Cultivation | CO₂ Sequestration | Carbon Credit | Opportunity | Feasibility
Carbon sequestration is the process of capturing and storing atmospheric carbon dioxide (CO₂). For agarwood plantations, this presents a dual benefit: environmental restoration and income from carbon credits.
How Agarwood Trees Sequester Carbon
Aquilaria spp., the trees that produce agarwood, contribute to carbon sequestration through:
| Tree Component | Sequestration Role |
|---|---|
| Leaves & branches | Absorb CO₂ via photosynthesis |
| Trunk | Store carbon as biomass |
| Roots | Transfer carbon to soil organic matter |
| Deadwood | Retain carbon if left unharvested or returned to soil |
Estimated Carbon Sequestration (per hectare)
| Plantation Age (Years) | CO₂ Sequestration (tons/ha/year) |
|---|---|
| 1–3 | 2–5 |
| 4–7 | 6–10 |
| 8–15 | 12–20 |
Figures vary based on species, soil, spacing, and management.
Carbon Credit Potential
- 1 carbon credit = 1 ton of CO₂ avoided or sequestered
- Price range (Voluntary Carbon Market): $5–$25/credit
- Well-managed agarwood plantations with co-benefits (biodiversity, soil improvement) can command premium prices.
Carbon + Co-Benefits
| Benefit Category | Impact from Agarwood Plantations |
|---|---|
| Agroforestry | Intercropping improves land productivity |
| Watershed | Tree cover enhances water retention & prevents erosion |
| Biodiversity | Provides habitat for insects, birds, and fungi |
| Socioeconomic | Employment, sustainable resin income, carbon funding |
Key Insight
Agarwood plantations are not only a source of high-value resin, but also serve as climate-smart carbon sinks. When combined with carbon credit certification, they offer enhanced investor returns, long-term environmental impact, and alignment with ESG goals.