Buying In To A Rubber Plantation

[KIWIBATCH]

Has anyone had any experience, or bought in to a rubber plantation.

The situation is this...due to death in my thai wifes family an exisiting rubber plantation of 80 rai with 8 year old producing trees (they produce until they are 30 years old) is up "for sale".

My wifes brother has purchased 40 of the 80 rai. We have been offered the balance of 40 rai.,,,for 1.5m baht.

Plantation workers are readily available to work it for us so we will remain in BKK. The income from the 40 rai is around 35 to 45k baht per month after all expenses have been paid which includes the plantation workers wages. My initial reaction to the amount of income versus investment capital was one of surprise but my wifes parents own a similar sized plantation and I have actually seen the paperwork/receipts/payment schedules for the finished rubber product (slabs of latex sold to a Malaysian company based in Singapore) which seems to point to a good return and confirms the income possibilities.

The plantation is south of Yala on the Thai/Malaysian border...and I have visited it several times.

Thoughts/views/advice...welcomed....thankyou

[bonobo]

I have actually worked a rubber plantation for a few days to understand the process for a book I am writing.  All the local plantation owners were quite happy with their investments and are finally able to buy many things previously unreachable.

I know that gives you no specifics, but at least in that one village, all of the owners would do it again.

[TexasRanger]

The income fluctuates and I understand from plantation owners here that the prices are pretty low at the moment, so if what you are getting price wise now is a decent return then it can only get better (hopefully).

[soundman]

Moved to farming forum.

(Many other topics in here concerning rubber trees )

[soidog2]

40 Rai for 1.5 mill. It's a very good price. Kind of too good to be true.

If it checks out, grab it while you can.

Decent farming properties go for more than that without the rubber trees.

[chang35baht]

Prices are actually at the highest for a few years as far as I am aware.

As far as the purchase is concerned, 40 rai of already producing trees, with 20 odd years of production to come. Sounds like a no brainer to me.

The only snag I sniff(more experienced guys than me on this forum will perhaps confirm this or disagree)is that the income you`ve been quoted per month from the 40 rai seems a little low to me.

Good luck,

Chang35baht.

[jamescollister]

40 Rai for 1.5 mill. It's a very good price. Kind of too good to be true.

If it checks out, grab it while you can.

Decent farming properties go for more than that without the rubber trees.

Have to agree with the above, 10 Rai with good title and trees 1 mill baht, 40 rai of good trees at 1.5 mill would pay for its self in 1 and a haft years. If Its real grab it> JIm