Rubber Estate Investor

[jimmyysk]

Hi, my name is Jimmy from Malaysia. I'm new here and I had read on the post that sent by someone earlier about palm oil and rubber. I'm sorry if I send the double post here or wrong place to post. I'm a computer engineer currently working in Malaysia. I'm planning to buy a rubber estate to startup my own business but I don't have any knowledge about rubber tapping. My wife parents have rubber estate and they are rubber tapper. I'm planning to buy my wife uncle's rubber estate to run my own rubber estate business. My doubt is I don't know whether it is worth to hire people to tap the tree or not cause if I hire people may be the income will be not enough to cover the expenses. I got zero knowledge on this plantation management. How I hope that could have someone with the knowledge can guide me so I can start it as soon as possible. Thank you and looking forward to hear from you guys!

[Jonathanpattaya]

This has to be a joke!

[nakachalet]

normally, the owners and the tappers split up the gross income.

in southern part of thailand, particularly in our plantation, the owners usually split 50-50 with the tappers.

however, in some plots, the owners will only split 60-40 in owners' favors.... lol

why would you want to invest in something that you do not personally have any experty in....? just a curious question ok? nothing personal.

Edited January 13, 2010 by nakachalet

[jimmyysk]

thx for your reply nakachalet. For my understanding after I'm thinking for so long there not much business that you can leave it run without much to monitor by itself and you still can generate the income without feel furious that your employee will lost your business. Like rubber estate I got my parent in-law as rubber tapper for many years so if I got a land and there will roughly know the size of the land got how many tree and can tap for how much latex per day so can roughly count and can't easily cheated by employee. Somemore if you teach your employee to skill to tap the tree they only become more expert in tapping the tree and they can't run their own tapping business cause they don't have their own land. Not like car workshop or other business if you teach them a-z their can start their own business next to your shop.

My concern here is that I don't know how to count one hectre can have how many tree and how many latex it can tap per day? Price here roughly rm9/kg. Here if hire employee mostly per day wages around rm70/day. Let say one hectre can fit 200 trees how many rubber it can collect roughly in a month and how many worker need to tap for 200 trees. My big plan is to acquire more land so it can generate more income for me. Please advise me from your expert opinion. Thank you

[donx]

The type of questions you are asking have been asked many times in the Farming Forum. I suggest you look for answers there. Questions such as how many trees per rai have been discussed and the answers are readily available if you look.

My wife has rubber tree land that my family-in-law taps. Every time I ask how much they are getting all I get is that they don't know. I think for the most part they are telling the truth. But I think they also don't want me to know. My wife tells me to stop asking. My wife and I don't get any profit at all. We let them keep whatever they tap. I agreed to this because it keeps them from asking for money from me every month.

[Rooo]

Moved to farming forum.

[Somrak]

Ask yourself if you woud do something like this in your homecountry - Invest money in something you know nothing about?

And ask too, why the family like to sell?

Thailand is not the best place, for a foreigner with zero knowledge on plantation management, to invest. Some neighbour countrys (Malaysia!?) are may better for such a investment (Laws and landprices etc.)

But, with no own land and no knowledge, why not invest in compagnie who is specialized in the rubberbusines?

Edited February 25, 2010 by Somrak