.

Let’s calculate this from a different perspective. We know from several studies that the woody biomass of a tropical tree plantation can increase by at least 35 cubic meters plus (14,382 board feet) per hectare per year. Depending on the hardwood species, one cubic meter (424 board feet) of tropical hard wood can weigh from 600 kg to 1,200 kg (1,322 lbs to 2,645 lbs). Assuming 1 hectare of trees with a gain of 35 cubic meters of wood times a conservative average of 750 kg (1,653 lbs) per cubic meter, and you get 26,250 kg (57,871 lbs) per hectare per year. If at least half of that woody biomass is carbon, then one gets 13,125 kg (28,935 lbs) of carbon. Divide 13,125 kg of carbon by an average of 600 mature plantation trees (after culls) and one gets 22.6 kg (50 lbs) per tree, the number used by CO2 Tropical Trees.

Why conservative? There is ample scientific support for much higher carbon sequestration rates by tropical trees. For example, Reforest the Tropics is an applied research program in Costa Rica demonstrating climate change mitigation through sustainable farm forestry. Using a 40 year base line they suggest that a natural tropical forest can sequester between 100 US tons to 160 US tons of carbon per acre (90.7 metric tons to 145 metric tons). This translates into 224 metric tons to 356 metric tons per hectare stored in a natural tropical forest over 40 years. Their research also suggests that a managed plantation of tropical trees will store as much as 800 US tons of CO2 per acre (725 metric tons). That translates into 1,792 metric tons per hectare. If one were to take 1,792,000 kg and divide by 40 years and then divide again by 1,250 tropical trees planted per hectare one would get 35.85 kg (79 lbs) per tree per year.

CO2 Tropical Trees is actually relying on the most conservative estimates of carbon sequestration for its carbon neutral program. They are not alone in relying on those numbers. For example, Carbonify has a carbon calculator that is based on 22.6 kg or 50 lbs of carbon per tropical tree per year. Another example is the article by James Post, citing a 2005 study in Wikipedia that uses 22.6 kg or 50 lbs of carbon sequestration per tropical tree per year for the purpose of calculating carbon offsets. In conclusion all I can say is that every time someone funds the planting of a tropical tree with CO2 Tropical Trees or with Amazonia Reforestation, the very least they can expect from that tree is 22.6 kg or 50 lbs of carbon sequestered per year from our atmosphere. Given these facts and numbers people and institutions really don’t have any more excuses for not funding tree planting as an obvious partial solution to climate change.

How much carbon does a tropical tree sequester? (Part 1)

2010-07-11T12:51:00.000-05:00

Some people have asked me what evidence there is to support the claim by CO2 Tropical Trees that the average tropical tree will sequester 22.6 kg or 50 lbs of carbon per year. First off, let me stress that this is affected by location, soil type, rainfall and species. Having said that, most tropical trees located within 15 degrees northern and southern latitude of the equator do indeed sequester significant amounts of carbon dioxide (CO2) from the atmosphere, something that is supported by numerous studies and ongoing research. In this 2-part article I will offer some calculations in support of the efficiency of tropical plantation trees as a method of carbon sequestration. I will base my calculations on industry standard hectares (an area measuring 100 meters by 100 meters, or 2.47 acres) with 1,250 trees planted per hectare, later culled back to 600 trees per hectare.

In an article entitled “Carbon sequestration in tropical agroforestry systems”, Alain Albrecht and Serigne T. Kandji of the Institut de Recherche pour le Développement found that the carbon sequestration potential of tropical agroforestry systems produced a median sequestration value of 95 metric tons (104 US tons) per hectare per year. Taking into account the variables of location, soil type, rainfall and species it can be as high as 228 metric tons (251 US tons) per hectare. Assuming a median of 95,000 kg divided by 1,250 trees per hectare one would get 76 kg (167 lbs) per tree. In a managed plantation trees are often culled back to about 600 trees per hectare, which would result in 158 kg (348 lbs) per tree per year. These numbers support the cubic meter increase of woody biomass observed in growing locations with excellent conditions. Please note that managed plantations generally produce 20 to 30 times more wood than do natural forests, resulting in higher carbon sequestration rates per hectare.

Studies cited in Science Daily show that natural African tropical forests absorb about 600 kg (1,323 lbs) of carbon per hectare per year. If you take 600 kg by 25 times more wood per hectare in a plantation setting, you get 15,000 kg (33,000 lbs) per hectare per year divided by 600 plantation trees per hectare, which results in 25 kg (55 lbs) of carbon sequestered per tree per year. I should also mention that one of the species CO2 Tropical Trees plants is Acacia mangium, a recognized nitrogen-fixing tree (NFT). Studies like “Greater Soil Carbon Sequestration under Nitrogen-fixing Trees Compared with Eucalyptus Species” published by Ecosystems, a Springer publication, show that NFT’s sequester more carbon in the soil than do other types of tropical trees.

One problem in the literature is the vastly varying time-lines on which research has been based. Both Amazonia Reforestation and CO2 Tropical Trees rely on a 10 year cycle from seed to mature tree for all of their calculations. This fact further enhances their credibility on the issue, because in the study “Carbon sequestration through afforestation: Role of tropical industrial plantations” their methodology of using a 10 year cycle to maximize woody biomass growth and carbon sequestration is supported. The article confirms that once tropical trees reach maturity their effectiveness for carbon sequestration purposes declines. That means that using a 10 year cycle maximizes the carbon sequestration efficiency of their tropical tree plantations. This analysis of studies and methodologies will continue in Part 2 of this article (next Post).

Deforestation Helps to Drive Up Wood Prices

2010-06-15T14:38:00.000-05:00

Earth’s forests are being cleared on a massive scale, making deforestation one of the prime environmental issues of our time. Rain forests once grew over fourteen (14%) percent of the planet’s land mass. Satellite imagery shows that they now cover a mere six (6%) percent. Throwing the soft wood boreal forests of Russia, Scandinavia and Canada into the mix, forests still cover some thirty (30%) percent of the Earth’s land area. However, deforestation on a planetary scale means that an area the size of Panama, Maine or South Carolina is cut down every year. The world’s rain forests could completely vanish in a hundred years at the current rate of deforestation. At present, annual afforestation and reforestation efforts account for barely ten (10%) percent of what is being cut down every year. To add insult to injury, deforestation is a leading cause of climate change, global warming, soil erosion and landslides. Seventy (70%) percent of Earth’s land animals and plants live in forests, and many cannot survive the deforestation that destroys their habitat.

Deforestation is driving climate change. Normal forest soil is moist, but once trees are cut the soil quickly dries out. This is why NGO’s like Weforest stress the importance of cloud seeding by forests. Trees help to perpetuate the water cycle by extracting ground water through their roots and then sending the water as vapour back into the atmosphere. When a forest is removed the trees no longer evaporate away the water, resulting in a much drier climate. Deforestation has a direct impact on groundwater, the water content of soil and atmospheric moisture. Without trees, areas that were once forested may quickly become barren deserts, because the tree canopy blocks the sun’s rays during the day and holds the heat at night. Once trees are removed, extreme temperature swings occur that are harmful to humans, plants and animals. Needless to say tropical trees play a critical role in carbon sequestration, absorbing the greenhouse gases that cause global warming. Deforestation means more CO2 gets stuck in the atmosphere, raising global temperatures and causing damaging climate change at a more rapid rate. CO2 Tropical Trees is planting trees to fight that type of climate change.

According to the secretariat of the United Nations Framework Convention on Climate Change (UNFCCC) agriculture is a primary cause of deforestation. UNFCCC estimates that subsistence farming is responsible for forty-eight (48%) percent of deforestation, commercial agriculture for another thirty-two (32%) percent of deforestation, trailed by commercial logging at fourteen (14%) percent and fuel wood harvesting at five (5%) percent of global deforestation. One might think that all of this deforestation should make hardwood prices cheap, but the reality is that more and more governments are restricting legal cutting and protecting more and more areas of old growth forest and biodiversity. This means that plantation trees are becoming an increasingly important way of meeting world demand for lumber, as well as a vital link in the fight against climate change. This makes a lot of sense when one considers that natural forests yield only 1 to 2 cubic meters of wood per hectare, while managed plantations yield at least 10 cubic meters of lumber per hectare. The bottom line is that those with a “green investment” in tropical trees are going to do exceedingly well, as natural sources of lumber continue to decline. Amazonia Reforestation is the best place to make that green investment.

Carbon Offsets and Tropical Trees

2010-05-21T11:08:00.001-05:00

The issue of carbon offsets is very important in Europe, and slowly gaining ground in North America. In May of 2010 the public market for carbon offsets was around €16 Euros ($20 USD) per metric ton (2,204 lbs). I am going to show in this article why planting tropical trees is a much more cost effective method of carbon sequestration for a company or business seeking to offset its emissions, than is the purchase of carbon offsets in the public market. For that purpose I am going to use a hypothetical ABC Company that needs to purchase 10,000 metric tons (10,000,000 KG or 22,046,226 lbs) of carbon offsets every year to balance its emissions.

The average fast growing tropical tree, like Acacia mangium or Eucalyptus pellita, sequesters 22.6 KG or 50 lbs of carbon per year. That means that one would have to plant 442,478 tropical trees to balance 10,000 metric tons of emissions every year. In order to account for any losses of trees planted to disease, pests, drought or fire, I am going to round up that number to 500,000 tropical trees, providing an ample safety margin for ABC Company’s carbon offset requirements. The cost of planting and maintaining each tropical tree for carbon sequestration purposes for a period of 10 years is approximately €1 Euro per tree ($1.27 USD in May 2010). That means that ABC Company would have to spend €500,000 Euros or $635,000 USD to plant sufficient tropical trees to offset 10,000 metric tons of emissions for a 10 year period.

