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ITC open for business till Tuesday, 30 June
ITC's 2009 forestry investment projects
remain open for investment up to 5:00pm (EST)
on Tuesday, 30 June. To ensure your last
minute applications are included in our
projects, please fax executed applications
to ITC on (03) 9421-9990 before the 30 June
cut-off date.
CBA finance applications must be lodged via
mail or fax by 5pm (EST) 25 June 2009.
Original documents can be submitted post
this date via mail.
ITC Finance applications must be lodged via
mail or fax by midday (EST) on Tuesday, 30
June 2009. Original documents can be
submitted post this date via mail.
12 month Interest free finance is the
easiest method of funding late investments
as long as you have the cash flow to service
the repayments. |
Both Australian and
Indian Sandalwood
have a long history
of use. The oils that
are extracted from the
heartwood are highly
prized raw materials
for the perfume and
cosmetics industries.
Why invest in forestry?
Growing World Markets
The world demand for Sandalwood continues to grow steadily and at the same
time its supply is rapidly declining due to illegal and unsustainable harvesting.
It is no surprise to see that the price of Sandalwood has risen dramatically over
the past 10 years.
In India and throughout Asia, Sandalwood harvested from native forests will
not be able to meet the current and future demand for Sandalwood.
Forestry is an asset class
Investment in the agribusiness asset class offers investors the opportunity to
diversify into a sector that is negatively correlated to the equity and property
markets, allowing you to reduce the volatility of your investment portfolio.
Environmental Advantages
Plantations protect native forests, help reduce salinity and soil erosion and
create a sink for greenhouse gases.
The Australian Advantage
With more than 700,000 hectares of hardwood plantation, Australia is well
located to supply expanding Asian markets.
Continued Government Support
The Australian Government encourages development of plantation forestry
through its ‘Plantations for Australia: 2020 Vision’ statement.
Why invest with ITC?
Financial strength
ITC is a wholly owned subsidiary of Futuris, a Top 200 company listed on
the Australian Securities Exchange. ITC has a strong mandate and backing to
support its future growth. ITC manages investment assets in excess of $670M
on behalf of more than 17,000 investors.
Industry Leader
ITC is one of the largest hardwood plantation managers in Australia with more
than 160,000 hectares under management across Australia. ITC Forestry has
been an industry leader in the establishment and management of plantations
for more than 15 years and now manages more than 50 forestry projects.
Best practices
ITC Forestry has one of Australia’s leading, advanced-generation eucalypt
breeding and silvicultural programs. This work continues to be the subject of
extensive trials with national and global collaborations to further improve the
productivity of seedlings planted as part of ITC’s estate.
Benefits of the ITC
Sandalwood Project
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1. |
Higher risk adjusted returns within
a diversified portfolio
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2. |
Hedges against rising inflation |
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3. |
Multiple cash flow
points throughout the term of the project |
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4. |
Single upfront payment with no
annual lease or management fees |
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5. |
Deferred fee structure aligning
ITC’s interests with investors |
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6. |
Diversification across species and
geographic locations |
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Offer closes
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30 June 2009 unless
withdrawn earlier. |
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Revenue flows |
Year 15
(Indian Sandalwood) and Years 10, 14 &
18 (Australian Sandalwood). |
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Application fee
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You can invest in the
project by paying the Establishment
Services fee of $4,500 (Excluding GST, GST
not payable) per Plantation Unit. |
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Tree species
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The project will
comprise two closely related species of
sandalwood:
Australian Sandalwood (Santalum
spicatum) is native to Western
Australia and South Australia. During
the early years of settlement in Western
Australia sandalwood was an important
export. Sandalwood is still harvested
from native forests today but supply is
limited. In recent years there has been
a significant area of Australian
Sandalwood established in plantations in
the south west of Western Australia.
Indian Sandalwood (Santalum album)
is native to India and Indonesia. It is
generally regarded as the highest
quality sandalwood because of its high
oil content and the quality of its oils.
Supply is limited from native sources.
Since 1999 there has been a significant
area of Indian Sandalwood established at
Kununurra in Western Australia. ITC is
one of the major plantation managers of
Indian Sandalwood.
Having different species in the
investment diversifies the risk of
relying on a single species in a single
forestry region. |
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