Panama Residency Reforestation Project Management

The Panama visa through reforestation or Panama Residency projects that we offer include 100% management of your teak reforestation project in addition to the management of the residency processes, so you do not have any additional costs. Panama Forestry will handle it all. Below you will get a better understanding of what we do to manage and maximize the value of the forestry plot, why, and how we do it. We will introduce you to some information on our teak management styles.

For the best long-term (25-year) results Panama Forestry has chosen high-density teak plantation. Using directional root technology, we start by planting 1,100 teak trees per hectare. While this is a little more expensive in the beginning, but it pays off better over the long term.

The high density leads to taller, straighter trees. Directional root technologyconsists of a cone placed around the roots in the nursery and left there when planting, which forces the roots to grow down deeper into the ground. This gives the trees access to more nutrients and water throughout their life, allowing them to thrive in a higher density setting which leads to more overall harvested teak wood at harvest time.

Panama Forestry residency reforestation projects are primarily teak monoculture which will maximize the return on the investment, although some land may be planted with greater diversity in types of trees. Each investor can have the option of planting different trees within those accepted by the reforestation plan. The underbrush is only cut back enough to maintain the trees, which helps prevent soil erosion and adds to the biodiversity of the environment.

The teak trees are thinned at 4-5 years and again aggressively at 7-8 years to leave 800 trees per hectare. At 12-14 years the trees are thinned to 500 trees per hectare and at 18 years they are thinned to 200 trees per hectare, for a final harvest at 25 years of 200 trees per hectare. At 25 years the project owner has several options; the trees can be thinned to about 150 trees per hectare or a complete harvest can be done.

While the trees are of full commercial size at 25 years, teak will continue to grow well, and the percentage of heartwood will increase for another 25 to 35 years, therefore, there are options as to when to harvest and take the profits. Optimum return is usually achieved by harvesting at 25 years and letting a second growth start. Trees at 25 years have about 0.8 cubic meter hoppus (CMH) of good commercial wood per tree, which is 160 CMH per Hectare. Growth rates slow down after 25 years, although the value of old-growth teak is higher so the demand and value per CMH increase as the trees become older.

For a complete dissertation on Teak and Teak plantation management click here

Some Other Types of Trees Available

Laurel (Cordia alliodora) is one of Panama's common tropical woods whose two-tone gold-colored heartwood is used for common construction, as well as for furniture. It matures in 14 to 18 years with yields of up to 600 board feet of marketable lumber when fully grown. Though less precious than teak at $.50 per board foot (current wholesale domestic price, unmilled), laurel grows easily in many terrains, needs little maintenance, and does not require pruning. Golden Laurel is noted for its straight, tall trunks whereas black laurel, a quick-growing hardwood, requires 50% sun and 50% shade.

Other species indigenous to Panama worth considering include Roble de Sabana (Spanish oak), Cedro Espino (spiny cedar), Caoba (mahogany), Nispero (chicle tree), Criollo (ironwood), Cocobolo (rosewood), the list goes on and on.

Though most tropical hardwoods (with longer maturity than laurel) flourish best in areas of re-growing pastureland or secondary growth forests requiring a nonlinear approach to planting, it may be worth the effort to establish a reforestation project of mixed species in some areas. Increasingly, the demand for fine hardwoods, such as Nazareno (purpleheart), Ron Ron (goncalo alves), Coco Mono (monkey coconut), and such, is increasing as fewer and fewer of these mature trees are to be found in the wild. Along all the waterways Panama Forestry develops a natural habitat and diverse forest with trees and vegetation native to Panama.

Among all the tropical hardwood species and perhaps among all tree species, teak holds a particular fascination for both consumers and investors, much as gold does among the precious metals.

Valued for more than 2,000 years as an extraordinarily durable construction timber in its native range in Asia, teak is now coveted worldwide. Its extremely high dimensional stability and unique aesthetic qualities keep it in high demand for shipbuilding and fine furniture manufacturing. Teak is also well suited for finishings such as door and window frames and any other applications that require a strong, stable, durable hardwood.

As the sustainable supply of teak from natural forests in Asia and around the world diminishes, demand for teak increases, and teak prices rise, we expect to see expanded production of plantation-grown teak. Teak cultivation has been the subject of research programs in India, Indonesia, Thailand, and Myanmar since 1960, and best-practice techniques for producing high-quality plantation teak are well documented.

Because teak is relatively easy to cultivate, has excellent growth rates, and provides a lucrative return, it is very suitable as a plantation timber species in areas with appropriate ecological conditions and Panama has some very good growing conditions for teak.

For the Panama residency through reforestation visa program we have developed primarily teak projects but also have teak and coffee and other options to provide interesting and diverse project options with all-inclusive packages starting at $138,000 USD. These are the turnkey Panama residency qualified reforestation projects that we currently have available.

Our teak reforestation management team is FSC certified

FSC ® Commitment Policy (License Code FSC-C112830)

Promoting a long-term responsible forest management strategy that protects and improves the health of forest ecosystems as well as contributing to the economic wellbeing of the communities surrounding our managed forests is an integral part of Panama Forestry's commitment to the international growth and social health of the timber industry.

Panama Teak forestry our plantation manager's adhering to and supporting the Forest Stewardship Council ® (FSC) Standards and Policies and strives to work with its affiliated companies and other interested groups to meet or exceed the FSC international Forest Management Standard.

Panama Teak Forest is a vertically integrated provider of sustainably harvested and managed tropical hardwood forests that provide economic, conservation, and community benefits to the areas where our work and timber operations are located.