Rubber farm

[swimming pizza]

Hello Guy!!!!!!!!!
   I been told that Rubber farm make good income.
And now the price is about 10 Rai for 1,000,000 Bath.
(this price is the rubber trees which can make the money already.)

the income share like.......
the owner is do nothing just own the farm and get  70 % of income
the worker is doing the farm and get  30 % of income.

Please tell me what do you think about this kind of investment?
 

[Tilapia]

Hi There.

Depending on the location, 1mill sounds a little high if it's out in the sticks.

Cheers.

[Thaddeus]

That price is way too high, no matter where it is located, at least double as far as I am concerned.

The expected net return on rubber is around, 100,000 Baht per 10 Rai. Therefore it would take ten years just to get your original investment back.

[swimming pizza]

I did a little research and the price the guy gave me is too high, anyway I decided to wait with it as I'm uncertain about this kind of investment, together with the fact I cant own the land on my name..
 

[Yellow Tree]

 We have about 55 Rai in Buriram with 1500 rubber trees which are about two-years old (we will start juicing them at eight-years). 1500 trees use about half of the ground and the rest is used for vegatable farming: eventually it will all be rubber trees.
 We were offered 2M Baht a couple of months ago.

 Maybe this will give a bar to measure how over-priced the land mentioned is.

[Yellow Tree]

As far as Thai Farming goes Rubber does pretty well in making money, but there are always strings attached:

You have to get up at 0400 to juice the trees. If you plan to convert the latex to rubber, then it takes time to solidify the rubber with formic acid and to press the liquids back out. If you want to be serious about it and go for the higher-grade rubber, then you would need to purchase centrifuges instead of a roller-press (more capital investment).

Many people grow the rubber trees and lease the juicing to a contractor; the farmer gets about 30%. Rubber can be expected to get about seventy trees per rai. Putting rubber trees on three or four rai is not what I would call good money (for the capital investment); unless the farmers was doing all of the labor and processing themselves (which most small Thai Farmers would).

The upside to rubber is Thailand is the number one producer of rubber in the world by far. As long as there is a need for rubber in the world there will be a market in Thailand. PM Thaksin showed it was possible to break the monopoly of Rubber Trading through Singapore and the price went up by 40 THB/Kg. When Sonthi took control in '06 the programs Thaksin had started fell into shambles and rubber went back through Singapore. The price fell so bad at one point many of the Rubber Farmers in Southern Thailand quit juicing their trees because it was costing them to do it: ironic the South did not appreciate Thaksin as much as they should have.

Some good news in all of this is actually in Buriram and Surin provinces. During PM Thaksin's time in office there was a program through the Ministry of Agriculture and Cooperatives that provided free starter rubber trees and support from the government to get an operation started; that organization structure is still in place in Buriram and Surin at the least. Here is a link to the Ministries Website Click here. I actually think the program offered is better suited for Farang ex-pats than the poor Thai farmers. Parts of the program offer "loans" to the farmers to buy starting equipment (i.e. tools, roller-press, etc) and after the juicing starts the government gets a percentage of the juice. If a farmer is strong enough to support himself through the seven to eight years to get the tree mature enough to juice plus gets throught his pay-back period with the government it is a good road to get from no where to some where; hard road though.
 The new tree program stopped with Sonthi for sure and Samak has been too busy with political survival to get the program up again: I really don't like Thai politics. That person offered either 300 or 600 starter trees (I forget which) to each person that applies and has the ground to put the trees in. A husband and wife would count as 2 as long as they had the ground. The Ministry people are still going out and checking soil and stand conditions, and making their recommendations.

 If any of this is of interest, then I know some people in Buriram associated with the program that know a whole lot more about it than I do. Let me know.

[Admin]

Rubber Farm - Background:

Rubber is made from the tree's latex and is extracted by making incisions in a lefthanded down the trees trunk.
The latex runs through numerous latex vessels in the Para tree's bark.
The latext slowly runs down the and is collected in a small cup.
The latex is then treated with acid and pressed to remove the water.

Facts about Thailand's Rubber Trees:

- The rubber tree's real name is a Para Tree or Hevea brasiliensis

- Para Trees are planted about four meters apart and in rows.

- The first rubber tree was planed in Trang by Phraya Ratsadanupradit in 1899.

- In the early 1980's U.S. consumption of natural rubber was only 280,000 metric tons compared to over 2,000,000 metric tons of synthetic rubber.

