Sustainable commercial crops boost economic growth

Nations around the world have realised that industrialisation as an economic process has resulted in great harm to the environment and the urgent need to create an eco-friendly environment must be addressed.

Global warming and environment transformation has caused the human race to change activities towards creating a more ecological environment.

Today, sustainable commercial forestry plantations occupy a special place among sustainable economic activities. Instead of the continued destruction of national forests, the human race is now objectively engaged in commercial forestry in a sustainable manner.

Commercial forestry broadly has dual purposes, forestry plantations for timber and for non-timber purposes.

By engaging in commercial forestry several environmental and social advantages can be obtained. Through commercial forestry, natural resources can be used to create a profitable venture on a long-term basis.

With regard to forestry plantations supplying timber, the forest reserves have to be used properly and replanting should take place protecting the undergrowth.

Despite the absence of similar programs in Sri Lanka, countries have achieved successful economic returns through carbon credit auditing, which in turn provides the encouragement a country needs to propagate a green economy.

The carbon credit auditing program corresponds to the CO2 equivalent removed or not emitted into the atmosphere.

As a result, countries that have forest preservations are reaping monetary returns. Moreover, through this program, water quality is improved, pollution reduced, enhancing the livelihoods of mankind and animal species.

Sri Lanka does not have a long history of commercial forestry. While the use and conservation of forests is under the Government, there is no evidence to suggest that any forward thinking plan existed with regards to its economic potential.

The potential of this sector was highlighted with the advent of the private sector from which new technology, research and development created much headway. During the period when only the Government was involved in forestry and conservation, returns on commercial forestry had a wait for over 40 years.

However, with the involvement of the private sector this has been reduced to receiving returns after a 20-year period.

It has been the successful intervention of the private sector which have been spearheading the popularity of commercial forestry especially crops unrelated to timber.

At the onset, commercial forestry crops were not considered secure investment opportunities, especially as Sri Lankans were not keen due to the long wait of nearly 17 years to receive returns.

Moreover, there was no involvement by the Central Bank or any Government regulations or regulatory body governing the sector.

According to industry experts commercial forestry plantations have reached commercial success.

Due to the intervention of the private sector, investments in commercial forestry have also risen tremendously.

Moreover, these organisations have employed modern breeding technology which is unique to Sri Lanka, thereby creating a new market for non-timber plantations crops such as sandalwood and agarwood and increasing foreign exchange earning potential. Agarwood home garden crops create employment opportunities and helps alleviate poverty in villages.

Those involved in commercial forestry in the private sector should educate the public and act in a responsible, lawful manner so that commercial forestry can be sustainable.

As a pioneer in the industry, Sadaharitha Plantations have employed sustainable methods in its commercial forestry plantations. Returns from Agarwood investment can be obtained within eight years.

A hallmark of sustainable forestry is managing forests as renewable resources. This factor is followed by Sadaharitha Plantations.

Sadaharitha Plantations', Chief Executive Director, H.K. Rohana said, "Cutting down trees in a sustainable manner while planting new trees does not harm the environment and therein lays the main theory behind successful sustainable commercial forestry." - Sadharitha Plantations press release