Author: Manuelito R. Putong

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What is Agarwood and Oud Oil?

Agarwood is the resinous heartwood that comes from the Aquilaria tree. The Aquilaria tree is a fast-growing subtropical forest tree that is endemic in the Philippines.

When Agarwood is distilled into an oil, it produces one of the most valuable raw commodities in the world – Agarwood tree oil also known as “OUD OIL”. Oud Oil is the key ingredient in some of the most expensive fragrances in the world. Top name brands like Versace, Calvin Klein, Hugo Boss to name a few, all have premium fragrance lines that feature Oud Oil. Due to its high demand and limited supply, high grade Oud Oil has sold for over USD 50,000 per kilogram.

The current global market for “Oud Oil” and other related Agarwood products is over USD 12 Billion Annually and is growing rapidly. The global fragrance industry is by far the major buyer of Oud Oil and global agarwood and oud oil sales are expected to exceed US$ 36 billion by 2030.

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What is agarwood called in the Philippines?

In the Philippines, agarwood is called ‘bari’ for Aquilaria malaccensis species as per Department of Environment and Natural Resources (DENR) Administrative Order (DAO) 2017-11. Local names for the Eight (8) specific native species as per above illustration

Why agarwood is illegal in Philippines?

Agarwood is a highly regulated species that you must have a proof commercializing the species from the Wildlife Culture Permit (WCuP) plantation.

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DENR Policies on Tree Registration, Harvesting, Transport and Marketing

  1. Tree Registration (DENR Memorandum Circular No. 99-20).
    1. Submission of documents for registration to the Community Environment and Natural Resources Office
      (CENRO). As per stipulated in the DENR Memorandum Circular No. 97-09, the following documents are
      needed:
      1. Letter of application/intent
      2. Certified photocopy of either original land title, transfer certificate of title, certificate of land ownership
        award or tax declaration of untitled A and D lands
      3. Certification of tree plantation ownership from the Barangay Chairman or Chief Executive of the
        Municipality/City
      4. Picture of the tree plantation
      5. Sketch map and plantation records
      6. In any cases, where the applicant/tree farmer is not the sole owner of the land, an authorization to do so
        from the co-owner shall be secured
  2. Inspection by CENRO personnel (DENR Memorandum Circular 97-09)
    1. A CENRO staff will inspect your private tree plantation to conduct assessment and evaluation of your plantation
      record (i.e., date and number of individual trees per species planted) and site verification (i.e., sketching and
      describing the area where the trees are planted).
  3. Issuance of Certificate of Tree Plantation Ownership (DENR Memorandum Circular 99-20)
    1. A CENR Officer will issue a Certificate of Tree Plantation Ownership (CTPO) after your application is approved.
      Benefits from tree plantation registration
    2. Tree plantation registration will help make harvesting and transport of timber easier (DENR
      Memorandum Circular 97-09).
    3. Easy to secure documents/clearances to harvest and transport timber products from your plantation.
    4. Exemption from any forest charges and other environmental fees.
    5. Better access to potential buyers through DENR database information system.
  4. Harvesting (DENR Memorandum Circular No. 99-20)
    1. A permit to cut is not required for registered plantations of non-premium species (DENR Memorandum
      Circular No. 99-20)
    2. However, harvesting premium species plantations including species of Benguet pine (DENR Administrative
      Order No. 92-49), a Special Private Land Timber Permit (SPLTP) is required from the Regional Executive
      Director/Provincial Environment and Natural Resources Officer/Community Environment and Natural
      Resources Officer.
    3. Existing naturally growing trees on private titled lands may be harvested by securing a SPLTP or Private
      Land Timber Permit (PLTP) from the Regional Executive Director/Provincial Environment and Natural
      Resources Officer/Community Environment and Natural Resources Officer (DENR Administrative Order No.
      2000-21)
  5. Transporting of Timber Products from Registered Tree Plantation (DENR Memorandum Circular No. 99-
    20)
    1. A duly accomplished Self-Monitoring Form (SMF) must be submitted to the CENR office before transporting
      timber products from registered tree plantation.
    2. During the transport of harvested products from registered tree plantation, these shall always be accompanied
      by the original copy of Self-Monitoring Form (SMF) and photocopy of tree plantation ownership
    3. The vehicle owner has to accomplish a Certificate of Transport Agreement (CTA) from CENR
      In any cases that you are not the owner of the harvested timber products, a Special Power of Attorney (SPA)
      is needed for SMF application and during transport.
  6. Marketing (DENR Administrative Order No. 1999-20)
    1. On the disposition/marketing of timber products from registered tree plantation, there shall be no restriction
      provided it is supplied/delivered to legitimate buyers.
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Delivery Instruction

Order cut-off time is every Friday 12noon.

Confirmed Order despatched are: Every Mondays and Tuesdays

Delivery is within 2-3days time for Metro Manila and 5-7 days time for Luzon, Visayas and Mindanao areas upon release of Local Transport Permit. (note: 2-3 weeks processing time)

LBC is the standard courier for delivery but you have an option to pick-up or book to lalamove delivery.

Use your ORDER number as reference in following up.