The reason for the 10 years is simply that the average tropical tree is most effective at carbon sequestration in the first 10 years of its life, after which its effectiveness declines. That is why organizations like CO2 Tropical Trees work and calculate how they balance emissions on the basis of a 10 year cycle. ABC Company may have one other additional expense of approximately $30,000 USD or €23,630 Euros to obtain carbon certification of the trees planted, should it require the same for legal, political or tax reasons. Needless to say, planting tropical trees in the Orinoco or Amazon basins of South America provides ABC Company with excellent public relations and advertising value as well, given ther increased consumer demand for “green” business conduct.

Now let’s compare these numbers to the cost of purchasing carbon offsets from the public markets. At €16 Euros per metric ton, ABC Company would have to spend €160,000 Euros every year for 10 years to offset its carbon emissions, or a total of €1,600,000 Euros ($2,032,000 USD). That is an amount that is more than 3 times higher than the cost of planting tropical trees to offset its emissions. This means that funding the planting of tropical trees is not only more cost effective than purchasing carbon offsets in the public markets, it is also better for the environment, as trees seed clouds, expand wildlife habitat, and have a significant impact on socio-economic conditions in developing countries like Colombia, Venezuela or Brazil. Tropical trees also remove a number of pollutants other than carbon from the atmosphere, and depending on the species used can greatly enhance soil fertility for permaculture activities. Organizations like CO2 Tropical Trees and Amazonia Reforestation, when planting for carbon sequestration purposes, also plant native tree species, whose conservation enhances global biodiversity.

Dexter B. Dombro, B.A., LL.B., is a former lawyer who is actively engaged in afforestation and reforestation projects in the Orinoco river basin of Colombia in South America. His web sites include http://www.co2tropicaltrees.com/ for carbon sequestration and http://www.myreforestation.com/, while his blog on investing in tropical trees can be found at http://co2tropicaltrees.blogspot.com/. The plantations Dexter works with are also associated with the University of Alberta in Edmonton, Canada, and the Swiss-based NGO Weforest.

Palm Oil - Lucrative Environmental Disaster

2010-04-20T12:54:00.001-05:00

I thought it would be a good idea to discuss the oil palm as part of this blog. There are 2 species of oil palm commonly cultivated. The more prevalent one is the African oil palm (Elaeis guineensis), though there is also an oil palm native to Central and South America (Elaeis oleifera). Mature trees can be as much as 20 meters or 65 feet tall, with pinnate leaves. Young trees produce about 30 leaves a year, while mature trees over 10 years of age produce about 20 leaves a year. Oil palms can be productive for up to 40 years, bearing fruit just 3 or 4 years after planting. Palm fruits take about 5 months from pollination to maturity. The tree can flower year round regardless of season. Since oil palms are very lucrative their cultivation has become an environmental as well as a socio-economic development issue in many parts of the world.

A high producing plantation can have up to 30 tons of fruit per hectare per year (1 hectare is about 2.47 acres). On average 1 hectare of oil palms can produce 7,250 liters or 1,915 gallons of palm oil per hectare per year. Palm fruits are usually purplish, the size of a plum and clustered in big bunches that weigh between 40 to 50 KG (88 to 110 lbs) each. Each fruit contains a single seed or kernel which is surrounded by an oily fruit pulp. Edible palm oil is extracted from the fruit pulp, while palm kernel oil is extracted from the kernel for use in both foods and soaps. 100 KG of oil palm fruits will yield 22 KG or 48.5 lbs of palm oil and 1.6 KG or 3.5 lbs of palm kernel oil. It takes about 600 hectares of oil palms to support 1 oil palm mill.

Palm oil is widely used in cooking in Asia and Africa and is gaining access to other world markets due to its lower pricing. It is popular because of the refined oils high oxidative stability and high levels of natural antioxidants. It contains more saturated fats than other competing oils like canola, sunflower or soybean, making it an excellent choice for deep frying. Other by-products include palm fronds for roofing and kernel meal used as livestock feed. Worldwide annual palm oil production is around 40 million metric tons (44 million US or imperial tons), with the vast majority of production occurring in Malaysia and Indonesia. Palm oils are the most widely produced tropical oil, and account for almost one-third of the world’s edible oil production.

However, oil palm production faces severe criticism in many quarters. The worst aspect is biodiversity loss, as countries like Malaysia have seen fit to cut down their rain forest to maximize oil palm acreage and production. Governments justify this on the basis that oil palms create significant socio-economic development and provide a lot of employment. One oil palm farmer in Costa Rica told me that their incomes went from $150 a month to $2,000 a month thanks to oil palms. Unfortunately many governments have failed to regulate when and where oil palm plantations can be planted, or have failed to enforce environmental laws, because of perceived socio-economic benefits. The arguments have become even more virulent in recent years, as oil palms have proven themselves to be an excellent source of bio-fuels, causing food versus fuel debates, as acreage is used to feed refineries instead of humans.

Making Money with Rubber Trees

2010-03-24T17:28:00.001-05:00

The world consumes in excess of 18 million tons of rubber annually. Rubber is either natural or synthetic. Natural rubber provides nearly half of the world rubber market. Natural rubber is produced from rubber trees, grown in tropical areas by over 30 million small landowners and farmers, making it an important source of employment and socio-economic development. In contrast, synthetic rubbers all have one problem in common: they depend on the price of crude oil and are a petro-chemical industry product. The Pará rubber tree (Hevea brasiliensis) is originally native to the Amazon basin, but grows well in a variety of tropical climates. Amazonia Reforestation is planting rubber in the Orinoco basin of Vichada, Colombia. Rubber tree latex production starts within 5 to 6 years of planting.

As the standard of living improves around the globe, the price of rubber has been rising. There is increasing demand for rubber products, with 70% of natural rubber being used in automotive and motorcycle tires. Items like medical gloves, tubing and hoses, condoms and mats are other typical examples of other everyday rubber products. Just like wood, rubber plantations face the same pressures from urbanization, high land costs and short term demand for other commodities that are sometimes planted instead of rubber. Reflecting the world’s increased demand for latex, it is interesting to note that China has reduced its import tariffs on natural rubber, confirming China’s intention of becoming more aggressive in the global automotive industry.

Natural rubber is unique in that it is produced as an agricultural product but consumed as an industrial raw material. This has prompted some producing countries, like Thailand, Malaysia and Indonesia, to set up a rubber cartel, much like OPEC for crude oil, to try and control natural rubber sales and withhold stocks in order to maintain price levels. Vietnam, which has doubled its production in the last 10 years, may join. This opens up considerable opportunity for plantations outside of those countries to benefit from relatively high prices and growing demand. Amazonia Reforestation also benefits from parawood or rubberwood having a verified international market for the manufacture of furniture. It is a hardwood with a dense grain, attractive color that accepts a variety of finishes, and is subject to only minimal shrinkage. Rubber wood is considered "environmentally friendly", because latex production causes the tree to sequester a lot of carbon, while productive use of the tree’s wood can be made at the end of its latex-producing years.

Permaculture Design in Tropical Forestry

2010-03-14T13:59:00.009-05:00

The socio-economic benefits of tropical tree plantations can be greatly enhanced by including a permaculture design in the process. Permaculture means permanent agriculture, a system in which food is raised for human and animal consumption in a bio-diverse framework. Since tropical afforestation and reforestation usually includes soil reclamation, it can lend itself to an integrated permaculture design. The idea is to include vegetable, root and herb plants with farm animals for manure, all placed in strategic locations with fruit trees and shade trees, possibly using recycled water, and with each element within the design performing several functions. At the end of the day, the goal is to use the least amount of space for the largest amount of food production with the lowest possible labour requirements. Low maintenance, but high productivity, is the buzzword!

There are 3 significant philosophical objectives that underpin permaculture design. The first is environmental and ecological. Look after the Earth by implementing biodiversity in the design, while restoring or reclaiming damaged land, so that the impact is one of conservation coupled with an ethical use of resources. The second is to create a design that can look after a large number of people within the system. This is what we mean by socio-economic benefits, as people can meet their basic needs and generate some income, all within a sustainable development framework. The final and third objective is to perfect one’s environmental and people permaculture design, so that one can start to reach out and help others to achieve their goals with the least impact and in a sustainable manner.

It should come as no surprise that permaculture design tries to copy natural eco-systems. Natural eco-systems are usually bio-diverse, recycle, and do not depend on man-made chemicals, pesticides, herbicides, antibiotics and hormones for success. Good permaculture may include micro-climates within the overall design, such as using the heat reflected off a wall for areas that need warmth, or using shade trees for areas that perform best with less sunlight. Trees can act as windbreaks or firebreaks. Composting reduces the need for external additions to one’s food production. The bottom line is that no two permaculture designs are alike, as each is based on local conditions, preferences and human requirements. Amazonia Reforestation is happy to be associated with Weforest for the purpose of developing good permaculture designs within their afforestation and reforestation areas.

Fertilizing Tropical Soil

2010-03-06T16:33:00.000-06:00

A multi-disciplinary group of Corpoverde (“Green Orinoco”) experts have developed a special forestry fertilizer for use in plantations in the eastern plains or llanos orientales of Colombia. This special forestry fertilizer mix meets the needs of tropical trees planted in infertile ground and in high rainfall conditions. These conditions definitely apply to many of the areas in which Amazonia Reforestation and CO2 Tropical Trees do their planting. Tropical trees are the ultimate recyclers, but to achieve rapid growth and best results it is important to provide the right mix of minerals and elements during the early stages of the planted trees’ growth. Proper fertilization in the early stages of an afforestation and reforestation project can have an important impact on soil quality later on.

