All You Should Know About Nature Investments
The twenty-first century has seen the rise in the new trend of nature investments across the globe. Nature investments have to do with projects that aim at conserving the environment while at the same time deriving value from those investments. The most common form of nature investment is the one that aims at reforestation of areas that have been deforested by human activities such as overgrazing and wildfires.
In this case, the trees that are planted in such areas are considered resilient and can thus grow in any climatic conditions even those considered as adverse for most trees. Trees such as teak, the bamboo, acacia, and the blue gum are some of those which are chiefly considered for this kind of investment. Trees used for this investment must exhibit two key characteristics of one, being able to grow so fast and two, being able to withstand any type of climatic conditions.
The main aim of using fast growing vegetations for areas that are without vegetation cover is to primarily conserve the environment from adverse effects of deforestation such as soil erosion. Since we also have seen that the type of vegetation to be used should be that which exhibits the traits for fast growth, the implication will be that there will be a faster return on investment for the investors.
At harvest time, nature investment also looks for the trees that can be used to give more than one value for the investors. For some of these trees, for instance, they can be used to provide alternatives for timber. The vegetation can also be used as fodder for the livestock. The other benefit includes the extraction of medicinal chemical components from the trees as well as extraction of perfumes.
The other investment type in nature investment is plantation management. In this investment type, the aim is to introduce the use of the most sophisticated ideas and technology in the day to day management of plantations. The plantation owners and farmers in this investment model are given a unique opportunity to reap maximum returns from their plantations and farms within a very short time of investment.
This form of investment works on the premise of offering advice for what is already being grown as opposed to what may be grown in the future. This product can be used for the creation of new plantations as well as for the management of existing ones. The plantation owner should, however, make it very clear to the investors what they intend to have grown in the plantation and for what period of time the plantation should be managed as well as how they want the farms to be managed during that period of plantation management.