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    Kotak Mahindra Bank

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    Aman Baranawal
    The document outlines the costs and expected yields of establishing a sandalwood plantation over one hectare of land over 15 years. It estimates that the total expenditure to establish the plantation would be Rs. 48,00,000, including the costs of 500 sandalwood seedlings, hosts, planting, irrigation, maintenance, and management. After 15 years, it is estimated that 450 sandalwood trees could be harvested, yielding around 9,000 kg of heartwood worth Rs. 1,80,00,000, and 13,500 kg of sapwood worth Rs. 4,05,000. Additional income from intercrops of Rs. 1,20,000 is also included. The estimated total net profit after 15

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    Kotak Mahindra Bank

    Uploaded by

    Aman Baranawal
    34 views2 pages
    The document outlines the costs and expected yields of establishing a sandalwood plantation over one hectare of land over 15 years. It estimates that the total expenditure to establish the plantation would be Rs. 48,00,000, including the costs of 500 sandalwood seedlings, hosts, planting, irrigation, maintenance, and management. After 15 years, it is estimated that 450 sandalwood trees could be harvested, yielding around 9,000 kg of heartwood worth Rs. 1,80,00,000, and 13,500 kg of sapwood worth Rs. 4,05,000. Additional income from intercrops of Rs. 1,20,000 is also included. The estimated total net profit after 15

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    KOTAK MAHINDRA BANK

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    KOTAK MAHINDRA BANK

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    The document outlines the costs and expected yields of establishing a sandalwood plantation over one hectare of land over 15 years. It estimates that the total expenditure to establish the plantation would be Rs. 48,00,000, including the costs of 500 sandalwood seedlings, hosts, planting, irrigation, maintenance, and management. After 15 years, it is estimated that 450 sandalwood trees could be harvested, yielding around 9,000 kg of heartwood worth Rs. 1,80,00,000, and 13,500 kg of sapwood worth Rs. 4,05,000. Additional income from intercrops of Rs. 1,20,000 is also included. The estimated total net profit after 15

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    34 views2 pages

    Kotak Mahindra Bank

    Uploaded by

    Aman Baranawal
    The document outlines the costs and expected yields of establishing a sandalwood plantation over one hectare of land over 15 years. It estimates that the total expenditure to establish the plantation would be Rs. 48,00,000, including the costs of 500 sandalwood seedlings, hosts, planting, irrigation, maintenance, and management. After 15 years, it is estimated that 450 sandalwood trees could be harvested, yielding around 9,000 kg of heartwood worth Rs. 1,80,00,000, and 13,500 kg of sapwood worth Rs. 4,05,000. Additional income from intercrops of Rs. 1,20,000 is also included. The estimated total net profit after 15

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as DOCX, PDF, TXT or read online from Scribd
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    Economic Feasibility & Cultivation of Sandalwood

    No of sandal plants required per hectare No of pot hosts required per hectare No of Intermediate hosts plant required No of long term hosts required Cost of production of sandalwood seedling(Rs.12/- each) Cost of production of seedling Primary host(Rs.2/- each) Cost of production of intermediate host (Rs.10/- each) Cost of production of long term host (Rs.10/-each) Planting cost including transportation soil working, Pit formation, soil working, watering etc. (Rs.10/- each) Cost of drip irrigation Recurring expenditure (for15 years) Security & vigilance (Rs.36000/-per year) Annual weeding & soil working for 8 years)(Rs.2000x8) Irrigation (Rs.2000 x 8) Manuring (Rs.5000 x 8) Miscellaneous management of Pest & diseases, Supervision etc for 15 years (15 yrs x 25000) Total Expenditure (including Inflation 5% and interest at 12% on investment) Land & other infrastructure TOTAL EXPENDITURE (after reckoning the investment.) 500 Nos. 500 Nos. 500 Nos. 500 Nos. 6000/1000/5000/5000/20000/100000/540000/16000/16000/40000/375000/-

    38,00,000/-

    10,00,000/48,00,000/-

    SANDALWOOD HEARTWOOD EXPECTED YIELD AT THE AGE OF FIFTEEN YEARS AFTER TAKING 10% AS MORTALITIES, THEFTS ETC., (PER HECTARE). 450 Nos 9000 kgs Rs.1,80,00,000

    No of sandalwood trees eligible for extraction Quantity of heart wood expected per tree -20kgs (20kg x 450) Average cost of sandalwood heart wood. Even we assume sandal wood cost at the rate of Rs.2000/Kg which works out per hectare ) (Rs.2000 x 9000 kgs) Average cost of Sapwood 30kg x 450)= 13500 kg(Rs.30 x 13500 kg ) Estimated profit from inter crops Rs.12,000 x 10 years Total Net Estimated Profit after reckoning expenditure per Hectare

    Rs.4,05,000 Rs.1,20,000 Rs.1,85,25,000

    Rs.1,37,25,000

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