Tropical soils are often infertile because of the heavy rainfall that occurs for 8 months of the year, leaching most nutrients out of the soil. That is why subsistence farmers have such poor results after indiscriminately cutting down rain forest. One subsistence crop later the soil is depleted and they are cutting down another area of rain forest in hopes of better conditions. This is, of course, the definition of insanity, doing the same thing over and over again anticipating a different result every time. Unfortunately, subsistence use of organic fertilizers like biochar by campesinos is often misunderstood, making conditions worse, because they fail to deactivate the biochar before use. Biochar may also be the cause of further deforestation, as subsistence farmers cut down trees to produce the charcoal component of their homemade fertilizer when they plant those subsistence crops.

An ideal tropical tree fertilizer mix consists of the following: 5% nitrogen (N), 17% phosphorus (P2O5), 2.5% potassium (K2O), 16% calcium (CaO), 12% magnesium (MgO), 22% silicon (SiO2), 0.5% zinc, 0.7% boron (B), 2% Sulphur (S), 0.005% cobalt Co) and 0.01% molybdenum (Mo). When applying this special forestry mix to tropical soils, the following quantities should be used on a minimum to maximum basis per hectare (per 2.47 acres): 50 - 250 kg of nitrogen (N), 25 - 100 kg of phosphorus (P), 40 – 160 kg of potassium (K), 140 – 200 kg of calcium (Ca), 10 – 15 kg of magnesium (Mg), 20 – 30 kg of sulphur (S), 5 to 10 kg of zinc (Z), 1 to 4 kg of boron (B), 2 – 3 kg of iron (Fe), 2 to 3 kg of manganese (Mn), 2 to 3 kg of copper (Cu) and 0.1 to 0.3 kg of molybdenum (Mo). The above translates into approximately 140 grams of fertilizer applied at a depth of 5 to 8 cm around each young tree, just before or just after the rainy season. Amazonia Reforestation uses this mix in the areas that are most devastated and in need of reclamation.

Trends Supporting Tropical Tree Investments

2010-03-04T16:14:00.000-06:00

Wood is a renewable biological resource that has appealed to humanity since time immemorial. Its value is based on its many positive characteristics, including hardness and durability, insulating properties, weight, ease of use, ease of harvest, appearance and calorific value. Needless to say these qualities have been one of the main reasons why wood has been integral for construction, furniture, fuel and packaging, to name just a few uses. Going beyond lumber, the inherent properties of wood allow for the manufacture of numerous value-added products, such as dyes, resins, rubbers, syrups, paper, cellulose, fibreboard, plywood, concrete additives, food, animal fodder, medicines and oils. Best of all, many tropical trees are fast growing, meaning that there replacement cycles are short, on average no more than 10 to 15 years, depending on the species.

Besides cash values, there are environmental values to consider. For example, the Consortium for Research on Renewable Industrial Materials (“CORRIM”) has found in studies that construction using wood has a significantly smaller negative environmental impact than does construction using concrete or steel. A building using steel has a 36% greater chance of contributing to global warming through CO2 emissions than does a building made of wood. Preparing concrete requires 312% more water than does preparing lumber for use in construction. To produce 1 ton of steel requires 24 times more energy than does producing 1 ton of solid wood. To produce 1 ton of cement requires 5 times more energy than does producing 1 ton of solid wood. Using wood products provides a unique opportunity to store carbon from sustainable tree plantations like Amazonia Reforestation. The carbon stored in wood products offsets the emissions from the processing of the wood and also from the emissions of other products used in construction. Using wood is a real substitute for fossil-intensive non-wood materials, because it can offset their emissions.

In 2009 the United Nation’s Food and Agriculture Organization (“FAO”) suggested that the number of trees being planted worldwide needed to increase by 33% every year for the next 20 years if there was to be any hope of meeting the global demand for wood. It is a sad fact that at present over 65% of wood production for all uses is coming from natural forests, an amount equivalent to 1.2 billion cubic meters. Since access to natural forests is becoming more and more difficult due to increased protection of natural areas and tougher environmental regulation, the opportunities for private woodlot and forestry investments have never been better. It is another sad fact that at present all the tree planting in the world accounts for less than 30% of what is being harvested on an annual basis. Add to this the fact that humans continue to procreate at an alarming rate, and it is small wonder that demand for wood will continue to grow exponentially for decades to come. Buying trees with Amazonia Reforestation offers you an opportunity to participate in this very “green” and financially rewarding investment.

2009-12-31T17:50:00.000-06:00

I am very pleased to announce the launch of the web site for our Reserva Natural La Pedregoza in Vichada, Colombia. The founders are Dexter Dombro, Dr. Kochurani Dombro and Dilmun Dombro. At present this natural reserve consists of two old growth forests, both of which are inundation forests (riparian forest), being naturally flooded for almost 5 months a year. The natural reserve also features considerable river bank along the Rio el Bita, as well as two beautiful morichals (heavily treed drainage ways across the savannah). This is the first part of the reserve, with plans to add further areas in the near future, once proper surveys and legal title issues allow La Pedregoza to expand. We regard La Pedregoza as the anchor to our afforestation and reforestation efforts around the natural reserve.

La Pedregoza Natural Reserve is dedicated to the conservation of native tree species and the preservation of endangered wildlife using those native trees for expanded habitat. To that end there are plans to establish native tree seed collection programs and a native tree nursery. On the wildlife side we have exciting plans to build a river turtle hatchery. Using boats we will collect turtle eggs up and down the river before poachers can get to them and then bring them to the natural reserve where they will be hatched and then released into a magnificent, protected river inlet within the park boundaries. Besides jungle trails ending at dry season beaches, we are also going to erect platforms for nature observers and artists wishing to sketch or paint the inundation forest during the wet season.

The other significant element we have planned is an Interpretive Center providing locals and visitors alike with knowledge regarding the importance of the gallery and riparian forest, the rain forest, the savannah and the wildlife that depends on them. Reserva Natural La Pedregoza is meant to protect a unique eco-system while providing endangered wildlife with a refuge while moving along the Rio el Bita and on to the El Tuparro National Park. Completing the picture are our partnerships with the University of Alberta’s Faculty of Agricultural, Life & Environmental Sciences, who will no doubt make use of this natural reserve when conducting their research and studies, and with the world renowned Omacha Foundation, who are our partners in the turtle hatchery program and for doing a biological inventory of the natural reserve. Please visit http://www.pedregoza.org/.

Tree Ranching instead of Tree Farming...

2009-12-19T14:44:00.001-06:00

One of the practical problems associated with tropical tree plantations is tree maintenance and value enhancement. Though not official terms, I like to call the act of planting trees and letting them grow tree farming. However, to really maximize one's opportunities with tropical trees requires a more hands on, diligent approach, something I call tree ranching. This secondary approach is much like a rancher looking after the calves in a herd, it requires that a lot of tender loving care is directed towards each tree in the plantation. In contrast, tree farmers take a "let it be", let nature take it's coarse approach. The difference between the two can cause a sigificant impact on the bottom line over a 10 year period.

Tree ranching includes the following actions for maximizing returns on investment: (1) using tractors and deep ploughs to loosen the soil before planting, as tropical trees set deep roots, (2) liming the soil to balance pH and to soften it for planting, (3) applying boron for healthy tree growth, and (4) fertilizing as required. In the nursery, tree ranching starts with (5) the use of certified, climate adapted seeds, not just any seeds one happens to get at liquidation world, and (6) the use of misting sprays as opposed to large drops or heavy sprays that may damage seedlings. (7) Seeds are sprouted before being transplanted into planting bags, allowing for early deletion of poor quality seedlings, meaning that once planted there is a very high rate of survival and a healthy plantation.

As the trees grow, (8) some species require pruning in their first year of growth. Acacia mangium, much like teak, needs to have all secondary branches pruned within 10 to 12 months of planting, so that only the principal stem is left. This allows the tree to grow with a nice trunk that isn't full of knots, greatly improving the value of the wood at harvest. Some species, like Eucalyptus pellita, do not require pruning as they grow naturally with a tall, knotless trunk. (9) A foreman inspects every tree in the plantation at least once a month, and if (10) a tree is leaning or crooked ropes or cords can be applied to try and straighten it. Inspection also allows other problems to be identified early, (11) including pests or disease, or trees that (12) have fallen or are affecting the growth of others. All of these points are just a small sampling of what it means to be a tree rancher for better profits and more valuable wood. Please visit Amazonia Reforestation at http://www.myreforestation.com to find out how you can help with our tree ranching efforts.

Why plant native tree species?

2009-12-18T16:58:00.001-06:00

Several people have asked me what value there is in growing native tree species instead of common plantation species. At first blush common plantation species lend themselves to a quick turn around and a fast buck. The question obviously ignores the environmental impact of not conserving native tropical tree species, the loss of which would be disastrous to our common genetic heritage on this planet. There seems to be no shortage of people who are happy in the shallow end of the gene pool. Those of us engaged in tropical tree afforestation and reforestation efforts initially grow common plantation species like Acacia mangium because they fix nitrogen in infertile and depleted soils, but we always have an eye on the native tree species that have evolved to make the most of their environment. Many native trees offer not only exquisite wood with excellent commercial potential, but also a myriad of other wonderful by-products that are of great benefit to humans and animals alike.

Since most wildlife is niche dependent, native tree species are part of the habitat that sustains that niche. The fruits, nuts and seeds of numerous native tree species sustain endangered and other wildlife and insects. There loss is not just a disaster for the trees, but also for the animals that depend on them. However, by commercializing various native tree species, we are able to expand habitat for endangered wildlife, as well as reap an almost endless list of other benefits and by-products, not to mention their valuable cyclical harvest and the replanting of those trees for wood and fuel. It is this use of native tree species that often supports the concept of community forest. So what are some of the other benefits besides wood, fuel and charcoal?

