PERTH, Australia--(BUSINESS WIRE)--Santanol, a leading producer of sustainable sandalwood, is poised to enter the global fragrance market following the completion of its first commercial harvest and distillation of sustainable Santalum album (Indian sandalwood) oil.
Santanol, which has been a portfolio partner of leading global investment firm KKR since 2013, has a mission to address the issue of illegal deforestation of native sandalwood trees. The company manages a 2,100-hectare plantation in Australia which uses technology and advanced horticultural techniques to improve the survival rates of its crop to create a sustainable forestry environment.
Sandalwood is a sought-after commodity for items ranging from fine fragrances to cosmetics and toiletries to high-end furniture. Yet as Indian sandalwood trees are only indigenous primarily to India, this high demand has led to deforestation in their native environments and has fostered a large illegal market. With illegal deforestation and inadequate replanting, the tree was recently listed as vulnerable to extinction in the wild.
“Our first harvest is a major milestone in moving the market from illegal deforestation in India to sustainable plantation in Australia. By providing a sustainable source of Santalum album oil to the global fragrance market we are able to take the pressure of the illegal harvesting and help foster a legitimate market for sandalwood products,” states Founding Director Tony Jack.
Sandalwood oil is a key perfume ingredient and regarded as unique as it acts both as an active and a functional ingredient. It is an active ingredient with its complex bouquet of long-lasting milky and woody notes, while simultaneously having fixative abilities improving the tenacity of other essential oils used in a perfume. Sandalwood oil is increasingly used within aromatherapy for its relaxation and anxiety-reduction properties.
“We are committed to providing a consistent supply of sustainably and ethically produced Santalum album oil that will be mutually beneficial to all parties in the long term,” said Mr Jack. “Pure sandalwood oil is a high-quality ingredient that has been missing from the market for some time now, but Santanol hopes to bring back the essential oil that is fundamental to the fragrance industry.”
“It takes at least 15 years for Santalum album tree to mature, so our patience is starting to pay off as we see the first phase of oil production take shape,” Mr Jack continued.
With the investment support of KKR, Santanol continues to focus on scaling production of oil and timber products.
To learn more about Santanol and KKR’s partnership, visit KKR’s video library.
The Santanol Group was officially founded in 2005 by some of the veterans within the Australian forestry industry. The company is headquartered in Perth with 2,100 hectares of sandalwood plantations located primarily in the Kimberly region in northern part of Australia. The oldest trees in the plantation are more than 25 years while first larger scale plantation started in 1999. The company is focused 100% on growing, harvesting, and producing Santalum album (Indian sandalwood) products.