Current Philippine references show a very wide range: seedlings can be roughly ₱25–₱350 depending on species and size, while one 2026 Philippine business example reported about ₱515 per seedling and a much larger all-in plantation program.
Recommended TES pricing
| TES Class | Suggested Price / TES | Intended Position |
|---|---|---|
| Seedling TES | ₱1,500 | Entry-level, cultivation only |
| Standard TES | ₱3,000 | Recommended retail share |
| Premium TES | ₱5,000 | Enhanced management + induction reserve |
| Royal TES | ₱10,000 | Premium/luxury investment class |
| Institutional TES | ₱25,000+ | Large investors / negotiated |
Price starting point: ₱5,000 per TES
₱5,000 is the strongest price point if the TES is intended to represent a fully managed agarwood tree-equivalent, rather than merely a planted tree.
A possible ₱5,000 allocation:
| Component | ₱ / TES |
|---|---|
| Legal planting material | 500 |
| Site preparation & planting | 350 |
| Fertilization & cultivation | 650 |
| Maintenance & labor reserve | 800 |
| Tree protection / replacement reserve | 300 |
| Biological induction / treatment reserve | 700 |
| Monitoring & documentation | 250 |
| Plantation infrastructure allocation | 300 |
| Administration / compliance | 300 |
| Fund reserve | 350 |
| Total | ₱4,500 |
| Development / operating margin | ₱500 |
| TES price | ₱5,000 |
That is deliberately conservative. Actual induction costs can vary enormously depending on the technology and service provider; published Philippine examples range from several hundred pesos per tree to several thousand pesos.
A more attractive investor ladder
For your Agarwood Investment Fund, I would actually structure it like this:
10 TES — ₱50,000 Starter Investor
25 TES — ₱125,000 Growth Investor
50 TES — ₱250,000 Premium Investor
100 TES — ₱500,000 Estate Investor
500 TES — ₱2,500,000 Strategic Investor
Then offer volume incentives rather than simply reducing the nominal TES price:
| Investment | TES | Bonus |
|---|---|---|
| ₱50,000 | 10 | — |
| ₱125,000 | 25 | — |
| ₱250,000 | 52 | +2 TES |
| ₱500,000 | 105 | +5 TES |
| ₱2,500,000 | 550 | +50 TES |
This preserves a headline ₱5,000/TES valuation while rewarding larger investors.
I would define the ₱5,000 TES as:
1 Tree-Equivalent Share = a contractual economic participation representing one managed Aquilaria tree-equivalent within the Fund’s plantation portfolio, including its proportional allocation of cultivation, maintenance, monitoring, induction, harvesting and administrative costs, subject to mortality, yield variability, project expenses and applicable regulations.
Not: “You own one specific tree.”
That distinction is important because a particular tree may die, underperform, be replaced, or produce substantially different resin yields.
Potential fund structure
At 10,000 TES × ₱5,000:
Fund capitalization = ₱50,000,000
For example:
10,000 TES
↓
₱50 million subscription capital
↓
Plantation + infrastructure + working capital + reserves
↓
Aquilaria cultivation
↓
Resin induction
↓
Harvest
↓
Agarwood chips / oil / extracts / finished products
↓
Revenue
↓
Operating costs + taxes + reserves + management fee
↓
Distributable proceeds
One important caution: if investors contribute money to a pooled enterprise and expect profits primarily from the operator’s efforts, the arrangement can potentially raise securities/investment-contract issues under Philippine law. The final TES structure and offering should therefore be reviewed by Philippine securities counsel before being marketed as an investment.
Also, don’t build the business plan around extraordinary agarwood price claims. Published Philippine research found advertised agarwood prices ranging from about ₱40,000–₱300,000/kg, but also documented substantial illegal trade and warned against treating agarwood as a “get-rich-quick” investment. ResearchGate
My preferred commercial positioning would therefore be:
Tree-Equivalent Share™ — ₱5,000
Target: 10,000 TES
Minimum: 10 TES / ₱50,000
Investment horizon: 5–8+ years
Value proposition: Managed Aquilaria + biological induction + agarwood value chain
Return: Variable, based on actual production and realized sales—not guaranteed.