This is not an exhaustive list, but many of the tropical native tree species that Amazonia Reforestation works with provide directly or indirectly a large variety of natural medicines, cures and treatments, for both humans and domesticated animals. The trees or their saps can be used to make effective natural insecticides and pesticides, tannins for curing leather, soaps that are environmentally friendly, tonics and fermented drinks, sugars and syrups, chewing gums and candies. They can provide renewable roofing products, ropes and woven materials for textiles, baskets, mats and other uses. Many native tree species provide an amazing array of dyes and colors used in cosmetics, paints, foods and folkloric art. Their fruits, nuts and seeds feed people and animals, but also find use in jewelry, musical instruments, kitchenware, decorations and more. Some produce gums and resins for glues, tars, boat building, sealants and other everyday uses. Their leaves and twigs often provide fodder for domestic animals, or they can act as living fence posts, wind breaks and erosion controllers.

Perhaps one of the most popular uses is shade, not just in villages and around homes, but to protect crops that would otherwise suffer from too much direct sunlight. The concept of agro-forestry is all about growing food crops between native trees adapted to local environments. Needless to say there is also the benefit of carbon sequestration, something virtually every tropical tree is very good at doing. Think about that the next time you rev up your SUV! Programs like CO2 Tropical Trees, designed to help consumers make their car carbon neutral by planting tropical trees, don't care what tropical trees they plant as long as they sequester carbon effectively and quickly. I could keep on going, but I think you get the idea.

Six Groups of Profitable Native Tree Species

2009-11-27T12:03:00.000-06:00

One of the exciting aspects of tropical tree plantations in the Orinoco basin are the many native tree species that have commercial value and potential. These tropical trees can be divided into 6 basic groups that lend themselves to profitable commercialization. In the case of Amazonia Reforestation, commercialization means collecting seeds from many of these native tree species, some of which are endangered, and discovering the best way to germinate them, how to sprout them in tree nurseries, how to prepare the soil for them, and when the best times to transplant them are. Some groups, like the world renowned Omacha Foundation, have already been experimenting with some of these issues, and Amazonia Reforestation is proud to be partnered with them as we establish our own natural reserve for the conservation and preservation of these wonderful native tree species. So what are the 6 groups?

The first group are those trees that can provide sawn lumber for both light and heavy construction, and for wood products like flooring, decking, plywood, crates and other common uses. The second group are those that are of such fine quality and grain that they are ideal for fine furniture, cabinetry and instrument making. The third group are those tropical trees that provide chips or pulp for paper and cardboard, excelsoir (packaging material), fibreboards, cement boards and similar uses. The fourth group are tropical trees that have a high calorific value, making them ideal for charcoal, briquets, and home heating and cooking. The fifth group are tropical trees that provide human food like fruits, nuts, seeds or saps, or fodder for animals, and which have local uses such as arts and crafts, tannin for curing leather, pigments, roofing materials (palms leaves etc.), dugout or canoe materials, and more. The sixth and final group are those tropical trees that offer natural, ayurvedic, naturopathic and aboriginal medicines, fragrances, insecticides, soaps and oils. All of the many diverse species in the Orinoco river basin have one thing in common, they support an amazing variety of endangered and other wildlife, birds (both local and migratory), insects, reptiles and amphibians.

Many of these tropical tree species are extremely fast growing (10 to 15 years to maturity), making them very attractive for commercial use. They provide additional benefits, because they are already adapted to poor soil conditions, nutrient depletion and high soil water content. They occur in both gallery forests found between the savannah and the riparian flooded forest or inundation forest, and the latter. Gallery and inundation forests are common to the Orinoco and its tributaries, like the Meta and the Rio el Bita. Sustainable and profitable socio-economic development must therefore include conservation, preservation and expansion of these forests, something our entire family is dedicated to achieving. Using native tree species in our afforestation and reforestation efforts will have a huge impact on local and migratory wildlife and birds, and can provide an essential gene pool for the future bio-diversity of our planet, which is rapidly diminishing due to mono-culture agro forestry practised in many other locations.

Key Land Factors for Tropical Tree Plantations

2009-11-22T11:39:00.000-06:00

Last posting, I discussed the 3 key climate factors for tropical tree plantations. This time I want to comment on the 3 key land and soil factors affecting tropical tree plantations. In the tropics there is a wide variety of vegetation specific to different land types. By far the largest tropical vegetation area is savannah (42%), followed by rain forest (30%), semideciduous and deciduous woodland (15%), and finally desert areas (13%), with desert shrub and grasses or even with no vegetation. These numbers are changing as deforestation continues unabated and deserts are growing. From a plantation perspective the ideal areas for afforestation and reforestation programs are savannah, because of reliable rainfall and ease of access. Amazonia Reforestation is doing extensive planting in the savannah areas of the llano oriental or eastern plains of Colombia.

Despite the lush and profuse vegetation found in most rain forests, that abundance is not an indication of high soil fertility. In fact, most rain forest soils are infertile, but the forest itself has evolved to make extremely efficient use of nutrients by recycling everything, thanks to rapid decay and absorption of litter, dead fall, old leaves, fallen fruits and nuts, and atmospheric sequestration of gases like CO2 and nitrogen. This is why deforerstation for subsistence farming and ranching has produced such poor results, with crops failing within a couple of years of clearing the rain forest, and ranching producing eually poor results because of the low nutrient value of grasses that have replaced the rain forest. In contrast, poorly vegetated savannah often has superior soil fertility. Only 7% of the soil types found in the Amazon basin have agricultural potential. CO2 Tropical Trees plants in savannah areas with superior carbon sequestration potential, as part of their "Make your car carbon neutral campaign!"

Tropical tree plantations also favor savannah and steppe areas, because the cost of land is lower in those locations. The majority of the world's unused but potentially arable land is in tropial savannah and semidesert areas. Since these areas generally correspond with countries in development, they suffer from under-use or inefficient use, or from environmentally bad use, such as mono-cultures of oil palms. Tree farms see these areas as having great potential for timber by making improved use of the land and by implementing modern forestry practices and environmentally sound programs. Amazonia Reforestation, for instance, is active in planting native tree species for conservation and preservation of endangered wildlife. This goes hand in hand with the final reason why tropical tree plantations like these areas. They have human populations that require the resources for economic and social development, something that afforestation and reforestation programs offer.

Key Climate Factors for Tropical Tree Plantations

2009-11-18T10:27:00.001-06:00

Temperature: Temperature extremes increase away from the equator. This means that there is greater certainty regarding temperature in the tropics, which is important when selecting the types of trees one might consider planting. Amazonia Reforestation is presently planting in areas that are 6° degrees north of the equator. While there are daily variations in temperature, the important factor is the annual mean average. Amazonia Reforestation relies on a mean temperature of around 25° degrees Celsius or 77° degrees Fahrenheit.

Solar Radiation: In the tropics the daily solar radiation levels are approximately double those of temperate zones. This is caused by the fact that there is less variation in the angle of the sun’s rays throughout the year. The result of this is of course that tropical trees receive more energy for photosynthesis than their temperate or boreal counterparts. Another aspect of the sun’s angle is the fact that tropical trees enjoy a constant average of 12 hours of daylight or photoperiod. Plantations like Amazonia Reforestation avoid locations that are shaded, like valley bottoms, which could reduce daylight hours.

Rainfall: Tropical trees respond well to consistent rainfall. Approximately half of the tropics receive seasonal or monsoonal rainfall. Amazonia Reforestation can count on an 8 month wet season and a 4 month dry season. The definition of a dry season is not an absence of rain, but less rain meaning that evapo-transpiration exceeds rainfall for those 4 months. Intensity of rainfall is also an issue. A lot of rain in a short period of time tends to be water that runs off the surface rather than being absorbed in the soil.

Why invest in private reforestation and afforestation?

2009-11-12T23:18:00.001-06:00

It is popular in some sectors to blame the free market for deforestation, which in turn causes high lumber prices and wood shortages. This blame game probably deters some people from investing in reforestation and afforestation by the private sector, because they feel that harvesting the trees later is somehow not “green” or environmentally friendly. But what if in fact the exact opposite is true? The economics of growing plantation wood may in fact be much more environmentally sound than the alternative. Let us consider some examples. In Germany, Spain, Colombia and a number of other countries, there are many privately owned forests. How is it that those forests aren’t permanently clear cut? After all, doesn’t a capitalist want to maximize his or her profits in one sweep of the chainsaw?

The answer is really quite simple. A tree farmer or plantation owner with property rights does not log everything in sight, because it is in their best interest to preserve the sustainability of the plantation for on-going, long term profit. Their profit and the sustainability of the land is greatly reduced with a quick one-time windfall. A well managed forest or woodlot provides profit over the length of the tree farmer’s tenure. Common sense says that as markets and prices fluctuate based on supply and demand principles, selling only a few trees at a time while replacing them makes good economic sense. Contrast this with government-owned or community-run forests. When there are no property rights involved loggers tend to maximize their take, simply because they have no certainty for the future. There is no reason to act in a sustainable manner, because what one logger doesn’t take the next one will. For instance, the destruction of the Amazon rainforest can in many cases be traced to a lack of property rights in Brazil. The same can be said for the destruction of forests of Indonesia, India and Africa.

