Oji Lao Plantation Forest Co Ltd plans to build a wood chip plant within the next two years to supply an international paper producer in Japan .
“The plant will cost about 85.2 billion kip (US$10 million) and will chip eucalyptus and acacia trees,” said the company's Managing Director, Mr Kojima Yasushi, in an interview last Friday in Vientiane .
The company will build the plant with a production capacity of about 80,000 tonnes of chip per year.
“We will chip the wood here because the Lao government has a law prohibiting the export of timber,” Mr Yasushi said.
The plant is set for completion in 2011 and the trees will be harvested in 2012 or when they are seven years old. This will be the first year of exports since the company established plantations in 2005 in Borikhamxay and Khammuan provinces.
Total output will depend on production capacity. “At this point in time we're not sure where the factory will be located,” Mr Yasushi said.
So far the company has planted 25,918 hectares of mostly eucalyptus and acacia trees at a cost of about 341 billion kip (US$40 million).
“We want to have 50,000 hectares planted by 2013 and then expenditure will rise to about 682 billion kip (US$80 million),” he said.
The company wants to establish such large plantations because it will fell and replant the trees each year to ensure there will be enough wood to supply the processing plant.
“Now we are looking for additional areas, maybe in the provinces of Vientiane and Xieng Khuang,” Mr Yasushi said.
Plantations are established on degraded land which is defined under the forest and land allocation process managed by the Lao government.
The company supports villagers by promoting the planting of trees on their land so they can increase their income.
Villagers are given the opportunity to work on the plantations, with farmers engaging in intercropping and cattle rearing on the same land.
Currently the company employs about 230 permanent staff and 3,000 temporary workers. Once harvesting begins, about 5,500 employees will be required, including temporary workers and contractors.
The company contributes US$50 for each planted hectare to the local community, which is mainly used for infrastructure such as roads, wells, and schools.
It has made purchase contracts with plantation workers, with the price of wood to depend on the global market. “They will get paid no less than 90,000 kip per cubic metre,” Mr Yasushi said.
The company was established in 1999 as a joint venture. The main shareholders are Oji Paper Co Ltd of Japan , and the Lao government with a 15 percent share.
That's good news if they really hire villagers. If they donate $50/Ha. each year that mean community gets $1295900 and will get $2591800 after 2013. That's a lot money my friends.
That's good news if they really hire villagers. If they donate $50/Ha. each year that mean community gets $1295900 and will get $2591800 after 2013. That's a lot money my friends.
That's right my friend! that 1.2 mil US Dollars(They do not have to donate any but, they choose to) "bless their heart"
Little more infor for someone that do not know the benefit of this wonder plant:
Health Benefits of Eucalyptus
Eucalyptus supplements are derived from the fresh leaves and branch tips as well as the dried leaves of the tree known as Eucalyptus Globulus, Eucalyptus fructicetorum, and Eucalyptus smithii. The primary active constituent in eucalyptus leaves is the volatile oil euclyptol. For eucalyptus to provide an effective expectorant and antiseptic action, the volatile oil should contain at least 70 eucalyptol. Eucalyptus oil has been compared to menthol because it acts on receptors in the nasal mucosa, which help to alleviate nasal congestion.
Just wondering when the trees are dry and a bushfire starts will the government have well equipped resources to battle the fires, as eucalyptis trees will burn like crazy as they do in Australia, knowing how these trees produce oil it will only take a few seconds for a small fire to burn out of control. Hope the famers and community are well aware of the dangers where these tress are planted.
I'm from Australia so I know well from experience.
Watches are a beautiful thing. Certainly, they tell us the time - but aren't they so much more than that? replicas watches Through their watches, a person can express so much, and in a way it could be said:replicas watches Show me your watch and I'll tell you who you are.