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Does The World See You As A Climate Change Terrorist?

May 20, 2009Article by Ray Withers

PRWEB: OXFORD – MAY 15: Developing nations are concerned about the imbalance of carbon production that they claim are making Westerners climate change terrorist.

Nations like Sri Lanka, where the government spoke pout this week against the West talking the talk but failing to act on maintaining their green credentials.As an example, Sri Lanka’s Environment Minister, Champika Ranawaka claimed his country’s carbon emissions were just 660 kg per person – against an average 22,000 kg per person in the US and other developed countries like the UK.

As a result of climate change from these emissions, Sri Lanka, home to rich natural wealth in fauna and flora, lost 72 flowering plant species to extinction – 60% were endemic species. About 21 amphibians found their way to the extinct list as well, and these species were all endemic to Sri Lanka’s wet zones. Many other species not found elsewhere are also under threat.

To help save these irreplaceable species, you could invest in sustainable forest management in Sri Lanka to offset your carbon footprint. Only 1% of global teak production comes from sustainable forests, like the timber hardwood plantations at Anuradhapura, Sri Lanka.

The rest comes from natural rainforests, most of it illegally logged. More and more countries, and most recently the European Union are outlawing the importation of unsustainably harvested wood. The sustainable timber has to be supplied from somewhere, so maybe now is the time to get to the root of the problem with your investment.

The strategy is simple – put your money in to timber investment management with a partner in Sri Lanka.

  • You pay for the trees and contribute towards maintenance costs
  • Your partner looks after your investment by planting, thinning and harvesting your trees
  • You and the partner split the profits
  • For a minimum investment of £10,000, the investor buys 300 agar wood or teak trees and contributes £5,000-£6,000 towards maintenance costs.
  • Agar wood trees are harvested after six years, producing a gross harvest value of £60,000, deduct the timber company’s profit share and the investor’s net profit is £41,000.
  • Teak trees are harvested after nine or 15 years, when the gross harvest value is £246,450, leaving the investor with an anticipated net profit of £271,540.

These projections are based on a lumber price of £0.72 per board foot for the first thinning, increasing at an annual rate of 6% for the subsequent thinning and final harvest. The 5% profit share is retained as a harvest fee. The timber company has allowed a generous 10% for harvest and processing costs, which covers the milling the trees.

For more information contact Property Frontiers on +44 (0) 1865 202700.

Author

Ray Withers

Ray has over 17 years’ experience in the international property market and bought his own first international property investment back in 2002. Aside from running Property Frontiers, Ray has been involved in residential, hotel, student and commercial property investment and development in both the UK and overseas and co-wrote "Where to Buy Property Abroad - An Investor's Guide". As Founder and Trustee of the Frontiers Foundation, Ray is directly involved with many of its projects to ensure they have a direct and tangible impact in individual communities across the globe. He is passionate about property, travelling, scouting out new opportunities and finding time to spend with his young family.
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