Selling only some trees at a time while replanting guarantees that there will be trees for future profits. Smart plantation and woodlot owners know that demand continues to grow for wood products, meaning that as lumber prices rise they will enjoy even greater profits in the future. A clear cut doesn’t continue to make money, but a sustainable forest does, because the tree farmer can have other on-going revenues, like eco-tourism or paid hunting on private land, or revenues from alternate harvests like fruits, nuts, seeds, saps like maple syrup or latex for rubber, to name just a few. It is hardly surprising that if people can have long term sustained income they will choose that over one short-term windfall cheque. In the case of Amazonia Reforestation, we are counting on our afforestation efforts to provide numerous spin-off industries for the benefit of local communities, like rainforest honey production, eco-tourism thanks to expanded wildlife habitat, and ever healthier soil, allowing the planting of greater varieties of hardwood trees, each with even greater cash values, for future harvest. So if you are thinking about a green investment, then afforestation and reforestation of tropical trees is not only profitable, but sustainable and beneficial in numerous ways.

Why is timber investing so profitable?

2009-11-06T10:44:00.000-06:00

Sometimes it is a good idea to review why tropical trees have become such a good investment. It has only been in the last 70 years, starting in the 1940’s, that the idea of growing trees for sale and profit in international markets has become a major business. Since then, forestry companies, plantations and investors have been planting, buying, selling, harvesting and processing trees in an organized manner, making timber a recognized commodity that has managed to consistently outperform world stock markets. The attraction for many investors was seeing the pulp and paper industry panic after World War Two, as it had invested in pulp mills around the world. There was a sudden recognition that timber supplies were shrinking. Human and urban expansion, pressure from other industries like building materials, ranching and agriculture, and increased environmental awareness meant that the pulp and paper industry needed to start planting trees to feed their mills if they were to survive. The days of recklessly logging natural forests had come to an end.

The result of this recognition was an industrial approach to forestry. People could see sophisticated machinery clear cutting woodlots and processing plantations of all ages to feed not just the pulp and paper industry, but also providing lumber for the post-World War Two building boom and for the myriad other uses timber is known for. If anything, this pressure was even more noticeable where tropical trees were concerned. Many developing countries were slow to protect their natural resources, like Brazil where much of the Amazon forest has been devastated, or Haiti, where the forests were used for cooking fuel. Yet others have gone the other route, like India or Costa Rica, with strict forestry laws, huge national parks, and other wood management regimes which have drastically reduced access to timber. All of these factors proved themselves to be the signs investors were looking for. Busy timber markets and increased pressure on planetary forests signalled healthy demand, while evidence of huge resources being spent to plant trees meant that wood processing industries and woodlot owners were confident of their markets and profit margins. Investors correctly deduced that demand at the very best equalled supply, but more probably surpassed it. Years later trees, and especially tropical trees and hardwoods, are now recognized as extremely profitable investments.

As if that were not enough, investing in timber means more than just profit. Timber is also one of those rare commodities that protects against inflation. Tropical trees grow even when they are not cared for. Using modern forestry practices and management techniques means plantations can produce non-compounded returns on investment of 30% to 40% a year over a 10 year period from biological growth alone, without even considering the value of the land or the fruits and other products that are profitable spin-offs. For example, the wood of rubber trees is valuable in its own right, without taking into account the value of the latex those tropical trees produce. The ability of tropical trees to absorb or sequester large amounts of CO2 on an annual basis from the atmosphere is a whole new and evolving industry in the fight against climate change. Best of all, tropical trees grow much faster than their temperate and boreal cousins, often leading to profitability in as little as 10 years time. Amazonia Reforestation represents all of the benefits mentioned here, so what are you waiting for? Make a green investment today!

Agroforestry Marketing and News

2009-11-02T12:48:00.001-06:00

Earlier today I registered Planeta Verde Reforestación S.A. with a new agroforestry trading service out of Serbia, with a representative in Argentina. They call themselves Agrofood Planet and have ambitious plans to become the one and only true internet based agricultural portal for suppliers and buyers. I like this approach to marketing, because it allows suppliers like ourselves to be found by potential buyers anywhere on the planet. Since the market for tropical hardwood lumber is international, this is a very cost-effective and efficient way of making trading contacts. While they get started buyers and suppliers can register for free. Their new web site is located at http://www.agrofoodplanet.com/.

A very interesting technology has been invented by Gary Lewis, a Canadian farmer and Alberta rancher. This technology has experienced several years of testing in places like the UK, Australia and China, and promises to revolutionize some aspects of agriculture. What Mr. Lewis discovered is that if one injects the CO2 emissions from one's tractor directly into the soil, the mineral rich emissions seem to act as a catalyst that breaks up soil nutrients and minerals in such a way as to boost whatever one is planting. All farmers testing this technology state that they have not had to use fertilizers now for several years, a savings that can often run into the hundreds of thousands of dollars. The other intriguing aspect of this process is the fact that the emissions are held in the soil where they can become part of the biomass of the plant or tree, and are not discharged into the atmosphere. This makes the process a win win win for the farmer, the customers and the environment.

Two former Agriculture Canada scientists turned consultants, Dr. Jill Clapperton and Dr. Loraine Bailey, have stated that the exhaust emissions have had a positive effect on crop growth, yield and quality, and may have positively enhanced soil nutrients and chemistry. The process results in a significant release of soil nitrogen (N) and stimulates crops to take up that nitrogen. There is also a small increase in the uptake of phosphorus, potassium and sulphur. The World Health Organization published a Volkswagen study that seems to confirm the potency of diesel exhausts. A light duty Volkswagen diesel engine emits by weight 75 per cent nitrogen, 15 per cent oxygen, seven per cent carbon dioxide and 2.6 per cent water vapour. Several other substances are also emitted in quantities of less than 0.1 per cent. Needless to say this offers amazing opportunities for tropical tree afforestation projects on marginal land. By reducing or eliminating the CO2 emissions caused by the tractors and reduced fertilizer costs, together with the carbon sequestration capacity of tropical trees and a promising excellerated growth rate, this becomes a very attractive situation for Amazonia Reforestation investors.

Compare stock market to direct tropical tree investments

2009-10-27T14:39:00.000-05:00

I suspect many of you didn't know that you can invest in tropical trees on the stock market. The issue for me, however, is whether that is the best approach for smaller investors or for people who are not watching the market diligently on a daily basis. If you have purchased tropical trees through a broker please don't take this article the wrong way, as I applaud you for making a green decision. However, I want my comments to provide people with some food for thought, especially given the 2 spectacular stock market meltdowns we have witnessed in the past decade alone. I suspect many of us make investment assumptions that are not really based in fact or reality, so maybe these 3 comparisons will be of assistance. Whichever way you choose to go, you should have the opportunity to compare your options before making an investment decision. A good article on the subject can be found here.

Practical Considerations

If you are going to invest in the stock market you need a brokerage account. This automatically puts a middle man between you and the companies in which you may wish to invest. That middle man or broker is going to take a commission for every transaction he or she handles. In addition, many brokerages don't even want to talk to you or open an account if you have less than $50,000 to $100,000 to invest. If you look for cheap solutions like on-line brokerages, then you lose the service factor. A frequent issue is conflicted advice. Many brokers will recommend stocks that are questionable simply because the brokerage has a special deal with the company in question. In those cases the brokerage hopes to move the stock price in the short term by piling people into that stock without any consideration for the long term capacity of that company to produce results. None of these considerations affect people who invest directly and privately in tropical trees with a plantation or forestry company.

Due Diligence

Other people assume that because the SEC or securities commission has licensed a business for public trading due diligence is no longer a factor. They are dead wrong. First off, it is not the SEC's responsibility to evaluate the business model a company has, nor can they mind read to ascertain whether someone is lying or not. The result in the past decade has been less than comforting. Recently we had the fund fiasco with Bernie Madoff, the spectacular frauds of Enron, Worldcom, Bre-X and barrels of others, and the incompetence of banks (Lehman Brothers et al.) and insurance companies (AIG et al.) around the world investing in assets that were value-less and unsupportable. Regulation is not a guarantee of anything, and government has shown itself to be an extremely poor arbiter of market place malfunctions, though government seems to have no problem using taxpayers money after the fact to try and bail out CEO's who deserve no leniency. In contrast, a direct investment in tropical trees with a plantation or forestry company makes for easy due diligence. You can ask and answer these questions yourself: Do they own or control the land on which my trees will be planted? Are they actively planting tropical trees at present? Can I visit and see where the trees I want to purchase are being planted or have been planted? Answers to these questions are usually right there on their web site or just a phone call or visit away.

What Am I Buying?

If you invest in the stock market you are buying shares in the company that is promoting the green investment. That can be a problem if they are not actually the plantation that is growing the trees. Shares can be problematic when companies keep on selling shares to raise money, which means that the stock you hold is being continuously diluted, with your percentage of ownership declining as time passes. Despite these problems publicly traded timber stocks have managed to average a growth of about 13% non-compounded a year for investors, which is pretty good. However, consider that if you invest directly with a plantation by owning some tropical trees, you are secured against the primary asset of the business. You are not sharing in any dilutions of the stock, or other risks. If you buy 100 tropical trees on day one, you own 100 mature tropical trees on the maturity date in 10 years time. It becomes a matter of low risk but high return. For example, Amazonia Reforestation investors earn a return of between 30% to 40% per year non-compounded over the 10 year growth cycle of their tropical trees, depending on the amount they invest. $4,000 invested becomes $17,000 in just 10 years time, way better than anything the stock market can offer, and in my opinion with a lot less risk.

MOU with University of Alberta

2009-10-13T19:02:00.001-05:00

I am extremely pleased to announce that the Memorandum of Understanding (MOU) between Planeta Verde Reforestación S.A. representing Amazonia Reforestation and CO2 Tropical Trees and the Faculty of Agricultural, Life and Environmental Sciences at the University of Alberta (U of A) in Edmonton, Canada, was formally signed today at the U of A. Dr. Kochurani Dombro signed on behalf of Planeta Verde, while the university's Provost and the faculty's Dean signed on behalf of the University of Alberta. Also participating were Dr. Debra Davidson, one of the professor's planning a study using our tropical tree farm as a base, and Renny Khan, the Director of the International Centre for the university. Dr. John Spence is another professor planning a carbon sequestration study based on the tropical trees we are planting in Colombia.

