Projected Returns

 

ROI -A very conservative average returns on you investment is around 25 % per year which includes 15 % land appreciation and p.a 10 % tax free returns from the 7th year till 32nd year as economic life period of rubber is considered for 32 years. (7 years of immature phase & 25 years of productive phase).

Calculations of Returns (Per Acre)

  • The average trees which can be planted in 1 acre varies from 185 to 205 trees in a acre. (Average Considered as 190 trees)
  • The average latex produced is 110 to 140 grams on a single days tapping. (Average considered as 125 grams)
  • The number of days we can tap in a year varies from 140 to 160 days based on the climatic conditions, (Average considered as 150 days).
  • The Dry weight ratio on raw latex to dry Rubber varies from 30 to 40 %. (Average considered as 34 %)

Current Rubber price & Government Guarantee: Current price of rubber @ Rs 150/ KG which is 100 % more when compared to 2010 (Government of kerala has kept a minimum base price of Rs 150 per kg irrespective of daily price variations)

Returns on 1 Acre: 190 trees giving on single day 125 gms latex = which is 23750 grams (24.KG ). Average tapping (produce dates) in a year considered as 150 = 24 kg x 150 days = 3600 KG Latex in a year. 3600 kg raw latex for Dry weight @ 34 % = 1224 KG per year

INCOME PER ACRE.

Price/KG today @ Rs 150 = 150 X 1224 kg per acre (yearly).= Rs 1,83, 600/= Daily Production Expense.190 trees to be tapped for @ 1.5 Rs per tree for 150 days = 190 x 1.5 x 150 = 42750 Rs Per year.

Final returns: 183,600 – Rs 42,750 = Rs 1,40,850 per year which is approx. 10 % tax free returns on your Investment.

ANNUAL PLANTATION MAINTENANCE

Currently its around Rs 22000/= which can be managed through the Bi-product of the produce which is scientifically called as Field Coagula (Ottu Paal) and is derived from daily tapping process

N.B The above mentioned figures are calculated at the base price of Rubber today and may vary depending on Price, actual proceeds quantity and number of days tapped