Listing ID: 12807 Last Refreshed: 02/06/2019 Total Views: 26392
Breaking News 1Jun2019: China has opened up for whole husk durian imports from Malaysia
According to the articles, China imports about 300,000 tonnes of durians every year and only 1% of the 1.4Billion China population has tasted durian so far!
Less than 10,000 tonnes of durian in China comes from Malaysia. Imagine the growth potential of durian exports to China from Malaysia!
No wonder even the Indonesian President has told his people to start growing durians: https://www.asiaone.com/asia/jokowi-tells-oil-palm-tree-growers-turn-durian
(Pictures attached are actual farm pictures taken in Jan 2018)
I have a mature durian farm in Johor for sale. I am a Singaporean, selling as the owner of the farm (not agents), having owned the farm for more than 20 years.
I am selling at a SGD 3M ie Price Earnings ratio of 7
With a projected annual gross revenue of SGD 420,000, it will take 7 years to recoup $3M assuming you are selling to Singapore only. Now that China has opened up for whole-husk durian imports, you are expected to recoup your buying price in a much shorter time frame.
Profit and Loss Statement Assumptions:
Owner farms and sells the durians directly to Singapore consumers; has not taken into account China's demand and price yet
300 mature trees bearing 100 fruits each year (40% Musang King)
Musang King sells at S$20 per kg, the rest of the durian types at S$10 per kg
Gross revenue of SGD 420,000 per year
There are no audited financial statements as the farm has been operated as a one-man show in the past and currently being leased out.
Types of Durians Planted:
40% Musang King (猫山王) planted and the rest are all branded durians like D24, 101, XO.
All are mature trees bearing fruits already. The durian trees are more than 10 years old ie stage of producing very good fruits. About 300 durian trees are planted.
Land Size & Condition:
5.01 hectares (12.39 acres). Freehold. Title deed will be shown upon meet-up
Gentle sloping land (good for durians so that there is no excessive water retention in soil)
The farm is located in the vicinity of Kampung Machap, 86200 Simpang Renggam, Johor, Malaysia, about 1hr drive after Woodlands checkpoint. The farm is just beside the North-South Highway Machap exit (see map in picture uploaded).
The owner is not farming and selling the durians himself currently.
The farm is now leased out to an experienced Malaysian durian farmer for past few years, thus explaining why the farm is so tidy and well arranged with nets etc as seen from the pictures uploaded. Though the lease ends Sep2019, under our lease agreement, the lessee can be asked to vacate the land immediately once new owner takes over or the new owner can renegotiate a new lease price and agreement upon take-over.
We are looking at a price of around SGD 3Million ie S$5.55 psf at a PE of 7.
Land value itself (without durians) is already valued at SGD560,000 in early 2019. Report can be shown on request.
Singapore, Iskandar zone and Senai Airport are all less than one hour's drive away from our farm.
An uncultivated piece of land, about 5acres, 2km away from us, has been sold for S$3psf in 2018.