The MOU is a way of setting in place a collaborative effort between our two entities. Specific contracts will be signed on a case by case basis in the future, for each study, research or program, as it is mutually agreed upon. Planeta Verde for its part has offered the use of its facilities, infrastructure and land for U of A studies and research. We are also hopeful that the natural reserve we are establishing in Vichada, Colombia, will provide further opportunities for zoological and botanical studies in the future. This signing comes hot on the heals of another MOU we signed with the world renowned Omacha Foundation of Bogotá, Colombia, who will be doing a biological inventory of our natural reserve, will assist us in the establishment of an endangered river turtle hatchery, and will work with us for the conservation of native tree species.

I'm off to Colombia

2009-10-02T21:20:00.000-05:00

If you are worried about investing in tropical trees in Colombia, don't be. President Alvaro Uribe, now completing his second term in office, has done an amazing job of stabilizing Colombia. The country is now rated with Brazil and Chile as one of the top Latin American economies. In fact, Business Week magazine has rated Colombia one of the top 3 investment jurisdictions in the world. There are still problems with drug traffickers, thanks to the insatiable demand for drugs in the USA and Canada, but these days those problems have been isolated by the Colombian armed forces along the Ecuadoran border in the country's South. Most tree planting occurs in the interior and out in the eastern plains, or llano of Colombia, well away from the coca growing areas.

I am flying into Bogotá, the capital, an exciting and modern city of 8 million. I am going to be meeting with the world-renowned Omacha Foundation and their executive director, Fernando Trujillo, Ph.D.. I am also meeting with the local Kubota representative to talk about getting more tree planting equipment on the job. Numerous airlines fly into Bogotá's Eldorado airport, but I usually take Taca, as they seem to offer excellent service with connections throughout Central and South America, the USA and up into Toronto, Canada. On Monday morning I'm catching the local Satena flight to Puerto Carreño in the eastern departamento or province of Vichada, some 55 KM from the plantation. Puerto Carreño is a spectacular town on the banks of the mighty Orinoco River, just across from Venezuela.

More amazing Acacia mangium facts ...

2009-09-28T14:52:00.000-05:00

One surprising fact about Acacia mangium is its honey production. Africanized and other bees are attracted to Acacia mangium, because its petioles or leafstalks exude extra floral nectar year round, which allows for ongoing honey production. The bees also enjoy the flowers and are the primary pollinator for the tree. Beehives in Acacia mangium plantations produce up to 110 kg or 242.5 lbs of honey per hive per year, which is important for local economies and employment. The only disadvantage is the aggressive nature of Africanized killer bees, which means plantation workers and others need to take extra care when gathering honey or confronting bees.

It has been suggested that Acacia mangium may offer a partial solution to ecological and human problems in sub-Saharan Africa due to 2 factors. The first is the tree’s long history of doing well in reclamation and erosion control projects with poor soils. The second factor is its food value. The germinating seeds can be cooked and eaten as a vegetable. Studies indicate that the seeds are high in crude protein content. Acacia mangium shoots and phyllode leaves have also proven themselves as a crude protein fodder source for sheep and goats, though with low in vitro dry matter digestibility, so best eaten fresh. Together with honey production this offers opportunities for rural subsistence economies.

The tree’s versatility can be determined from other facts as well. As a fuel Acacia mangium has a calorific value of 4,500 to 4,900 kcal/kg (8,098 to 8,818 Btu/lb). This makes it an excellent source for charcoal briquettes and artificial carbon where ecological fuels are required. Where paper making is concerned, the pulp is easily bleached to high brightness levels. The pulp and paper industry considers Acacia mangium ready to harvest after only 6 years of growth. Acacia mangium has a bright future in a number of other industries as well. It is already proving itself ideal for both high and medium density fibreboard products. Other studies suggest that using Acacia mangium wood wool (excelsior) is an environmentally friendly solution for organic packing materials. The tree's sawdust offers a good quality substrate for the profitable gwowing of shiitake mushrooms. The wood has a high tannin content (18% to 39%), meaning that it may become an important source for organic dyes as well. Yesterday's and today's blog tell the story of why investors with Amazonia Reforestation are enthusiastic about Acacia mangium.

Acacia mangium - an investor's miracle tree!

2009-09-27T16:44:00.001-05:00

Acacia mangium is a miracle tree in terms of fast growth. Since investors don't want to tie their money up indefinitely, a 10 year turn around is only sustainable if the tropical hardwood trees being planted produce rapid results. Acacia mangium lives up to that promise. It can go from zero to a 50 cm (20 inch) diameter bole or trunk in just 9 years. Since wood is sold in cubic meters in much of the world, another way of expressing this increase is in cubic meter growth per hectare (2.47 acres). Acacia mangium can add 35 to 50 cubic meters of wood per year per hectare in a good location, such as the plantation managed by Amazonia Reforestation. A 9 year old tree will be 21 meters of 65.5 feet tall. When planted for pulp and paper purposes Acacia mangium is often harvested after just 6 years of growth, a factor popular with that industry.

Equally important to an investor are the potential markets for a hardwood. The obvious primary use for Acacia mangium is wood. This straight trunk tropical tree is a hardwood with an extensive product range, including sawn or hewn building timbers, heavy construction uses, beams, boat building, containers, crates, boxes, industrial and domestic wood ware, tool handles, brushes, turnery, furniture, cabinets, flooring, decking, veneers, wood based materials like particleboard, fibreboard, medium density fibreboard, wood wool or excelsior, pulp and paper, charcoal and firewood. Acacia mangium’s density and fibre length allows the wood to be sawn, polished, drilled, glued and washed.

Besides its timber value, Acacia mangium's fast growing nature is ideal for carbon sequestration programs like the one offered by CO2 Tropical Trees. As we saw from its significant annual cubic meter growth this means that Acacia mangium can sequester an average of 50 lbs or 22.6 kg of CO2 per tree per year. Since more than 50% of the average tropical tree’s woody biomass is carbon, this is an excellent long term storage solution, as the carbon remains trapped in the wood even after harvest for uses like building material and furniture. Industries like oil and gas requiring carbon offsets, regardless of where they are located, can make use of Acacia mangium’s excellent carbon sequestration properties. Atmospheric carbon is a global problem that can find a significant partial solution with tropical trees like Acacia mangium.

What have others said about investing in timber?

2009-09-23T16:36:00.000-05:00

I thought these excerpts would be of interest to new tropical tree investors. Get involved now and buy some tropical trees at Amazonia Reforestation. The sooner you invest, the sooner you collect your gains.

The Economist, February 5, 2007 - “He plants trees to benefit another generation” said Caecilius Statius, a Roman comic poet. The sentiment remains admirable, but modern investors are putting money into trees to reap benefits in the nearer term. A growing number of rich individuals, endowments and pension funds are including timber as a “hard asset” in portfolios. No wonder. Average annual returns on timber—meaning managed preserves that are eventually harvested—have outstripped those from leading global stock indices, property, oil and gold for the past decade. Worldwide, timber has attracted more than $20 billion of investment from institutional investors. Advocates say managed timber reserves are good for the environment too, preserving biodiversity on lands that might otherwise be logged recklessly.

Smart Money - Since the days of Robin Hood and King John, the wealthy and powerful have owned woodland. But about 20 years ago, a few insurance companies and big pension funds started buying forests as a hedge against inflation. For the first time, economists began evaluating timber in terms of total returns and risk/reward ratios. The track record of early investors — and a slew of recent academic research — indicate that timber is a near-perfect asset. Studies show that a diversified timber portfolio would have returned 13.3% annually over the past 40 years, compared with 11.6% for the S&P 500. Impressive, but that's just the beginning. Timberland is also remarkably low-risk, with volatility more like bonds than stocks. And it tends to perform best when stocks and bonds go down, making it a neat counterweight.

Money Week - China is crying out for timber. Until recently, China had far less forest (roughly 18%) covering its land than other countries. Beijing imposed restrictions on harvesting timber and has thrown its weight behind creating man-made plantations. In the meantime, China has relied on imports to make up for shortage of timber. Imports to China increased tenfold from $53bn in 1990 to $561bn in 2004, with the bulk in recent years coming from Russia. But just as the Kremlin is happy to use its energy reserves to hold economies to ransom, it is squeezing its timber customers as well. Russian export taxes on timber rose to €15 per cubic meter on 1 April and are expected to balloon to €50 next year.

What happens when you plant 3.25 million tropical trees?

2009-09-19T12:34:00.002-05:00

The reason I ask this question is because I did the calculations for an oil company the other day. It takes about 2,750 hectares or 7,200 acres of land to plant that many trees. That is a lot of land, so what impact would planting that many tropical trees have on global warming and climate change? Assuming the tropical trees in question were fast growing species like Acacia mangium, Caraipa llanorum and Eucalyptus pellita, to name just a few, then there should be a significant carbon offset thanks to the ability of tropical trees to sequester CO2. Since 50% or more of the woody biomass of a tropical tree is carbon, so it seems to me that anyone who is serious about reducing atmospheric carbon needs to take action and start planting.

Since the average tropical tree absorbs about 50 lbs or 22.6 kg of CO2 per year, the number would have to be enormous. Assunming the trees take a full year after planting to start sequestering that much carbon, then 3.25 million tropical trees should sequester 162.5 million lbs or 73.45 million kilograms of CO2 every year. Since tropical trees are most effective at sequestering carbon during their first 10 to 12 years of life, that means that if the trees were cared for and maintained for 10 years after becoming CO2 effective, 3.25 million trees would sequester 1.625 billion lbs or 734.5 million kilograms of CO2 during that 10 year period. That is 734,500 metric tons or 809,648 imperial tons of carbon. Clearly, this makes a lot of sense for industries like oil and gas that need to offset their CO2 emissions.

