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SCGP Advances Sustainability Through Regenerative Agriculture, Promoting Eucalyptus as an Economic Crop to Restore Soil Health
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March 2025 – In an era where agriculture faces environmental challenges, SCGP has adopted “Regenerative Agriculture” principles, focusing on the cultivation of eucalyptus, a global economic crop and key raw material in paper and packaging production. The company emphasizes soil health restoration, increasing yields, and providing stable income for farmers.
Understanding the Raw Material: From Seedling to Plant
“Eucalyptus is an economic plant that requires a deep understanding of its species and ecosystem,” stated Mahasan Thieravarut, Managing Director of Siam Forestry Co., Ltd., part of SCGP’s integrated forestry business. He highlighted the importance of developing and selecting tree varieties suited to different environments, such as sandy or loamy soils, to improve growth rates and the quality of raw materials for paper and packaging industries.
SCGP has continually researched and developed eucalyptus varieties, dedicating 8-10 years on average to creating new strains that are more suitable for Thailand’s environment. Developed varieties, such as H32, H46, H48, and the new H50, each offer distinct advantages in disease resistance, growth speed, and adaptability to various soil types, including dry and saline soils. This enables farmers to select varieties best suited to their specific conditions. Additionally, SCGP utilizes AI and satellite technology to analyze planting areas, ensuring precise data to improve farm management practices.
SCGP has established a comprehensive approach to ecosystem management, starting from promoting eucalyptus cultivation and educating farmers on soil management, variety selection, and planting techniques that help cycle nutrients within the soil. This results in higher-quality eucalyptus with greater disease and pest resistance, making it easier for farmers to manage and harvest year-round, leading to increased income and soil restoration. Eucalyptus cultivation thus plays a crucial role in supporting the economy and fostering environmental sustainability.
Regenerative Agriculture Amid Climate Change
The changing climate has had significant impacts on soil health and crop yields. SCGP emphasizes regenerative agricultural techniques, such as planting cover crops, reducing tillage, and using organic fertilizers to maintain soil fertility. Raphee Wanaephet, an outstanding farmer from Chom Bueng District, Ratchaburi Province, has worked with SCGP for over 10 years. She shared her experience of cultivating eucalyptus on land previously used for cassava, noting that yields of cassava increased in subsequent cycles. The fallen eucalyptus leaves and branches helped improve the soil structure. This highlights the positive impact eucalyptus has on soil and its potential benefits for water and environmental management.
Raphee also expanded on his practice of planting eucalyptus alongside sugarcane and cassava, explaining that eucalyptus is easy to manage and provides long-term returns, while also restoring soil quality depleted by chemical-intensive farming. Eucalyptus thrives even on poor soils, and as he observed, the land gradually improved in quality after eucalyptus was planted.
Eucalyptus helps restore soil fertility by decomposing its leaves and branches into organic fertilizer, enriching the soil with essential nutrients. Furthermore, the deep but small root system of eucalyptus helps prevent soil erosion and increases the soil’s water retention capacity.
Eucalyptus Cultivation and Care Guidelines
Eucalyptus requires proper care from planting to harvesting. SCGP has developed methods to optimize yield efficiency, with the following key steps:
1. Soil Preparation: Plow and level the soil before planting to ensure optimal root development.
2. Planting: Use planting distances of 3×3 meters or 3×2 meters, depending on the space and the farmer’s needs.
3. Care and Maintenance: For the first three months, control weeds and apply appropriate fertilizers. After this period, eucalyptus can grow independently with rainfall.
4. Impact Assessment: Monitor soil health, greenhouse gas reductions, and overall yield.
SCGP also uses technology and tools to evaluate the impact of regenerative agricultural practices. It has been found that one acre of eucalyptus can absorb up to 4.15 tons of CO2 per year. Additionally, SCGP has conducted research and developed trial plots to identify the best planting methods for various environments.
Empowering Farmers for Sustainable Growth
Small-scale farmers can access seedlings suited to their local conditions, with secure market access for their products. They can also plant eucalyptus alongside other economic crops, such as rice, sugarcane, and cassava, to diversify income and mitigate risks.
“Currently, large-scale farmers plant eucalyptus on only about 30% of their land, with the majority being smallholders,” Mahasan noted, emphasizing the advantages of growing eucalyptus as a supplemental income. Many farmers have planted eucalyptus along rice field embankments, where it serves as a supplementary income source. After 3-4 years, the eucalyptus can be harvested and sold without affecting the primary rice cultivation.
“Eucalyptus has thus become an alternative crop that helps farmers earn a steady income throughout the year. Moreover, it improves soil quality on embankments, with fallen leaves decomposing into organic fertilizer that enhances soil fertility,” Mahasan concluded.
SCGP’s regenerative agriculture model helps restore soil health, optimize land use, and promote environmental sustainability. It also provides farmers with income-generating opportunities, highlighting the collaboration between the private sector and farmers. This partnership is key to advancing agriculture toward a more sustainable future.
Source: SD Perspectives