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  • Eucalyptus in managed forestry plantations

    2009 - 11.11

    The Eucalyptus species as a whole has received alot of publicity from forestry investors over recent times so it might be fitting to start to consider the species and its characteristics.

    Eucalyptus trees retain less water than native forests and possess an ability to absorb more water during the rainy season and less in the dry season. Furthermore the roots do not grow deeper than eight feet, so do not reach the water table. After harvesting, bark, leaves and branches that have 70 percent of nutrients from the tree, remain in place and are incorporated into the soil as organic matter, and contributes to erosion control.

    Another possible area of discussion in some forums is that the eucalyptus generates few social and economic benefits. Yet, when managed properly it creates benefits for many rural developments. Large numbers of direct and indirect jobs are created both in nurseries and in planting and maintaining forests. The income generated by eucalyptus generates tax, investment in infrastructure, consumption of locally produced goods, promotes various types of new business and social initiatives in the construction of homes, health clinics and schools.

    One hectare of eucalyptus consumes 10 tons of carbon from the atmosphere each year, helping to reduce pollution, global warming and combating the greenhouse effect. In summary, as well as being a profitable and productive commodity, eucalyptus plantations have fulfilled their role of reducing pressure on native forests which are still widely used in the consumption of charcoal, furniture and solid wood.

    The Timber Investment Blog is sponsored by Greenwood Management. For more information on investing in Forestry please click here

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