It would cost approximately $6 million dollars (including land, equipment, materials, labour and more) to plant 3.25 million trees.If one starts to factor in the other benefits, like oxygen for all of us to breathe, the removal of a large number of pollutants other than CO2 from the atmosphere by tropical trees, expanded habitat for endangered wildlife, socio-economic benefits to communities in developing countries, and the conservation of native tree species for better bio-diversity, then the price tag becomes ridiculously low. So why don't you call up your local oil and gas company or petro-chemical industry and ask them why they are not actively funding the planting of tropical trees? Send them to http://www.co2tropicaltrees.com.

2009-09-16T16:00:00.000-05:00

An investment in fast growing tropical trees can return between 30% to 40% per cent non-compounded per year over a 10 year period. Can you say the same thing for your portfolio? The problem with many investors is that they think short term is one week and long term is two weeks. It doesn't take a rocket scientist to figure out that is an unlikely formula for success. What investors with that mindset are really doing is gambling with their money in hopes of some sort of a quick return. Let's call it the Vegas syndrome.

On the opposite end of the spectrum are the people who buy government savings bonds and treasury bills, earning between 2% to 4.5% per year, a return on investment which rarely exceeds the inflation rate. Let's call it the Clueless syndrome. In the middle are the people who buy stocks, shares and mutual funds and then get defrauded by Wall Street, Bay Street and Fleet Street, while company CEO's get multi-million dollar compensation cheques for putting their company into the red. Let's call this the Mainstream syndrome.

With all the raped and pillaged IRA's, RRSP's and Pensions out there, one would think that people would be flocking to low risk high return opportunities like tropical trees. I used to be a victim of the Mainstream syndrome. I would deposit $200 a month to my RRSP and get a monthly statement from my mutual fund showing plus $200 for the deposit and minus $300 thanks to their investment savvy. Sound familiar? I first started investing in tropical trees in 1995, and I haven't looked back since then.

Forest Certification

2009-09-14T16:19:00.000-05:00

One of the best ways of making sure the wood in your coffee table didn't come from a rainforest tree is by making sure that the lumber used was FSC certified. FSC means the Forest Stewardship Council, a non-profit organization that is dedicated to certifying that lumber was either legally cut or came from a plantation. FSC was Established in 1993 as a response to concerns over global deforestation. In order for Amazonia Reforestation to sell its plantation lumber into the USA and Canada, it needs to have its tropical trees FSC certified. This is a process with which most responsible wood lots and plantations are happy to comply.

FSC has certified some 115 million hectares (1.150,000 square kilometers or 444,020 square miles) of wood lots and forests to date. Since the organization consists of members from environmental groups, the timber industry, aboriginal groups and other stakeholders, it has broad-based appeal. It works with small forest holders and large forestry management companies alike. Certification doesn't just end at the plantation. FSC provides chain of custody certification as well, so that only certified lumber is shipped to and received by the end user.

An FSC certificate tells the public and the end user that the wood producer complied with the highest environmental and social standards on the market when they produced the trees. This makes FSC certification a very credible approach to complex environmental and social issues affecting our planet. More and more timber resellers, governments and instituions are now demanding FSC certification when they are procuring lumber from sensitive sources around the world.

What is the investment appeal for tropical trees?

2009-09-12T11:11:00.001-05:00

Tropical trees and hardwoods have outperformed the stock markets since before the 1940’s. Can you say the same thing for your portfolio? All you have to do is go to a lumber yard that deals in tropical hardwoods and check out the board foot prices to realize that this is a commodity like no other. Even on sale or with a special discount most hardwoods are almost unaffordable. What are the economic factors that make tropical trees so valuable? Simply put, the answer can be broken down into three main points:

Every year there are more and more people on our planet eager to consume wood products for: construction, furniture, pulp and paper and fuel, to name just a few wood uses.
Every year there are fewer and fewer natural forests accessible to loggers, making demand exceed supply in many instances.
Tree plantations and wood lots have to compete with urban areas and agricultural uses for available land, restricting the number of plantations that grow hardwood trees.

Tropical trees have appeal around the planet. Potential markets are not restricted to just one or two regions, but rather extend to every continent on the planet. Even when the economy in North America is in recession, China and India are buying. Many regions have virtually no or scarce lumber resources, such as North Africa and the Middle East, India, Pakistan and China. Some regions have few hardwood resources that can be grown in economically feasible time periods, being instead limited to softwoods, such as most of Europe, Russia, Canada and much of the United States. Visit Amazonia Reforestation for more information at http://www.myreforestation.com/.

Setting up a Natural Reserve and Wildlife Refuge

2009-09-10T18:01:00.000-05:00

I have spent the last few days preparing a detailed submission to potential funding sources for the establishment of a 10 square kilometer natural reserve along the banks of the Rio el Bita in Vichada, Colombia. The area we have selected has two old growth inundation forests, 5 km of river bank, 2 quebradas entering the river (flood channels) and a unique river inlet for which we have big plans. Registering the natural reserve under Colombian law and putting in the infrastructure will take a year. The second year will see us open to the public, hopefully with University of Alberta researchers using it as a base for two studies they would like to do, and with local Colombian botanists and zoologist helping us to create an eco-tourism marvel.

I mentioned the unique river inlet. The plan there is to construct an aquatic turtle hatchery. We would collect turtle eggs from up and down the Rio el Bita before poachers can get to them, hatch them at our facility, and then release them into the river inlet. This process should insure a higher than normal survival rate for these endangered creatures. There are 3 varieties of aquatic turtle in Vichada, all of which can get very large when they are not being hunted. I can hardly wait to get started. There are of course quite a few other aquatic species that will have some protection thanks to the natural reserve, including pink dolphins, giant otters, yellow-bellied caimans, giant anacondas, manatees, sting rays and more.

The project includes the planting of 2 square kilometers of native tree species for expanded wildlife habitat, the construction of an interpretive center for eco-tourists, and viewing platforms for researchers, artists and tourists wishing to experience the magic of the inundation forest. I am hoping that we will be able to have a budget for volunteers to stay at the reserve and assist with studies and other activities designed to educate the locals about the benefits of preserving the environment. I am planning on including a page regarding this project in our CO2 Tropical Trees web site, which will be re-launched with a major overhaul soon.

Ploughing to Plant Tropical Trees

2009-09-08T23:07:00.000-05:00

One of the reasons why investing in tropical trees is low risk is because well managed plantations are in the business to make money themselves. They can't afford to be sloppy. A good example is how they prepare the ground for planting. Because tropical trees sink deep roots, the ground needs to be ploughed to a depth of 60 or 70 cm (2 feet). This loosens the soil so that the seedlings can set root quickly. In order to keep the soil soft so that each seedling has a good start, plantation crews add lime (cal in Spanish) to the freshly ploughed field. They also add boron (boro in Spanish), which provides the trees with an essential element that prevents leaf rust and some other potential problems.

Last but not least, fertilizer is added to the soil. The trees themselves fix nitrogen in the soil as they grow. 100 hectares of land or 250 acres require approximately 32 metric tons of lime, 6 to 8 metric tons of boron, and 12 to 16 metric tons of fertilizer. It takes 1 to 2 weeks to plough 100 hectares, depending on soil conditions and rock. Plough blades often go dull and need to be replaced. And then of course there is the constant maintenance required on the tractor, with oil, filter and fluid changes and lube every 50 and 100 hours, based on manufacturers specifications. The tractor Amazonia Reforestation uses is a 105 HP Kubota.

The Inundation Forest

2009-09-07T23:49:00.000-05:00

Perhaps one of the most exciting aspects of afforestation and reforestation in the Orinoco plains of eastern Colombia is the inundation forest. Just like it sounds the forest is flooded. But this is no ordinary flood, instead it happens every year for as much as 3 months at a time during the height of the rainy season, from June through to August and maybe even September. All the rivers rise above their banks as torrential tropical rains occur. Only the tree tops remain above the waters, which in many instances are as much as 15 feet or 5 meters deep. The effect is absolutely magical, as access to the rainforest is only possible by boat and canoe.

These conditions have caused the tropical trees of the inundation forest to evolve to be flood resistant. Their roots go deep and straight into the ground, so that the trees are not affected by the massive flood waters all around them. Once the flood waters recede the jungle returns to normal, though tell tale signs remain. Certain fungi and some types of lychen mark the high water points on the trees. Species include Caraipa llanorum commonly known as Saladillo, Acosmium nitens commonly known as Congrio, Ocotea cymbarum commonly known as Sassafras, Aceita maria commonly known as Aceita, and numerous others.

Needless to say the trees that live through the inundation cycle provide some exotic, strong and colorful hardwood. One of the toughest customers is the Congrio, the lumber of which is so dense that even left untreated it remains sturdy for 30 years or more, and is more than a match for ants and termites. Amazonia Reforestation is actively working with the Omacha Foundation to preserve many of these native tree species. Considerable effort is going into determining the best way to commercialize some of these species in a plantation setting. During the wet season is one of the best times to see wildlife, because many creatures leave the inundation forest for the drier plains. But others move in to feed, like pink dolphins, manatees, sting rays, giant otters and anacondas, to name a few.

Endangered Wildlife and Reforestation

2009-09-06T12:17:00.000-05:00

One of the important aspects of tropical tree reforestation and afforestation activities is expanded habitat for endangered wildlife. However, there a couple of caveats that must be considered. As discussed in yesterday's blog mono-culture plantations do very little for wildlife, because most creatures are niche dependent. This means that a good reforestation and afforestation project should be based on a multi-species approach. It should include the planting of native tree species (trees that are local) and fruit trees, so that the new habitat can provide food as well as shelter. This is the methodology employed by Amazonia Reforestation and their afforestation program in Vichada, Colombia.

