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What is Agarwood?

Agarwood (Gaharu in Bahasa Malayu OR Ch’en Hsiang in Chinese) is the resinous heartwood occurring in the trees of the genus Aquilaria trees, a fast growing forest tree native to southeast Asia. The trees randomly infected with mold (every 1 trees out of 100 trees) and begin to produce an aromatic resin in response to this attack. As the infection grows, it results in a very rich, dark resin within the heartwood.

Agarwood has been used for centuries as incense, for medicinal purposes and in perfumery. First-grade Agarwood is one of the most expensive natural raw materials in the world which could fetch up to US$30,000/kg. Agarwood oil or Oudh and incense are used in the Middle East countries as agar attar for religion purposes, as well as the base oil in the production of new perfumes. Since Oudh in its pure form is non-Alcoholic, it is widely preferred by Muslims. Globally, over 500 high-end perfumes are using Agarwood as one of the main ingredients, Oudh in this case is irreplaceable and it certainly plays a significant role in making branded perfume long-lasting and hence it is very much preferred by many major commercial perfumeries.

Traditionally Agarwood used to be obtained from the jungle but recently the trend has shifted to sustainable commercial planting due to its rarity. Main reason for its rarity is the depletion of the resources in the wild due to heavy exploitation by illegal loggers in recent years which caused by Agarwood’s high fetching value in the international market. It is therefore protected worldwide under CITES since year 2004 as an endangered class, an international convention set to protect endangered species for wild flora and fauna.

Why Agarwood?

Worldwide Demand

Used throughout the world for centuries, Agarwood incense and Agarwood oil continue to surge in popularity as the foundation for a wide variety of medicinal cures and cosmetic products.


Agarwood is the world’s most precious heartwood, occurring naturally in only 1 out of every 100 Aquilaria trees.

High Market Value

The retail price for high-quality Agarwood incense chips range between $5,600 and $10,000 USD per kilogram depending on quality and demand, making Agarwood the most treasured wood in the world.

Potential Growth

Proven artificial inducement method, ensures Agarwood formation in all trees. Plus, they are comparatively immune to shifts in climate as well as drought and disease.

Minimal Waste

Each tree contains varying quantities of high, medium and low-quality resin mixed with Agarwood that can be harvested into high-quality wood chips and used directly as incense, as well as lower-quality chips that can be used for incense sticks or Agarwood oil extraction.

Environmentally Sound

The harvesting of Agarwood from natural old-growth forests is unlawful in most countries. However, Agarwood can be cultivated on plantations through sustainable forestry, catering to the global market while adhering to all environmental regulations.

Fast & Stable Returns

Agarwood delivers short to medium-term investment horizons through products that can be produced in young plantation grown trees after only 5 – 7 years, with returns ranging from low to high based on the size of investment.

Low volatility

Agarwood’s non-correlation with traditional investments, such as stocks and bonds, makes it resilient to the often unpredictable fluctuations of other asset classes.