Feasibility of utilization of eucalyptus leaves (Eucalyptus spp) from logging waste in industrial plantation forests to produce essential oils

Abstract

Eucalyptus is a type of industrial plantation forest (HTI) tree that has high economic value. Almost all parts of eucalyptus can be used. In addition, wood can be used as raw material for pulp, leaves and twigs containing cineol can be used as raw material for essential oils. This study aims to analyze the feasibility of using eucalyptus leaves from a financial perspective for essential oil production in the plantation forest area of PT. Toba Pulp Lestari Tbk. The analytical method used is descriptive analysis, financial analysis with two selling price scenarios, namely the high target scenario and the low target scenario with the criteria of Net Present Value (NPV), Benefit Cost Ratio (BCR), and Internal Rate of Return (IRR). The results showed that the use of eucalyptus leaves as a raw material for essential oils from logging waste in plantation forest areas is financially feasible. With details of the high target scenario, it produces an NPV value of IDR 134,903,510,450 (USD 8,895,714.5), an IRR value of 33.01% and a BCR value of 3.76. The NPV value for the low target scenario is IDR 84,029,947,498 (USD 5,541,045), the IRR value is 21.90% and the BCR value is 2.72.