- Natural Rubber is used to make auto and plane tires.

- Thailand exports over 90 billion baht worth of rubber each year.

- Thailand jump started their rubber industry by sailing to Dutch Indonesia and taking four baby hybrid rubber trees and planting them in Trang.

- Rubber got it's name because it could "rub out" pencil markings.

- Rubber trees were imported from South America by colonials.

[ampho]

thank you all for your post on this subject It has been interesting read for me . Can anyone tell me how much rubber can be produced  kg/per Rai   working off say 70 trees per rai .....

[buriramboy]

thank you all for your post on this subject It has been interesting read for me . Can anyone tell me how much rubber can be produced  kg/per Rai   working off say 70 trees per rai .....

Anyone?! I would also like to know more, we are thinking seriously about the rubber farm idea.

[nanyouth]

hi everyone
I didn't know anything about this business a year ago....
Now I own 14 rai in Nongkrai Province
and rent 25 rai in BanKruat......
In Nongkrai I share 60% 40% with the farmer.
I started to collect the juice in October 2010 and got 1.394 kg on the 27th of Dec
the trees are only six years old it is the first collect.
In Bankruat
I rent 10 rai ofr two years that costed me 230.000 baht
and got 428 kg in one month ( sold 30.631 baht)
I rent 15 rai for 5 years that costed me 560.000 baht
and got in one month 1.074 kg (sold 35.813 baht)
I am always looking for new suite for sale or for rent.....
in Bankruat I share 50% with the farmer
More details ...just contact me
have a great day
Patrick
   

[Admin]

Rubber will wipe out South's parks in 10 years: ministry
By Janjira Pongrai
The Nation
2011-01-11

The Natural Resources and Environment Ministry yesterday warned that rubber plantations would be replacing all national parks and wildlife sanctuaries in the South from Chumphon down within the next 10 years.

"Investors have now hired alien workers to plant rubber trees in the forest zones at night," the ministry's deputy permanent secretary Damrong Pidej said at a press conference.

The event was called to mark National Forest Conservation Day.

Damrong said his ministry's officials - who were very limited in number - could not stop the problem because the investors had huge influence.

"Now, we have three to four officials supervising thousands of rai of forestland. How far can we go then?" Damrong asked.

He said his ministry's officials could not patrol forest zones in the three southernmost provinces at all due to the unrest.

"It's too dangerous for them," he said.

Damrong also blamed superannuated laws for the problem.

He added that the state would soon lose much of its state land to hill-tribe people who would try to prove they have the right to stay in the forestland, because they had lived there for a long time already.

Royal Forest Department director-general Suwit Rattanamanee said his agency planned to reclaim 10,000 rai of forestland back this year.

"We will also seriously prevent land encroachment," he added.

Suwit said his department would also ban any road expansion inside national parks.

Last year, the traffic-lane expansion project for a road leading to the Khao Yai National Park made headlines and generated a huge controversy.

Currently, forestland accounts for just 32.91 per cent of land in the country. The government has a goal of raising the ratio to 40 per cent.

"That means we will need to 20 million more of forestland," Suwit said.

[Admin]

[vin]

hallo my name is vin my wife and i farm 7o ria along the cambodian border hands on better than money in the bank i have planted 15 ria  this year and next year 27ria  all the farang in bankruat said keep your money on the bank wrong has for land prices buy now before there nothing left way to go patrick aleast you got the balls to try farmer 9 years and new member today but im crap with com

[muratremix]

I really hate when people ask for 100.000 / rai for empty land or land with 1yrs old rubber tree. Anybody know whats the current rate for empty land in Ban kruat area?

[vin]

this is a break down of one
 of my farms 15 ria     
start         date 12/5/2011/to 15/2/2012 end of session
yang para 4.271 ton various prices low106 high 126 sold over the session total514.298baht
key yang start of the
 session 241 kl at 67 baht 16.147 end session 212kl at  46 baht 9,752total 25.899baht

total.for session 540.197baht minus ferterlizer and spray to kill grass 31.800baht =5o8.397baht on 15 ria ten year old rubber
which will get better its only young and will double the amount if you look  after it properly has for people saying 100.000 a ria
is to much i think they are wrong llast land deal i heard off was 25ria ten young rubber 15 euca 2.800.000 along the cambodian
border and this was bought by a local rubber farmer who has a lot more experiance than me 9years in im only a baby