Selling price of Mahogany Tree/Wood in India and the Price factors: Mahargh Agribuilder
Introduction:
Welcome to this comprehensive article by Mahargh Agribuilder, where we will address common queries about mahogany wood prices in India and factors that can affect the selling price. This information will help farmers make informed decisions regarding mahogany cultivation.
1. Harvesting/Maturation Time for Mahogany Trees: This is the most important factor that affect the price
When should you cut mahogany trees? It is crucial to wait until the trees reach a minimum age of 15 years before harvesting. Harvesting prematurely can result in rejection or selling at lower prices due to unripe wood.
2. Prices of mahogany wood varies from Buyers to Buyers: Finding the channel is not easy for contract less farmers.
Potential buyers of mahogany include contract farming companies, such as Mahargh Agribuilder, wood processing companies, lumber mills, and exim traders.
3. Number of Mahogany Trees per Acre: More dense > Less Growth > Less Prices
How many mahogany trees can be planted per acre? The recommended range is between 120 and 400trees per acre. However, it is essential not to exceed 400 trees per acre as mahogany trees grow tall and wide. Dense plantation can hinder proper growth and girth development.
4. Price of Mahogany Wood in India: Good growth > Good Price
What is the current price of mahogany wood per cubic foot? The price ranges from Rs 1000 to Rs 2500 per cubic foot. It is important to note that this price is negotiable. Farmers should not rely on the minimum price offered by contract farming companies, as they often provide a fixed price of Rs 500 per cubic foot but sell it for 3-4 times higher. On average, one tree yields around 15-20 cubic feet of wood.
5. Future Price Outlook for Mahogany Wood: Expected to reach above Rs 5000 per cubic feet
What can we expect regarding the future price of mahogany wood in India? With the decreasing usage of plastic products and increasing awareness of the hazards associated with plastic, there is a growing demand for wood. Mahargh Agribuilder anticipates promising returns in the long term and strongly recommends investing in mahogany agroforestry projects.
6. Advantages of Contract Farming with Mahargh Agribuilder: To get 2x or 3x price with Mahargh's good management scheme.
Why should you consider signing a contract farming agreement for mahogany with Mahargh Agribuilder? Unlike other agricultural products, mahogany farming involves dedicating land for the betterment of both your family and the world. By partnering with Mahargh Agribuilder, farmers can avoid the risk of receiving only Rs 500 per cubic foot after waiting for 15 years. Mahargh offers options such as purchasing wood from farmers and processing it in their own lumber mill. This value addition maximizes profits, with 75% of the profit shared with the farmers. Additionally, Mahargh connects farmers with potential buyers to help them secure higher prices.
Conclusion:
In conclusion, mahogany farming presents a valuable opportunity for farmers in India. By adhering to optimal harvesting practices, partnering with reputable contract farming companies like Mahargh Agribuilder, and keeping an eye on market trends, farmers can capitalize on the growing demand for mahogany wood.
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