The other caveat is that the tropical tree plantation must harvest in stages, so that the wildlife is not faced with a clear cut. This is best achieved in multi-species plantations, because the trees mature at different times and can therefore be selectively logged at different times. This approach allows the plantation to plant replacement trees in the areas that have been selectively harvested, so that the forest is maintained. Since the fruit trees would rarely be cut, they will start to form anchor points with in the new forest that wildlife can depend upon. This type of reforestation and afforestation benefits a variety of creatures, such as (1) monkeys, jaguars, ocelots, possums, sloths and other mammals, (2) birds like parrots, macaws and parakeets, who all depend on fruit and native nut trees for their survival, (3) reptiles like iguanas, boa constrictors, vipers, anacondas and tortoises, (4) amphibians like frogs, salamanders and newts, and (5) the many decorative fish that live in creeks, quebradas and caños and depend on the forest for food and shaded waters.

One often forgotten beneficiary of reforestation is insect and worm life, specifically species that are rarely seen out in the open, but which play important roles in ecology and in the environment. These insects convert deadfall into food for the trees, breakdown pollutants and improve the soil. They also provide food to many creatures that use the forest as habitat, and therefore form an indispensable link in the food chain. Needless to say, a healthy forest also supplies an entire level of additional activity that is either invisible to the human eye or ignored by us, such as bacteria, fungi, lichens, mosses and a variety of single and multi-cell organisms that are so important for life on Earth.

Mixed Species Tropical Tree Planting

2009-09-05T14:16:00.001-05:00

There are several reasons for doing a mixed species tropical tree plantation. From a technical point of view the reason is to produce more robust, stronger and faster growing trees. The idea is that if one only has one species of tree in a plantation, then those trees are reluctant to compete with their brothers and sisters for space, resulting in slower growth. However, if the roots around them belong to different species, then tropical trees will maximize their efforts to be the biggest and tallest in the competition for space in the rainforest canopy. This is of course desirable from a wood investment point of view.

Mixed species planting also means that when it is time to harvest, selective logging makes more sense. Since different species grow at different rates, only some trees are ready to harvest, meaning that clear cutting is neither responsible nor sensible. This way, as trees are selectively cut, others are planted within an existing forest, making for a healthier forest and a healthier environment. In my opinion clear cutting is a crime, because forests and woodlots have their own social networks. Many seedlings prefer to grow within existing forest, and struggle when planted on their own or out in the open.

A reason for mixed species cultivation is wildlife habitat. Amazonia Reforestation plants fruit trees and native species with plantation species. This permits endangered wildlife to make use of the plantation as additional habitat. Because of the native species and the fruit trees, wildlife can find food in this expanded habitat. One of the things I hate about teak plantations in Central America is that when one enters them they are dead. There are no insects, no birds and no animals. The reason is simple. Teak is a southeast Asian tree that is not native to the Americas. Since most insects and wildlife are niche dependent, mono-species teak cultivation offers nothing in return to its adopted home. The same goes for oil palms, which are a disaster for the environment and for endangered flora and fauna.

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2009-09-05T11:46:00.003-05:00

Why tropical trees are low risk high return!

2009-09-04T16:32:00.002-05:00

The first thing you need to do is get away from the kind of short term thinking that causes so much trouble for investors. Many people enter the stock market thinking that short term is one week and long term is two weeks. If you stop and think about it, what they are really doing is throwing the dice in hopes of a magical quick return on investment. As any business owner will tell you, it takes years of careful management and strategy to build a profitable business with consistent returns. Too many public companies and mutual funds try to short term please investors, leading to poor performance in IRA’s, RRSP’s and pensions.

Once you accept that it is going to take 10 years to see a return, the next question is how big a return? Bank savings pay from .75% to 2% a year. Savings bonds, CD’s, GIC’s and Treasury Bills pay between 2.5% to 5% a year. People with stock portfolios are ecstatic if they can average a 10% a year return, rarely consistent and always risky. Contrast that with people who invest in low risk tropical trees and hardwoods. It is not unusual to have annual growth of from 30% to 40% non-compounded. For example, Amazonia Reforestation pays its investors a return of about 33% per year non-compounded. An investment of $4,000 USD will produce a return on investment of $17,000 USD in 10 years time. In contrast the same $4,000 USD making 10% compound interest over 10 years produces only slightly over $10,000 USD, assuming no recessions or other risks.

So what are the risk factors? The obvious risks are drought, fire, flood, disease and pests. All of these risk factors are greatly reduced using modern forestry practices. Tropical trees are planted in places where there are consistent and predictable weather patterns, making drought and flood problems minimal. Fire breaks and controlled burns of surrounding areas, together with strict underbrush controls make fire risk negligible. In fact, some species of tropical trees, like the Saladillo and Congrio are actually natural fire barriers. Disease and pests are limited by multi-species cultivation, meaning a good tree plantation does not have all of its eggs in one basket. This greatly reduces the incidence of pests and diseases, which may be further controlled with spraying and frequent harvests in 10 to 12 year cycles.

Best of all, the investor does not need to buy stock or shares in the forestry company. Rather, the investor has the option of buying the tropical trees directly. For example, Amazonia Reforestation issues Tree Ownership Certificates to its investors for the exact number of trees they own in the plantation. This joint venture approach has the added due diligence benefit of allowing the investor to come and see, touch and hug their trees any time they want. The plantation or forestry company provides the land, the tree nurseries, the planting, the know-how, the management, the harvesting and the ultimate sale of the timber, and shares those proceeds with the investor on a low risk, high return basis. See http://www.myreforestation.com/.

2009-09-03T10:03:00.002-05:00

There are 3 principle ways of offsetting carbon. The first, and my favorite, is to be pro-active and to do something that will actively sequester CO2 from the atmosphere. Planting tropical trees qualifies in spades, because as each tree grows it absorbs carbon at an average rate of about 50 lbs or 22.6 kg a year. The second way, and my least favorite, is what I call the status quo or do nothing approach. This is where you agree to not chop down the forest or to not fly someplace. In other words, if one doesn't do something then no CO2 will be generated. The third approach, almost as important as the first one, is to actively reduce the CO2 one is producing, so for instance insulating one's house, turning the thermostat down, changing to energy efficient light bulbs, installing and using alternative energy sources like solar, wind or hydro power. Well, I'm sure you get the idea.

I actively promote CO2 Tropical Trees, which is a program dedicated to helping consumers like yourself make your car carbon neutral. The program relies on the US Environmental Protection Agency's finding that the average North American car emits 12,100 lbs of CO2 every year. That means that it takes an average of 242 tropical trees, each absorbing 50 lbs of CO2 a year, to offset the emissions of your car. The CO2 Tropical Trees program plants 250 tropical trees and cares and maintains them for you for a 10 year period, meaning that your car can be carbon neutral for those same 10 years. The cost of doing this is only $750 for all 10 years, or by annual subscription of $85 a year. To make it simple, you could offset your car's annual CO2 emissions for the price of just a single fill-up at the pumps, or about $0.20 a day.

Besides knowing that you did the right thing, your funding of the tropical trees they plant gets you an annual bumper sticker and windshield decal that lets you brag to your neighbours, friends and associates about the fact that you are doing something "real" in the fight against global warming and climate change. Equally important, the tropical trees being planted provide invaluable habitat and food for endangered wildlife. Part of the CO2 Tropical Trees program is dedicated to setting up a Natural Reserve on plantation land in cooperation with the world renowned Omacha Foundation. Simply put, this is a socially responsible and "green" activity you need to do right away.

2009-09-02T14:46:00.001-05:00

I am starting this blog to tell people about the low risk - high return opportunities offered by tropical trees. Despite the name, this blog is about more than financial investing. The way I see it, any time you fund the planting of tropical trees you are having a positive impact on the planet. Besides making money, tropical trees sequester carbon dioxide (CO²), provide employment to people in developing countries, feed and provide habitat to endangered wildlife, absorb pollutants, produce oxygen, are the source of numerous natural medicines and remedies, fix nitrogen in the soil, stop erosion, hold ground water and lift the spirits of humans on a planet with more and more people living on it all the time. The list continues, and it is my hope that I will be able to address all of these issues in the coming months.

First I guess in would be in order to introduce myself. My name is Dexter Dombro. I am a lawyer who had an epiphany one day and decided to do something useful with his life. I quit the law and started to work on affordable low cost housing for low income working families in Central America. This led to a fortuitous meeting with some folks in Colombia who wanted me to see some areas in the eastern plains of Colombia (the llano oriental or Orinoquía) that were ideal for afforestation and reforestation projects. I agreed and the next thing I new my wife and I became the owner operators of a tropical tree farm in the Departamento of Vichada, in Colombia. The tree farm is located along the banks of the Rio el Bita, which flows into the mighty Orinoco River, not far from the river port city of Puerto Carreño.

So everything I am going to talk about in this blog is based on first hand experience, a little bit of knowledge and a lot of passion. Perhaps the most exciting aspect, for some people, is the fact that tropical trees as an investment have consistently outperformed the world's stock markets since before the 1940's. This shouldn't really surprise anyone, because there are less and less forests available to logging companies and more and more people on the planet wanting wood products, for construction, furniture, pulp and paper, cooking fuel, natural remedies, arts and crafts, toothpicks and satay sticks and a zillion other uses. The bottom line is that demand exceeds supply, and is likely to continue to do so. I hope you will therefore enjoy my musings about investing, the science of tropical trees, life in Colombia, and the importance of creating habitat for endangered wildlife.