Carbon Offset Schemes

Investment in Teak

Teak Plantations

All investments carry risk and these can be set out as follows:

Political, War and Civil Strife: There is always the possibility of political risk playing a part in any investment in the world’s tropical belt. New populist regimes in Latin America have affected large corporations by nationalizing assets, although this has been limited mainly to oil and communications companies. Smaller foreign investment has largely been left alone.  We live in globalized world where most governments are loath to jeopardize their export market and antagonize investors.

Weather and Natural Causes: The geographical location of the Project is important: hurricanes and extreme weather can destroy many hectares of forest in a very short time. The area chosen is far enough from the coast to avoid severe hurricane damage. The Maya Mountains, between Guatemala and Belize act as a barrier to destructive winds. The area chosen has porous sandstone substrata and flooding is rare.

Disease and Plagues: Tropical timber is subject to diseases as any plant life. Teak is largely impervious and resistant to most of the common tree infirmities; good forest management ensures the plantation has adequate measures in place to avoid the spread of disease and areas can be quickly isolated and quarantined.

Fire is a major hazard: plantations are obviously planned to limit the spread of fire; adequate fire breaks are incorporated into the layout; water is provided in storage tanks for use in firefighting activities; fire lookout towers; pumping equipment and firefighting personnel are on duty at all times to prevent and extinguish fires.

The plantation plans to be insured against all possible risks.  

Execution:

 

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