Agarwood & Perfumery Crop Production

1. Strategic Importance

Agarwood & perfumery crops form the core revenue engine of CAPI’s agroforestry model, converting biological growth into high-value, export-grade products for the global fragrance, incense, and wellness industries.

This focus area anchors:

  • Mid-term cash generation
  • Downstream value chain integration
  • Premium pricing potential

2. Primary Production Crops

Flagship Crop: Agarwood (Aquilaria spp.)

  • Species: Aquilaria malaccensis and selected high-performing varieties
  • Cultivated under plantation conditions with controlled inoculation
  • Target outputs:
    • Agarwood chips (graded)
    • Resinous wood blocks
    • Feedstock for extraction and distillation

Complementary Perfumery Crops

  • Sandalwood (Santalum spp.)
  • Ylang-ylang (Cananga odorata)
  • Elemi (Canarium luzonicum)
  • Cinnamon, Nutmeg, Champaca

Rationale:
Multi-crop production stabilizes supply and broadens market reach.

3. Production System & Protocols

  • Propagation & Establishment
    • Quality planting material sourced from:
      • Seed orchards
      • Clonal or tissue-cultured stock (where applicable)
    • Species–site matching to optimize resin and oil profiles
  • Resin & Oil Induction
    • Scientifically timed agarwood inoculation
    • Stress management to enhance resin biosynthesis
    • Strict SOPs to ensure consistency and repeatability
  • Maintenance & Monitoring
    • Nutrient management and pruning
    • Pest and disease surveillance
    • Growth and resin development tracking

4. Harvesting, Processing & Grading

  • Harvesting
    • Selective and phased harvesting to preserve plantation longevity
    • Yield optimization through resin maturity assessment
  • Primary Processing
    • Cutting, drying, and preparation of agarwood chips
    • Initial sorting by density, aroma, and resin content
  • Grading Standards
    • Multi-tier grading system aligned with:
      • Middle Eastern incense markets
      • East Asian medicinal and fragrance buyers
    • Traceability-enabled batch identification

5. Revenue Streams

  • Export sales of graded agarwood chips
  • Sale of resinous wood blocks to distillers
  • Supply contracts with fragrance and incense houses
  • Internal transfer to Crown Extraction Solutions Inc. (CESI)
  • Long-term pricing uplift from consistent quality and traceability

6. ROI & Value Creation Logic

  • Agarwood pricing driven by quality, not volume
  • Small harvest volumes can yield significant revenue
  • Resin induction dramatically increases wood value
  • Vertical integration captures downstream margins
  • Predictable production improves contract pricing

7. Market Positioning

  • Positioned for:
    • Middle East (incense & luxury oud)
    • East Asia (medicinal & fragrance applications)
    • EU niche perfumery
  • Emphasis on:
    • Plantation-grown legality
    • Sustainability and traceability
    • Consistent supply

8. Strategic Advantage for CAPI

  • Integration with:
    • Crown Organogenesis Protocols Inc. (planting material R&D)
    • Crown Extraction Solutions Inc. (SFE & oil extraction)
  • Scientific approach reduces biological uncertainty
  • Export-ready quality standards
  • Brand alignment with premium, ethical sourcing narratives

Investor Soundbite

CAPI transforms scientifically managed agarwood and perfumery crops into high-margin, export-grade products through controlled production, grading discipline, and value-chain integration.